Alinma’s slight profit growth in Q4 is a ‘good’ start, says CEO

Alinma Bank’s slight profit growth in fourth quarter earnings compared to the same period last year is considered a good start, said Abdul Mohsen Al-Fares, the bank’s chief executive.

The bank’s non-performing loans’ coverage exceeded 185 percent, while fiscal year 2014 provisions grew by SAR 140 million, he was quoted as saying by Al Arabiya news channel.

Loans-to-deposits ratio dropped from 105 percent in fiscal year 2013 to 90 percent in 2014, which is very close to the Saudi Arabian central bank’s defined ratio, he noted.

The growth of retail financing loans boosted the lender’s earnings, representing 20 percent of the bank’s total portfolios.

The bank posted a 19 percent rise year-on-year in Q4-2014 net ​profit to SAR 332 million, according to the data available on Argaam.