Saudi's Alinma Bank announces $158.9mln dividend

Board recommends payout despite 21% decline in net profit last year

  
An investor gestures as he monitors a screen displaying stock information in Riyadh, Saudi Arabia, November 6, 2017.

An investor gestures as he monitors a screen displaying stock information in Riyadh, Saudi Arabia, November 6, 2017.

REUTERS/Faisal Al Nasser

Saudi Arabia’s Alinma Bank is set to distribute cash dividends worth more than 596 million riyals ($158.9 million) to its shareholders for the year 2020.

The board of directors recommended the payout, equivalent to 3 percent of the share par value, the bank said in a statemen to the Saudi Stock Exchange (Tadawul).

More than 1.9 billion shares will be eligible for the dividend, which will be distributed at SAR 0.30 per share.

Alinma is the ninth-largest bank by assets in Saudi Arabia. It posted a 21 percent decline in net profit for the full year 2020 to 2.2 million riyals.

“Net profit declined mainly [due to] higher impairment charges and revaluation losses,” the bank said.

Its net income from financing and investments went up by 8 percent, while total operating profit rose by 2 percent.

(Writing by Cleofe Maceda; editing by Seban Scaria)

Cleofe.maceda@refinitiv.com

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