RIYADH: Saudi Arabia’s Al Rajhi Bank exceeded analysts’ estimates to report a 16 percent increase in its annual net profit in 2022 led by higher operating income. The aggregate net profit of the Kingdom’s second-largest valued bank reached SR17.15 billion ($4.57 billion) in 2022, up from SR14.75 billion the year before, according to a bourse statement on Monday. Abdullah bin Sulaiman alrajhi, chairman of the board of directors, said that the bank continued to grow at all levels and achieved its strategic goals based on customer loyalty, investor confidence, and the professionalism of its employees. Last year’s profits exceeded previous analyst estimates of SR16.88 billion since the bank registered a higher-than-expected level of operating income in 2022, showed data from Refinitiv. The higher net profit was spurred by an 11 percent year-on-year increase in total operating income, amid a rise in net financing and investment income, income fees from banking services, net exchange income, and other operating income. "We"re proud to see growth in several sectors contributing to the success of the Kingdom"s Vision 2030. Real estate financing for Saudis grew by 30 percent; small and medium enterprises financing saw a 61 percent increase; and we saw a growth in digital banking for both corporate and retail customers,” said alrajhi. He added that the bank continues to lead in providing digital products and services resulting in 94 percent of all accounts opened in 2022 being done through the bank"s mobile application. “In addition, we also saw a 109 percent increase in the number of female workforces in the bank and its subsidiaries, now making up 28 percent of the total workforce.” Saudi Arabia’s leading Islamic bank achieved SR4.4 billion in profits in the fourth quarter of 2022 compared to SR4 billion in the same period of 2021, according to Reuters calculations. On the other hand, total operating expenses, including impairment charges for financing, slightly rose by 1.95 percent in 2022, the bourse statement added. This was a result of an increase in salaries and employee-related benefits, depreciation expenses, and other general and administrative expenses. The statement revealed that impairment charges for financing also fell by 14.7 percent going from SR2.36 billion in 2021 to SR2 billion in 2022. Al Rajhi Bank’s authorized, issued and fully paid share capital contained 4 billion shares of SR10 each in 2022, compared to 2.5 billion shares of SR10 each in 2021. Shareholders’ equity, excluding minority interest, increased by 49 percent year-on-year to SR100.2 billion by the end of 2022. Furthermore, loans and advances reached SR568.3 billion in 2022, witnessing a 25.5 percent increase over 2021, whereas deposits increased by 10.3 percent to reach SR564.93 billion. The bank’s assets and investments also increased last year by 22.2 percent and 21 percent to reach SR762.4 billion and SR102.2 billion respectively. Founded in 1957 and considered the world’s largest Islamic bank by capital based on 2015 data, Al Rajhi Bank is a major investor in Saudi Arabia’s business and is one of the major joint stock firms in the Kingdom.