SHL Finance Reports SAR 35.35M Net Profit in the Six Months 2026
SHL 1183.SA | 0.00 |
On 2026-07-29 15:47:21 (Saudi Time), SHL Finance Co. announced its Interim financial results for the six months ended on June 30, 2026.
| Element List | Current Quarter | Similar quarter for previous year | %Change | Previous Quarter | % Change |
|---|---|---|---|---|---|
| Total Income From Special Commission of Financing | 111,733 | 99,576 | 12.208 | 108,477 | 3.001 |
| Net Income From Special Commission of Financing | 65,888 | 50,156 | 31.366 | 63,456 | 3.832 |
| Net Income From Special Commission of Investment | - | - | - | - | - |
| Total Operations Profit (Loss) | 65,888 | 50,156 | 31.366 | 63,456 | 3.832 |
| Net Profit (Loss) before Zakat and Income Tax | 20,354 | 14,424 | 41.112 | 23,564 | -13.622 |
| Net Profit (Loss) Attributable to Shareholders of the Issuer | 16,541 | 11,928 | 38.673 | 18,810 | -12.062 |
| Total Comprehensive Income Attributable to Shareholders of the Issuer | 16,458 | 12,040 | 36.694 | 18,633 | -11.672 |
| Total Operating Expenses Before Provisions for Credit and Other Losses | 87,488 | 82,842 | 5.608 | 90,243 | -3.052 |
| Total Provision of Expected Credit Losses And Other Losses (Reversing Entry), Net | 7,704 | 4,806 | 60.299 | -576 | - |
| All figures are in (Thousands) Saudi Arabia, Riyals | |||||
| Element List | Current Period | Similar period for previous year | %Change |
|---|---|---|---|
| Total Income From Special Commission of Financing | 220,210 | 194,908 | 12.981 |
| Net Income From Special Commission of Financing | 129,344 | 96,035 | 34.684 |
| Net Income From Special Commission of Investment | - | - | - |
| Total Operations Profit (Loss) | 129,344 | 96,035 | 34.684 |
| Net Profit (Loss) before Zakat and Income Tax | 43,918 | 31,095 | 41.238 |
| Net Profit (Loss) Attributable to Shareholders of the Issuer | 35,351 | 26,014 | 35.892 |
| Total Comprehensive Income Attributable to Shareholders of the Issuer | 35,091 | 25,537 | 37.412 |
| Assets | 4,894,316 | 4,657,908 | 5.075 |
| Investments | 893 | 893 | - |
| Loans And Advances Portfolio (Financing And Investment) | 4,693,533 | 4,497,910 | 4.349 |
| Clients' deposits | - | - | - |
| Total Shareholders Equity (after Deducting Minority Equity) | 1,722,612 | 1,713,175 | 0.55 |
| Total Operating Expenses Before Provisions for Credit and Other Losses | 177,731 | 164,847 | 7.815 |
| Total Provision of Expected Credit Losses And Other Losses (Reversing Entry), Net | 7,128 | 4,047 | 76.13 |
| Profit (Loss) per Share | 0.35 | 0.26 | |
| All figures are in (Thousands) 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 (Thousands) Saudi Arabia, Riyals | |||
Year-on-Year Performance Drivers
Total special commission income from financing rose 12.98% YoY to SAR 220.21 million (SAR 0.22 million after conversion) for the six-month period ending June 30, 2026, up from SAR 194.91 million in the same period last year, driven by higher profit rates on new loans and growth of the financing portfolio. Net profit attributable to shareholders increased 35.89% YoY to SAR 35.35 million from SAR 26.01 million, supported by a 34.684% surge in net special commission income from financing to SAR 129.34 million. Operating expenses rose 7.815% YoY to SAR 177.73 million, while total net provisions for expected credit losses increased 76.13% YoY to SAR 7.13 million, reflecting the expansion of the financing portfolio, though this was more than offset by the strong income growth.
Quarter-on-Quarter Performance Drivers
QoQ, total special commission income from financing rose 3.0% to SAR 111.73 million (SAR 0.11173 million after conversion) from SAR 108.48 million in the previous quarter, driven by higher profit rates on new loans and growth of the financing portfolio. However, net profit attributable to shareholders declined 12.06% QoQ to SAR 16.54 million from SAR 18.81 million, primarily due to a significantly higher expected credit loss charge of SAR 7.70 million in the current quarter versus a net reversal of SAR (0.58) million in the prior quarter. Operating expenses before provisions also eased slightly by 3.052% QoQ, partially offsetting the impact of the elevated credit loss provisions.
Other Items
The external auditor issued an unmodified conclusion on SHL Finance Co.'s interim financial results for the six months ended June 30, 2026, with no additional comments, reservations, disclaimers, or adverse opinions noted. Total assets stood at SAR 4,894,316 thousand as of the current period, up 5.075% from SAR 4,657,908 thousand in the same period of the prior year, while the loans and advances portfolio grew 4.349% YoY to SAR 4,693,533 thousand. Total shareholders' equity (after deducting minority equity) was SAR 1,722,612 thousand, a marginal increase of 0.55% from SAR 1,713,175 thousand. Earnings per share for the current period were SAR 0.35, compared to SAR 0.26 for the same period of the previous year. No reclassification of comparative figures was made. The company does not engage in deposit-taking activities, and no customer deposits are applicable. No material risks, going concern uncertainties, debt covenant breaches, or accumulated loss disclosures were reported in this announcement.
Original announcement:
https://www.saudiexchange.sa/wps/portal/saudiexchange/newsandreports/issuer-news/issuer-announcements/issuer-announcements-details/?anId=97070&anCat=1&cs=1183&locale=arImportant Notice: The announcement information and market data in this report are sourced directly from the Saudi Exchange (Tadawul). This summary is generated by Sahm’s proprietary AI model for informational purposes only. While we strive for accuracy, it should not be construed as financial advice or an investment recommendation.