Al Rajhi Bank · TADAWUL:1120
Al Rajhi Bank — Q2 2026 Earnings Presentation
29 slides from Al Rajhi Bank's earnings presentation, 2026
Slide 1: Al Rajhi Bank Results Presentation
Al Rajhi Bank Results Presentation 2Q 2026 Earnings Conference Call and Webcast
Slide 2: 2Q 2026 Earnings Call
2Q 2026 Earnings Call 03 2Q 2026 Results Summary 04 Harmonize The Group – Strategy Update 05 2Q 2026 Financial Highlights 18 FY 2026 Guidance 22 ESG Highlights 24 KSA’s Macro-Economic Environment 27 IR Contact Information 2Q2026 Results Presentation 2
Slide 3: 2Q 2026 Results Summary | Results were strong for the first half 2026
2Q 2026 Results Summary | Results were strong for the first half 2026 1.2% YTD Growth in financing portfolio 0.2% increase in liabilities LDR below regulatory cap 1.1% YTD Balance Net Financing Total Liabilities Loan to Deposit Ratio Sheet Growth 752.8bn +1.2% 762.1bn 900.4bn +0.2% 902.2bn 82.8% 82.
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: 2Q 2026 Financial Highlights
2Q 2026 Financial Highlights
Slide 6: Balance Sheet Trends (1) | Total assets growth of 1.8% YoY driven by Financing
Balance Sheet Trends (1) | Total assets growth of 1.8% YoY driven by Financing book growth Total Assets (SARbn) SAR (mn) 2Q 26 1Q 26 QoQ 4Q 25 YTD +1.8% 1,400 Cash & balances with SAMA 53,266 62,523 -15% 54,005 -1% 1,036 1,059 1,043 1,051 1,055 Due from banks & other FI 29,548 24,420 +21% 26,941 +10
Slide 7: Balance Sheet Trends (2) | Financing grew 2.7% YoY driven by Corporate and SME
Balance Sheet Trends (2) | Financing grew 2.7% YoY driven by Corporate and SME Financing, Net (SARbn) Movement in Financing (SARbn) 1,000 +2.7% 600 +1.2% 741.7 752.8 762.1 46.4 58.7 68.1 752.8 4.8 9.4 762.1 500 800 1.3 0.8 0.7 400 600 204.0 211.2 216.0 (2.4) (0.1) 300 (2.4) 400 200 200 490.0 482.1 4
Slide 8: Balance Sheet Trends (3) | Investments continue supporting our portfolio diversification
Balance Sheet Trends (3) | Investments continue supporting our portfolio diversification Investments, Net (SARbn) Investments, Net (SARbn) -3.6% -3.6% 250 250 200 181.4 174.3 175.0 200 181.4 174.3 175.0 12.8 12.8 13.2 13.6 13.2 13.6 9.8 9.6 8.9 22.5 9.8 9.6 8.9 21.8 20.8 150 150 100 100 158.9 151.5
Slide 9: Net Income Trends | Outstanding net income with a 14.2% growth YoY
Net Income Trends | Outstanding net income with a 14.2% growth YoY in the first half 2026 Net Income For The Period After Zakat (SARmn) SAR (mn) 1H 26 1H 25 YoY 2Q 26 2Q 25 YoY 12,000 +14.0% Net financing & investment income 16,712 14,402 +16% 8,307 7,305 +14% Fee from banking services, net 3,241 2,
Slide 10: Operating Income Trends | Higher operating income driven by net yield and fee income growth
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) +13.3% +13.9% 16,000 25,000 14,000 10,884 2,310 473 144 21,413 10,409 10,528 20,000 9,882 12,000 10,000 9,603 18,803 (317)
Slide 11: Expenses Trends | Cost efficiencies remains solid with a market leading cost to income
Expenses Trends | Cost efficiencies remains solid with a market leading cost to income ratio of 22.7% Operating Expenses (SARmn) Operating Expenses Growth Drivers By Type (SARmn) 4,500 4,000 3,500 +11.7% 4,000 +14.7% 2,680 791 4,852 3,500 2,457 3,000 2,395 2,143 2,216 146 3,000 4,231 2,500 2,500 2,0
Slide 12: Net Impairment & Cost of Risk | Higher gross charge due to Financing portfolio growth
Net Impairment & Cost of Risk | Higher gross charge due to Financing portfolio growth Net Impairment Charges (SARmn) Cost of Risk (%) 1,850 +46.9% 1,650 0 1,450 0 1,250 881 0.39% 0.33% 1,050 0.31% 0.31% 0.32% 0 626 631 850 650 600 570 0 450 0 250 50 (0) 2Q 25 3Q 25 4Q 25 1Q 26 2Q 26 1H 25 9M 25 FY 2
Slide 13: Asset Quality Trends (1) | Asset quality remains healthy
