Financial Statements for the period ended 30 September 2021

The Saudi British Bank

Interim Condensed Consolidated Financial Statements

For the nine months period ended

30 September 2021

(Unaudited)

The Saudi British Bank

Interim consolidated statement of financial position as at

SAR'000

			30 September		31 December	30 September
	Notes		2021		2020	2020
		Unaudited		Audited	Unaudited
					(Restated)	(Restated)
Assets
Cash and balances with SAMA	5		13,960,749		36,449,415	21,510,775
Due from banks and other financial institutions, net	6		5,819,935		5,105,498	4,923,876
Positive fair value derivatives, net	11		1,463,199		1,961,306	2,169,903
Non-current assets classified as held for sale	9 (a)		68,134		-	-
Investments held at fair value through other	7		15,090,991		13,703,233	13,437,948
comprehensive income (FVOCI)
Investments held at fair value through statement of	7		1,390,505		1,237,760	1,166,415
income (FVSI)
Investments held at amortised cost, net	7		49,624,487		45,890,014	49,497,556
Loans and advances, net	8		163,500,115		153,243,078	151,885,546
Investment in associates	9		536,079		619,232	595,223
Other assets			4,154,950		4,090,172	4,572,572
Goodwill and other intangibles	10		10,775,742		10,982,536	10,956,532
Property, equipment and right of use assets, net			3,167,567		3,169,427	3,241,215
Total Assets			269,552,453		276,451,671	263,957,561
LIABILITIES AND EQUITY
Liabilities
Due to banks and other financial institutions			17,986,284		17,620,956	14,480,455
Customers' deposits	12		180,247,727		189,110,140	180,198,367
Debt securities in issue	13		5,026,153		5,066,610	5,028,906
Negative fair value derivatives, net	11		1,966,739		2,819,086	3,075,982
Other liabilities			11,724,462		11,073,139	11,386,529
Total liabilities			216,951,365		225,689,931	214,170,239
Equity
Equity attributable to equity holders of the Bank
Share capital			20,547,945		20,547,945	20,547,945
Share premium			8,524,882		17,586,986	17,586,986
Statutory reserve	24		20,547,945		11,485,841	11,485,841
Other reserves			(30,370)		324,937	40,860
Retained earnings			2,908,576		711,063	18,493
Total equity attributable to equity holders of the			52,498,978		50,656,772	49,680,125
Bank
Total equity attributable to Non-controlling interest	14		102,110		104,968	107,197
Total equity			52,601,088		50,761,740	49,787,322
Total liabilities and equity			269,552,453		276,451,671	263,957,561

Lama Ghazzaoui	Tony Cripps
Chief Financial Officer	Managing Director & Authorized Member

The accompanying notes 1 to 27 form an integral part of these interim condensed consolidated financial statements

The Saudi British Bank Interim Condensed Consolidated Financial statements 1

The Saudi British Bank

Interim consolidated statement of income - Unaudited

SAR'000			Three months ended		Nine months ended
			30 September		30 September		30 September		30 September
	Notes		2021		2020		2021		2020
				(Restated)				(Restated)
Special commission income			1,558,470		1,855,921		4,821,901		6,130,480
Special commission expense			(149,636)		(198,353)		(514,644)		(755,199)
Net special commission income			1,408,834		1,657,568		4,307,257		5,375,281
Fee and commission income			655,226		566,921		1,836,497		1,593,755
Fee and commission expense			(315,409)		(224,789)		(899,658)		(602,751)
Fee and commission income, net			339,817		342,132		936,839		991,004
Exchange income, net			161,281		124,559		429,206		384,737
Income from FVSI financial instruments, net			36,987		19,799		121,411		122,222
Dividend income			-		-		14,828		25,284
Gains on FVOCI debt instruments, net			16,037		4,694		63,520		31,200
Other operating income / (loss), net			4,658		(7,389)		78,253		(101,374)
Total operating income			1,967,614		2,141,363		5,951,314		6,828,354
Provision for expected credit losses, net	20(a)		(12,996)		(51,098)		(40,242)		(1,598,947)
Goodwill impairment			-		-		-		(7,417,776)
Operating expenses:
Salaries and employee related expenses			(460,209)		(442,680)		(1,263,777)		(1,393,957)
Rent and premises related expenses			(14,706)		(18,118)		(44,290)		(49,005)
Depreciation and amortization			(140,997)		(183,295)		(489,735)		(498,923)
General and administrative expenses			(320,973)		(357,239)		(889,536)		(1,030,170)
Total operating expenses			(936,885)		(1,001,332)		(2,687,338)		(2,972,055)
Income / (loss) from operating activities			1,017,733		1,088,933		3,223,734		(5,160,424)
Share in earnings of associates	9		20,032		23,398		84,148		57,926
Net income/ (loss) for the period before			1,037,765		1,112,331		3,307,882		(5,102,498)
Zakat and income tax
Provision for Zakat and income tax -			(119,296)		(63,147)		(455,982)		(205,598)
Current
(Provision for) / reversal of income tax -			(32,697)		-		(77,250)		460,850
Deferred
Net income/ (loss) for the period after			885,772		1,049,184		2,774,650		(4,847,246)
Zakat and income tax
Attributable to:
Equity holders of the Bank			885,302		1,049,991		2,777,508		(4,837,271)
Non-controlling interest			470		(807)		(2,858)		(9,975)
Net income / (loss) for the period after			885,772		1,049,184		2,774,650		(4,847,246)
Zakat and income tax
Basic and diluted earnings / (loss) per	16		0.43		0.51		1.35		(2.35)
share (in SAR)

Lama Ghazzaoui	Tony Cripps
Chief Financial Officer	Managing Director & Authorized Member

The accompanying notes 1 to 27 form an integral part of these interim condensed consolidated financial statements

The Saudi British Bank Interim Condensed Consolidated Financial statements 2

The Saudi British Bank Interim consolidated statement of comprehensive income -Unaudited

SAR'000	Three months ended	Nine months ended
	30 September	30 September	30 September	30 September
	2021	2020	2021	2020
		(Restated)		(Restated)
Net income / (loss) for the period after Zakat and income tax	885,772	1,049,184	2,774,650	(4,847,246)
Other comprehensive income for the period
Items that will not be reclassified to interim consolidated
statement of income in subsequent periods
Net changes in fair value (FVOCI equity instruments)	2,469	3,612	375,844	(199,854)
Re-measurement of defined benefit liability	(5,221)	-	(19,203)	-
Items that may be reclassified to interim consolidated
statement of income in subsequent periods
Debt instruments at FVOCI:
Net changes in fair value	(67,292)	413,228	(19,119)	(2,436)
Transfer to interim consolidated statement of income, net	(16,037)	(4,694)	(63,520)	(31,200)
Cash flow hedges:
Net changes in fair value	261	(3,955)	662	(4,631)
Transfer to interim consolidated statement of income, net	(4,272)	3,330	(10,398)	(1,100)
Total other comprehensive (loss) / income for the period	(90,092)	411,521	264,266	(239,221)
Total comprehensive income / (loss) for the period	795,680	1,460,705	3,038,916	(5,086,467)
Attributable to:
Equity holders of the Bank	795,210	1,461,512	3,041,774	(5,076,492)
Non-controlling interest	470	(807)	(2,858)	(9,975)
Total	795,680	1,460,705	3,038,916	(5,086,467)

Lama Ghazzaoui	Tony Cripps
Chief Financial Officer	Managing Director & Authorized Member

The accompanying notes 1 to 27 form an integral part of these interim condensed consolidated financial statements

The Saudi British Bank Interim Condensed Consolidated Financial statements 3