Al Rajhi Bank · TADAWUL:1120
Al Rajhi Bank — Q4 2025 Earnings Presentation
29 slides from Al Rajhi Bank's earnings presentation, 2026
Slide 1: Al Rajhi Bank Results Presentation
Al Rajhi Bank Results Presentation 4Q 2025 Earnings Conference Call and Webcast
Slide 2: 4Q 2025 Earnings Call
4Q 2025 Earnings Call 03 4Q 2025 Results Summary 04 Harmonize The Group – Strategy Update 05 4Q 2025 Financial Highlights 18 FY 2026 Guidance 22 ESG Highlights 24 KSA’s Macro-Economic Environment 27 IR Contact Information 4Q2025 Results Presentation 2
Slide 3: 4Q 2025 Results Summary
4Q 2025 Results Summary | Results were above expectations for the year 2025 8.6% YoY Growth in financing portfolio 6.0% Growth in liabilities LDR below regulatory cap 7.3% YoY Balance Net Financing Total Liabilities Loan to Deposit Ratio Sheet Growth 693.4bn +8.6% 752.8bn 849.3bn +6.0% 900.4bn 85.5%
Slide 4: Harmonize the Group: Highlights on our strategy performance
“Harmonize the Group” | Highlights on our strategy performance Business to Business to Support Digital & Data Consumer Business Businesses Leverage customer Become ‘main bank’ Centralization Expand digital base via cross-sell of large corporates and standardization capabilities Group-wide % of custo
Slide 5: 4Q 2025 Financial Highlights
4Q 2025 Financial Highlights
Slide 6: Balance Sheet Trends (1)
Balance Sheet Trends (1) | Total assets growth of 7.3% driven by Financing book growth Total Assets (SARbn) SAR (mn) 4Q 25 3Q 25 QoQ 4Q 24 YoY +7.3% 1,400 Cash & balances with SAMA 54,005 57,302 -6% 53,245 +1% 1,039 1,059 1,043 1,200 972 1,023 Due from banks & other FI 26,941 31,122 -13% 19,530 +38%
Slide 7: Balance Sheet Trends (2)
Balance Sheet Trends (2) | Financing growth driven by Corporate and Mortgage Financing, Net (SARbn) Movement in Financing (SARbn) 1,000 +8.6% 600 +8.6% 756.0 752.8 693.4 52.9 58.7 33.3 19.7 752.8 500 800 39.0 693.4 8.8 1.2 0.8 400 600 177.9 1.3 214.6 211.2 (0.4) (2.0) 300 400 200 200 475.2 487.3 482
Slide 8: Balance Sheet Trends (3)
Balance Sheet Trends (3) | Investments continue supporting our portfolio diversification Investments, Net (SARbn) Investments, Net (SARbn) -0.4% 250 -0.4% 250 200 175.0 178.8 174.3 200 175.0 178.8 174.3 11.8 13.4 13.2 11.8 13.4 13.2 7.8 9.5 9.6 22.4 7.8 22.1 9.5 9.6 21.8 150 150 15.0 100 100 140.4 1
Slide 9: Net Income Trends
Net Income Trends | Outstanding net income with a 25.7% growth YoY in 2025 Net Income For The Period After Zakat (SARmn) SAR (mn) FY 25 FY 24 YoY 4Q 25 4Q 24 YoY +15.6% Net financing & investment income 29,846 24,843 +20% 8,150 6,941 +17% 10,000 Fee from banking services, net 5,869 4,693 +25% 1,554
Slide 10: Operating Income Trends
Operating Income Trends | Higher operating income driven by net yield and fee income growth Total Operating Income (SARmn) Total Operating Income Growth Drivers By Type (SARmn) 50,000 16,000 14,000 +19.0% +22.0% 593 39,094 40,000 10,409 5,003 1,176 266 9,882 12,000 9,200 9,603 10,000 8,750 30,000 32
Slide 11: Expenses Trends
Expenses Trends | Cost efficiencies remains solid with a market leading cost to income ratio of 23.3% Operating Expenses (SARmn) Operating Expenses Growth Drivers By Type (SARmn) 9,000 4,500 +30.7% +14.5% 8,000 4,000 7,000 3,500 2,680 467 9,127 387 6,000 3,000 2,216 7,971 302 2,500 2,050 2,088 2,143
Slide 12: Net Impairment & Cost of Risk
Net Impairment & Cost of Risk | Higher gross charge due to Financing portfolio growth with a maintained CoR Net Impairment Charges (SARmn) Cost of Risk (%) 1,250 +13.3% 0 1,050 0 850 600 626 0.32% 0.32% 553 570 0.29% 0.31% 0.31% 0 525 650 0 450 0 250 50 (0) 4Q 24 1Q 25 2Q 25 3Q 25 4Q 25 FY 24 1Q 25
Slide 13: Asset Quality Trends (1)
Asset Quality Trends (1) | Asset quality remains healthy Movement in NPL (SARmn) NPL Formation (SARmn) +6.7% +6.7% 5,000 8,000 5,615 5,694 7,000 5,334 4,000 141 6,000 218 5,694 3,000 5,334 5,000 4,000 2,000 3,000 2,000 1,000 (5,256) 1,000 0 0 4Q 24 Retail Non-Retail 4Q 25 4Q 24 Write off Netflow 4Q
