{ "docId": "019dd923-5de0-76bd-a166-85fd4587d7e0", "docSlug": "fe45dc45fa2f865d", "documentTitle": "Saudi Arabia Banking Pulse", "authorId": "misc", "authorName": "Alvarez & Marsal", "documentKindSlug": "consulting-deck", "documentKindLabel": "Consulting deck", "sourceTypeSlug": "strategy_consulting", "sourceTypeLabel": "Strategy consulting", "presentationDate": null, "orientation": "landscape", "aspectRatio": 1.778, "pageNumber": 2, "pageCount": 30, "prevPage": 1, "nextPage": 3, "slideType": "executive_summary", "function": "summarize", "density": "overcrowded", "nDataPoints": 11, "notes": null, "elementsJson": [ "headline_text", "paragraph" ], "metadataConfidence": 1, "imagePath": null, "slideHref": "/slides/019dd923-5de0-76bd-a166-85fd4587d7e0/2", "deckHref": "/decks/019dd923-5de0-76bd-a166-85fd4587d7e0", "deckJsonHref": "/decks/019dd923-5de0-76bd-a166-85fd4587d7e0.json", "deckAnchorHref": "/decks/019dd923-5de0-76bd-a166-85fd4587d7e0#slide-2", "components": [ { "bbox": { "h": 0.1, "w": 0.9, "x": 0.05, "y": 0.82 }, "kind": "disclaimer", "text": "Disclaimer: The information contained in this document is of a general nature and has been obtained from publicly available information plus market insights. The information is not intended to address the specific circumstances of an individual or institution. There is no guarantee that the information is accurate at the date received by the recipient or that it will be accurate in the future. All parties should seek appropriate professional advice to analyze their particular situation before acting on any of the information contained herein. The growth figures for all the line items are on a quarterly basis (QoQ)", "attrs": null, "subkind": null, "toolName": null, "toolSlug": null, "confidence": null, "componentId": "139b635d-2f1c-4740-824a-49f18e5df114", "frameworkName": null, "frameworkSlug": null }, { "bbox": null, "kind": "metric", "text": "Net Income growth: 5.3%", "attrs": null, "subkind": "primary", "toolName": "Quantification", "toolSlug": "quantification", "confidence": null, "componentId": "019dd951-fef5-761e-80aa-eac749233d30", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.15, "w": 0.45, "x": 0.05, "y": 0.18 }, "kind": "paragraph", "text": "Alvarez & Marsal Arabia Limited (A&M) is delighted to publish the Q3'24 edition of the Kingdom of Saudi Arabia (KSA) Banking Pulse (\"The Pulse-KSA\"). In this quarterly series, we share results from our research examining the top ten listed KSA banks by assets and highlight key performance indicators of the KSA banking industry. The Pulse-KSA aims to help banking executives and board members stay current on industry trends.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "246fa84e-6b75-4720-9edc-aff642155ff5", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.1, "w": 0.45, "x": 0.05, "y": 0.53 }, "kind": "paragraph", "text": "Banks reported a marginal improvement in cost efficiency as cost-to-income ratio decreased by 31bps QoQ to 31.0%; Stage 3 loans are well provided for with 56.1% coverage with stage 3 ECL allowance. Overall, RoE increased 56bps QoQ to 17.4% while ROA remained stable at 2.0% in Q3'24.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "59c7e08f-aee8-47fc-ba95-8db36c43529b", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.2, "w": 0.45, "x": 0.05, "y": 0.33 }, "kind": "paragraph", "text": "Lending growth momentum continued in Q3'24 with L&A increasing by 3.7% QoQ mainly driven by corporate / wholesale banking (+4.4% QoQ). However, deposits mobilization moderated and increased by 1.4% QoQ, slower than L&A, although time deposits (+4.2% QoQ) continued to see an uptick on back of high interest rates. Operating income increased by 6.0% QoQ, as NII increased by 3.5% QoQ and non-interest income surged by 15.2% QoQ. Impairment charges increased moderately, and net income grew 5.3% QoQ.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "c2194bae-d0a0-4f8f-8ecc-6c439b493db7", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.15, "w": 0.45, "x": 0.05, "y": 0.63 }, "kind": "paragraph", "text": "SAMA cut the repo rate by 50bps during Q3'24, in line with the US Fed and is anticipated to continue to be expansionary in the coming quarters. Non-oil GDP growth in KSA is expected to be fueled by the Vision 2030 initiatives supporting consumer spending, tourism, and construction sectors. While KSA banks are successfully navigating the rate cycle through favorable asset repricing and improved cost efficiency, geopolitical / regional tensions and steeper rate cuts are expected to remain a feature of Board discussions.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "e622144a-6f24-486f-aa31-408cefe0178e", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.04, "w": 0.1, "x": 0.05, "y": 0.08 }, "kind": "title", "text": "Foreword", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "48780ca3-6dad-47a3-a765-f14efab65bbc", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [ { "name": "Executive summary", "slug": "executive-summary", "agent": null, "layer": "slide", "matchId": "89a10bcb-12d6-420d-b411-67d428f36c56", "evidence": "type: executive_summary", "confidence": 0.9 }, { "name": "Storytelling: audience calibration", "slug": "audience", "agent": "storyteller", "layer": "slide", "matchId": "622773f6-4934-4e31-bf20-def272ffc837", "evidence": "Disclaimer: The information contained in this document is of a general nature and has been obtained from publicly available information plus market insights.", "confidence": 0.7 } ], "frameworks": [], "arcBeats": [], "loops": [], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }