SABB Results presentation 3Q21

Saudi British Bank

3Q21 Results presentation

Presentation to investors and analysts

Contents

1. Key messages and profile
2. 3Q21 SABB performance

KEY MESSAGES AND PROFILE | 3Q21 PERFORMANCE

Key messages

1

2

3

4

We are in the first year of our 5-year strategic plan - a pivotal year which lays the foundation for our growth-orientedlong-term aims; our businesses continue to show traction with a fourth consecutive quarter of lending growth

9M21 Net income before Zakat and income tax of SAR3.3 billion; underlying net income increased 25% mainly from lower ECL partly offset by lower revenue; revenue was impacted by increased competition; costs remain under control; annualised RoTE of 9.0% YTD

ESG remains front and centre of our plans; the first Saudi institution to make a green deposit, established an ESG-compliant fund through HSBC Saudi Arabia, and were awarded 'The Leading Bank in Financing Sustainable Projects in the Middle East' from Global Finance Magazine

SABB closed the reporting period with robust levels of capital, liquidity and a strong funding base. CET1 ratio of 19.3%, a loan to deposit ratio of 91%1, over SAR70 billion of high quality liquid assets and a strong demand deposit ratio of 77%

1. Loan to deposit ratio is calculated as Net loans divided by Customer deposits

SABB 3Q21 Results presentation	3

SABB's strengths

Diversified businesses

Retail Banking	Retail Banking and Wealth Management provides
and Wealth	services and products to personal and private
Management	customers, through a range of market leading digital
	channels and a traditional branch network.
Corporate and	As one of the largest commercial banks in the Kingdom,
Institutional	we support a variety of clients from micro enterprises
Banking	focused on the domestic market to large internationally
	focused enterprises.
Treasury	We provide corporate, institutional, retail and private
	banking customers with access to capital markets,
	foreign currency and rates management solutions. In
	addition, we manage the liquidity and market risk of the
	bank, including the deployment of the bank's
	commercial surplus through its investment portfolio.

KEY MESSAGES AND PROFILE | 3Q21 PERFORMANCE

SABB credentials1

We are the leading international bank the Kingdom through a deep understanding of the needs of our customers, and a bespoke product suite that brings intrinsic value to our customers. Our unique partnership with HSBC Group enables us to bring international connectivity to our customer base.

c. 20%		1.7m		13%
Trade market		Retail customers		Corporate lending
share				market share
Top 3		c. 27k		19.3%
Corporate bank		Corporate and		CET 1 ratio
by loans		Institutional
		customers
189%		6%		12%
Liquidity coverage		PoS market share		FX market share
ratio

		9M21 key financials by business			Diverse lending portfolio	Solid deposit base
Retail	Corporate and Institutional Banking	Treasury			Building and
						construction
			3%		Government	8%	Diverse range
						of sectors
					11%
22%
	23%			Manufacturing				77%
	34%	Gross			11%
	Deposits	43%			demand
Revenue	loans and
				deposit
SAR6.0bn	advances	SAR180bn
					ratio
		SAR170bn	54%
				Commerce	24%	23%
		77%			Consumer
44%
							loans and
								credit cards

1. Market share are based as at 2Q21.

SABB 3Q21 Results presentation	4

KEY MESSAGES AND PROFILE | 3Q21 PERFORMANCE

Strategy 2025 objectives

VISION We bring a world of financial opportunity to an ambitious Kingdom

Best in class		Be the leading international		Offer a leading online		The best
universal banking		bank in the Kingdom,		and mobile digital		place to
serving all customer		accessing an unrivalled		banking experience		work
groups in the		global network through
Kingdom		HSBC

OUR ACTIONS TO OUTGROW THE MARKET

2025 TARGETS

1 Top 3 bank for Loans

Current	Mid-single digit loan
expectation:	growth per year

2 Top 3 bank for Revenue

Current Mid to high single digit expectation: revenue growth per year

3 Top 3 bank for cost

efficiency

Current	<32% CER
expectation:

	Build on our									Maximise our
	core strengths									participation in
										key growth areas
1.	Bank of choice for Large	1.				Fast growing Mid-
	Corporates					Corporate business
2.	Reinforce leadership in	2.				Digital SME focus
	Trade and Payments	3.				Mortgage expansion

1. Maintain leadership in Wealth
2. Reinforce our position in Cards

Transform the organisation

1. Lead in digital innovation and evolve the IT architecture
2. Transforming HR and developing the right talent
3. Revamp operating model through improved data management, automation and digitisation

4 Top 3 bank for capital

Current	18 to 19% CET1 ratio
expectation:

5 Top 3 bank for RoTE

Current	>13% RoTE
expectation:

SABB 3Q21 Results presentation	5