Arab National Bank announces its Interim Financial Results for the Period Ending on 2026-06-30 ( Six Months )

Arab National Bank reported a net profit attributable to shareholders of SAR 2.78 billion for the first half of 2026, representing a 5.38% increase compared to SAR 2.64 billion in the same period last year. For the second quarter alone, net profit reached SAR 1.42 billion, a 6.51% year-on-year increase driven by higher operational income and lower impairment charges.
Total operating profit for the six-month period rose 4.82% to SAR 5.33 billion, primarily supported by a 6.86% increase in special commission income. This growth was underpinned by a 10.35% expansion in the loans and advances portfolio to SAR 205.8 billion and a 17.74% rise in the net investment portfolio, which reached SAR 64.7 billion.
Net provisions for expected credit losses (ECL) fell by 25.36% year-on-year to SAR 315 million for the first half of the year, a decrease attributed to improving credit quality across the bank's portfolio. However, quarterly provisions saw a 33.33% increase compared to Q1 2026 to accommodate portfolio growth and updated macroeconomic assumptions under IFRS 9.
The bank’s balance sheet strengthened with total assets growing 9.61% to SAR 295.5 billion and customer deposits increas

Element List	Current Quarter	Similar quarter for previous year	%Change	Previous Quarter	% Change
Total Income From Special Commission of Financing	3,220	3,107	3.636	3,116	3.337
Total Income From Special Commission of Investment	743	776	-4.252	867	-14.302
Net Income From Special Commission of Financing	1,719	1,587	8.317	1,532	12.206
Net Income From Special Commission of Investment	446	569	-21.616	580	-23.103
Total Operations Profit (Loss)	2,742	2,574	6.526	2,589	5.909
Net Profit (Loss) before Zakat and Income Tax	1,679	1,550	8.322	1,600	4.937
Net Profit (Loss) Attributable to Shareholders of the Issuer	1,423	1,336	6.511	1,359	4.709
Total Comprehensive Income Attributable to Shareholders of the Issuer	1,748	1,345	29.962	1,092	60.073
Total Operating Expenses Before Provisions for Credit and Other Losses	894	816	9.558	862	3.712
Total Provision of Expected Credit Losses And Other Losses (Reversing Entry), Net	180	216	-16.666	135	33.333
All figures are in (Millions) Saudi Arabia, Riyals

Element List	Current Period	Similar period for previous year	%Change
Total Income From Special Commission of Financing	6,336	6,020	5.249
Total Income From Special Commission of Investment	1,610	1,416	13.7
Net Income From Special Commission of Financing	3,174	3,105	2.222
Net Income From Special Commission of Investment	1,104	1,005	9.85
Total Operations Profit (Loss)	5,331	5,086	4.817
Net Profit (Loss) before Zakat and Income Tax	3,279	3,076	6.599
Net Profit (Loss) Attributable to Shareholders of the Issuer	2,782	2,640	5.378
Total Comprehensive Income Attributable to Shareholders of the Issuer	2,840	2,881	-1.423
Assets	295,516	269,618	9.605
Investments	64,697	54,948	17.742
Loans And Advances Portfolio (Financing And Investment)	205,782	186,476	10.353
Clients' deposits	217,751	201,723	7.945
Total Shareholders Equity (after Deducting Minority Equity)	52,436	43,591	20.29
Total Operating Expenses Before Provisions for Credit and Other Losses	1,755	1,602	9.55
Total Provision of Expected Credit Losses And Other Losses (Reversing Entry), Net	315	422	-25.355
Profit (Loss) per Share	1.28	1.3
All figures are in (Millions) Saudi Arabia, Riyals

Element List	Amount	Percentage of the capital (%)
Profit (Losses) Resulting From The Change In Investment Propertie’s Fair Value	-	-
All figures are in (Millions) Saudi Arabia, Riyals