Slide 14: Asset Quality Trends (2)
Asset Quality Trends (2) | Healthy stage coverage reflecting prudent risk management ECL by Stage (SARmn) Movement in ECL by Group (SARmn) 12,000 10,000 8,784 8,683 +2.1% 8,505 10,000 8,000 8,505 426 8,683 8,000 6,000 4,324 4,399 4,287 6,000 (248) 1,653 1,682 4,000 1,699 4,000 2,000 2,732 2,714 2,00
Slide 15: Liquidity Trends
Liquidity Trends | Liquidity remains comfortably within regulatory requirements HQLA (SARbn) Loan to Deposits Ratio (SAMA) (%) 200 180 -0.6% 1 Regulatory 160 Maximum 90% 128.1 124.5 127.3 85.5% 84.9% 1 140 120.7 122.3 82.5% 82.8% 120 1 81.2% 100 1 80 60 1 40 1 20 0 0 4Q 24 1Q 25 2Q 25 3Q 25 4Q 25 4Q
Slide 16: Capitalization Trends
Capitalization Trends | Capital position well above regulatory minima RWA (SARbn) Total Capital (SARbn) 1,000 +10.2% 200 +19.2% 670.2 673.9 147.3 800 611.4 46.1 46.1 141.5 47.0 123.6 150 15.3 9.3 9.2 17.1 600 10.5 100 5.6 400 554.0 607.0 612.5 132.2 138.1 200 50 117.9 0 0 4Q 24 3Q 25 4Q 25 4Q 24 3Q
Slide 17: Return Metrics
Return Metrics | Al Rajhi Bank’s returns remain industry-leading Return on RWA (%) Earnings per Share (SAR) 3 0 +17.1% 3.83% 3.86% 2 0 3.74% 3.78% 1.48 1.51 1.41 1.45 1.29 0 2 0 3.49% 1 0 1 0 0 0 FY 24 1Q 25 1H 25 9M 25 FY 25 4Q 24 1Q 25 2Q 25 3Q 25 4Q 25 Return on Equity (%) Return on Assets (%) 0
Slide 18: FY 2026 Guidance
FY 2026 Guidance
Slide 19: FY 2026 Assumptions and Outlook
FY 2026 Assumptions and Outlook | Interest rates are expected to be lower in 2026 • Saudi real GDP is estimated to improve by 4.5% in 2025 driven by 4.9% higher non-oil activities • IMF has revised Saudi GDP growth forecasts to 4.5% in 2026 Economy • Consumer spending increased by 10.7% YoY in FY 20
Slide 20: FY 2026 Guidance for Harmonize the Group
FY 2026 Guidance | For our strategy “Harmonize the Group“ FY 2025 Change FY 2025 Actual FY 2026 Guidance Balance Sheet Financing +8.6% SAR 753 Bn. Low to mid single digit Net profit margin +3 bps 3.16% +25 bps to +35 bps Profitability Cost to income ratio -1.52% 23.35% Below 23.0% ROE +2.30% 23.36%
Slide 21: Q&A
Q&A
Slide 22: ESG Highlights
ESG Highlights
Slide 23: ESG Highlights 4Q 2025
ESG Highlights | 4Q 2025 +200 USD 6.9 bn Scholarships to Orphan ISO/DIS 37301:2020 Green syndicated loans students to join Compliance Universities Started using solar +39k ISO 22301:2019 energy system in 61 Families have been benefited from the USD 1.0bn Business Continuity branches to reduce Social
Slide 24: KSA's Macro-Economic Environment
KSA’s Macro–Economic Environment
Slide 25: KSA Economic Outlook
KSA Economic Outlook | Economic conditions remain positive for the Kingdom GDP Growth/Brent Oil Price Highlights 99.0 • Saudi GDP is expected to increase by 4.5% in 2025 driven by higher oil 82.5 80.5 100.0 7.2 70.9 69.0 and non-oil activities. 5.2 80.0 8.7 41.7 60.0 3.2 4.3 • Based on IMF forecasts
Slide 26: Banking Sector Highlights
Banking Sector Highlights | Banking system deposits continue growing in 2025 Recent Developments SAMA LDR (%) & Bank Loans and Deposits (SARbn) 83.2% 80.3% 3,800 3,700 79.5% 81.5% 80.7% • Deposits have grown in the banking system by end of December 2025 3,296 80.0% 3,600 3,500 3,400 align with loans
Slide 27: IR Contact Information
IR Contact Information
Slide 28: Additional Information
Additional Information | Contact investor relations for more information Sulaiman Alquraishi Mohammed M. Alqahtani +966 (11) 828 1987 +966 (11) 828 1921 Alquraishis@alrajhibank.com.sa AlqahtaniM-M@alrajhibank.com.sa Aishah Alshammari Investors Relations +966-11-828-1973 Al-shammariAK@alrajhibank.com
Slide 29: Disclaimer
Disclaimer • AL RAJHI BANK HEREIN REFERRED TO AS ARB MAKES NO REPRESENTATION OR WARRANTY OF ANY KIND, EXPRESS, IMPLIED OR STATUTORY REGARDING THIS DOCUMENT OR THE MATERIALS AND INFORMATION CONTAINED OR REFERRED TO ON EACH PAGE ASSOCIATED WITH THIS DOCUMENT. THE MATERIAL AND INFOR- MATION CONTAINED O