Asset Quality Trends (1) | Asset quality remains healthy Movement in NPL (SARmn) NPL Formation (SARmn) 9,000 5,000 +0.6% 8,000 +0.6% 5,694 3,028 5,729 7,000 4,000 238 6,000 5,694 5,729 5,000 3,000 (203) 4,000 2,000 3,000 2,000 1,000 (2,993) 1,000 0 0 4Q 25 Retail Non-Retail 2Q 26 4Q 25 Write off Net
Slide 14: Asset Quality Trends (2) | Healthy stage coverage reflecting prudent risk management
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 8,683 8,779 +5.1% 8,350 10,000 8,000 8,000 8,350 474 8,779 4,287 4,026 6,000 4,173 6,000 (45) 1,682 1,900 4,000 1,540 4,000 2,000 2,638 2,714 2,853
Slide 15: Liquidity Trends | Liquidity remains comfortably within regulatory requirements
Liquidity Trends | Liquidity remains comfortably within regulatory requirements HQLA (SARbn) Loan to Deposits Ratio (SAMA) (%) 200 +9.3% 1 Regulatory Maximum 90% 132.0 1 127.3 127.6 150 120.7 122.3 82.5% 81.2% 82.8% 82.6% 82.8% 1 100 1 1 50 1 0 0 2Q 25 3Q 25 4Q 25 1Q 26 2Q 26 2Q 25 3Q 25 4Q 25 1Q 26
Slide 16: Capitalization Trends | Capital position well above regulatory minima
Capitalization Trends | Capital position well above regulatory minima RWA (SARbn) Total Capital (SARbn) 250 +2.2% +19.3% 1,000 200 663.8 673.9 678.5 159.6 800 56.2 46.1 51.5 147.3 133.8 12.1 150 15.3 14.2 9.2 600 15.0 100 5.3 400 592.6 612.5 612.8 128.6 138.1 147.5 50 200 0 0 2Q 25 4Q 25 2Q 26 2Q 25
Slide 17: Return Metrics | Al Rajhi Bank's returns remain industry-leading
Return Metrics | Al Rajhi Bank’s returns remain industry-leading Return on RWA (%) Earnings per Share (SAR) 2 +14.9% 0 0 2 4.07% 3.98% 1.11 0 0.99 1.01 1.06 3.83% 3.86% 0.97 3.78% 0 1 0 0 1 0 0 0 0 1H 25 9M 25 FY 25 1Q 26 1H 26 2Q 25 3Q 25 4Q 25 1Q 26 2Q 26 Return on Equity (%) Return on Assets (%)
Slide 18: FY 2026 Guidance
FY 2026 Guidance
Slide 19: FY 2026 Assumptions and Outlook | Interest rates are expected to remain stable in 2026
FY 2026 Assumptions and Outlook | Interest rates are expected to remain stable in 2026 • Saudi real GDP is estimated to improve by 3.0% in Q1 2026 driven by 2.9% higher non-oil activities • IMF has revised Saudi GDP growth forecasts to 1.7% in 2026 and 5.5% for 2027 Economy • Consumer spending incre
Slide 20: FY 2026 Guidance | For our strategy Harmonize the Group
FY 2026 Guidance | For our strategy “Harmonize the Group“ FY 2026 Guidance 1H 2026 Actual Guidance Revision Balance Sheet Financing Low to mid single digit +1.2% Low single digit Net profit margin +30 bps to +40 bps +34 bps +30 bps to +40 bps Profitability Cost to income ratio Below 23.0% 22.7% Belo
Slide 21: Q&A
Q&A
Slide 22: ESG Highlights
ESG Highlights
Slide 23: ESG Highlights | 2Q 2026
ESG Highlights | 2Q 2026 +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 | Economic conditions remain positive for the Kingdom
KSA Economic Outlook | Economic conditions remain positive for the Kingdom GDP Growth/Brent Oil Price Highlights 99.0 85.0 • Saudi GDP is expected to increase by 3.0% in Q1 2026 driven by higher 82.5 80.5 100.0 7.2 70.9 69.0 oil and non-oil activities. 5.2 80.0 8.7 60.0 3.2 4.3 • Based on IMF foreca
Slide 26: Banking Sector Highlights | Banking system deposits continue growing in the first half 2026
Banking Sector Highlights | Banking system deposits continue growing in the first half 2026 Recent Developments SAMA LDR (%) & Bank Loans and Deposits (SARmn) 81.5% 80.7% 83.2% 80.3% 79.0% • Deposits have grown in the banking system during Q2 2026 exceeding 4,000 3,296 3,3943,109 80.0% loans growth.
Slide 27: IR Contact Information
IR Contact Information
Slide 28: Additional Information | Contact investor relations for more information
Additional Information | Contact investor relations for more information Investors Relations IR@alrajhibank.com.sa Visit our website (here) for more Investor disclosers: • Annual Report • Factsheet • Financial Statements • Data Supplement • Investor Presentation • Earnings Release Alrajhi Mobile App
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