The Saudi British Bank (SABB) recorded a net profit of SR2.3 billion ($603 million) for the nine months ended Sept. 30, up SR361 million ($96 million), or 19 percent, compared with SR1.9billion ($507 million) for the same period in 2007. Net profit of SR711 million ($190 million) in the third quarter ended Sept. 30 rose 9.2 percent or by SR60 million ($16 million), compared with SR651 million ($174 million) for the same period in 2007. Earnings per share of SR3.77 ($1.01) for the nine months increased 19 percent from SR3.17 ($0.85) for the same period in 2007. Earnings per share in the period covered have been adjusted to reflect a 3:5 bonus issue approved on April 27. Operating income jumped 17.2 percent to SR3.7 billion ($986 million) in nine months or by SR544 million ($145 million), compared with SR3.2 billion ($841 million) for the same period in 2007. Customer deposits reached SR95.7 billion ($25.5 billion) - up SR25.4 billion ($6.8 billion), or 36.1 percent, compared with SR70.3 billion ($18.7 billion) in the year-ago period. Loans and advances to customers hit SR83.6 billion ($22.3 billion) - up SR29.4 billion ($7.8 billion), or 54.2 percent from SR54.2 billion ($14.5 billion) a year ago. The bank's investment portfolio totaled SR36.0 billion ($9.6 billion) as of Sept. 30 compared with SR17.0 billion ($4.5 billion) from last year. Total assets soared to SR132.6 billion ($35.4 billion) - up SR43.0 billion ($11.5 billion), or 48 percent against the same period last year. Overheads increased by SR184 million ($49 million) in the nine months or 18.3 percent compared with the same period in 2007, mainly due to an increase in headcount and performance related compensation. Provisions for bad debts have been reduced by SR15 million ($4 million) in the nine months, or 5.1 percent compared with the same period in 2007, with increased recoveries offsetting higher volume driven general impairment charges. John Coverdale, managing director of SABB, said: “These results demonstrate SABB's commitment to providing consistent and sustainable results by carefully balancing our risk and growth appetite. Furthermore, we advise that we have no significant exposure to the US subprime mortgage market which would have an adverse impact on these results.” __