Element List	Explanation
The reason of the increase (decrease) in special commission income during the current quarter compared to the same quarter of the last year is	The increase in total special commission income by 2.06% is mainly due to the increase in net loans and advances portfolio by 10.35% and increase in net investments portfolio by 17.74%.
The reason of the increase (decrease) in the net profit during the current quarter compared to the same quarter of the last year is	Net income recorded a growth compared to the similar quarter of previous year. That is primarily due to the increase in net gains/ (losses) on FVSI financial instruments, net gains/ (losses) on non-trading instruments, net exchange income, net other operating income and net special commission income. Whereas this was supported by reduction in net allowance charges for ECL and other provisions. However, this growth was partially offset by the increase in the costs related to salaries and employee related expenses, other general and administrative expenses, depreciation and amortisation and premises related expenses. That is along with the reduction in dividend income, net trading income and net fee and commission income.
The reason of the increase (decrease) in the total net provision (reversing entry) of expected credit losses and other losses during the current quarter compared to the same quarter of the last year is	The ECL charge during the period decreased. That is primarily driven by improving portfolio credit quality. The Bank’s resilient asset quality and efficient provisioning approach, alongside the continued effectiveness of the Bank’s practices in alignment with the IFRS 9, collectively contributed in an overall decline in the net provisions for expected credit and other assets.
The reason of the increase (decrease) in special commission income during the current quarter compared to the previous quarter is	The improvement in special commission expense effectively mitigated the slight decrease of -0.50% in the special commission income.
The reason of the increase (decrease) in the net profit during the current quarter compared to the previous quarter is	Net income recorded a growth compared to the previous quarter. That is primarily due to the increase in net gains/ (losses) on FVSI financial instruments, net special commission income, net exchange income and net fee and commission income. Whereas this was supported by reduction in depreciation and amortisation and premises related expenses. However, this growth was partially offset by the increase in the costs related to net allowance charges for ECL and other provisions, other general and administrative expenses and salaries and employee related expenses. That is along with the reduction in net trading income, dividend income, net other operating income and net gains/ (losses) on non-trading instruments.
The reason of the increase (decrease) in the total net provision (reversing entry) of expected credit losses and other losses during the current quarter compared to the previous quarter is	The ECL charge during the period increased. That is mainly due to portfolio growth and consistent with the macroeconomic assumptions, in line with the IFRS 9 model. This reflects a forward-looking approach, supporting the Bank’s overall financial stability, collectively contributed in an overall increase in the net provisions for expected credit and other assets.
The reason of the increase (decrease) in special commission income during the current period compared to the same period of the last year is	The increase in total special commission income by 6.86% is mainly due to the increase in net loans and advances portfolio by 10.35% and increase in net investments portfolio by 17.74%.
The reason of the increase (decrease) in the net profit during the current period compared to the same period of the last year is	Net income recorded a growth compared to the same period of prior year. That is primarily due to the increase in net special commission income, net gains/ (losses) on non-trading instruments, net gains/ (losses) on FVSI financial instruments, net other operating income and net exchange income. Whereas this was supported by reduction in net allowance charges for ECL and other provisions. However, this growth was partially offset by the increase in the costs related to salaries and employee related expenses, other general and administrative expenses, depreciation and amortisation and premises related expenses. That is along with the reduction in net fee and commission income, dividend income and net trading income.
The reason of the increase (decrease) in the total net provision (reversing entry) of expected credit losses and other losses during the current period compared to the same period of the last year is	The ECL charge during the period decreased. That is primarily driven by improving portfolio credit quality. The Bank’s resilient asset quality and efficient provisioning approach, alongside the continued effectiveness of the Bank’s practices in alignment with the IFRS 9, collectively contributed to an overall decline in the net provisions for expected credit and other assets.
Statement of the type of external auditor's report	Unmodified Conclusion
Comment mentioned in the external auditor’s report, mentioned in any of the following paragraphs (other matter, conservation, notice, disclaimer of opinion, or adverse opinion)	None.
Reclassification of Comparison Items	Certain comparative period figures have been reclassified/ restated to conform with current period presentation, as per the interim condensed consolidated financial statements.
Additional Information	Basic and diluted earnings per share for the periods ending on June 30, 2026 and 2025 is calculated by dividing net income for the period attributable to equity holders, adjusted for Tier 1 Sukuk costs, by the weighted average number of outstanding shares as of June 30, 2026: 1,986.0 million shares (June 30, 2025: 1,994.3 million shares) after accounting for treasury shares.