Founding and Legal Structure
The National Commercial Bank (NCB) was the first bank to be licensed in the Kingdom. It is considered the largest in the Saudi Arabia and a leading financial services group in the region. The Bank initiated its business under the name of ?The National Commercial Bank? following the Royal Decree on 20 Rabi Thani 1373H (26 December 1953). In 1999, the Government through the Ministry of Finance?s Public Investment Fund (PIF) acquired a majority holding in the Bank.
The National Commercial Bank owns 90.71 percent of NCB Capital, its investment arm and the premier investment bank in the Kingdom, and owns 67.03 percent of Turkiye Finans Katilim Bankasi (TFKB), the leading participation bank in Turkey.
Financial Indicators ? 2014
NCB is one of the largest bank in the Arab world. The Bank?s paid-up capital is SR 20,000 million (US$ 5,000 million).
- Total Assets totaled SR 434,878 million (US$ 115,967 million)
- Net Profit totaled SR 8,655 million (US$ 2,308 million)
- Shareholders? Equity totaled SR 45,214 million (US$ 12,057 million)
- Return-on-average Shareholders? Equity amounted to 20.1 percent
- Earnings Per Share amounted to SR 4.34 (US$ 1.16)
Key Facts & Figures ? 2014
The Bank operated 342 branches throughout the Kingdom, dedicated exclusively to Islamic banking services
- The Bank?s customers surpassed more than 4 million clients.
- The Bank?s employees throughout the Kingdom reached a total of 7,515, and 94.5 percent of which are Saudi nationals.
- The bank operated 2,643 Automated Teller Machines (ATM) throughout the Kingdom
- Over 91 percent of customer transactions had been successfully executed through alternative delivery channels during the year.
- NCB is considered from among the first Saudi companies that implemented the principle of Corporate Governance and the first bank in Saudi Arabia to receive International Certification on Business Continuity Management.
- The Bank also maintained its leadership in Corporate Social Responsibility. A number of new programs were launched to enhance NCB?s strategic partnership and geographical coverage. Various initiatives included job opportunity programs that provided entrepreneurs with knowledge, support, and benevolent loans.
NCB Capital ? 2014
The NCB Capital (NCBC), NCB?s investment arm, continues to build a market-leading position. Today, it puts advice on asset allocation and a growing discretionary portfolio management business firmly at its center, alongside the firm?s highly regarded Mutual Funds.
Turkiye Finance Katilim Bankasi (TFKB) ? 2014
Turkiye Finance Katilim Bankasi, the leading Turkish participation bank, in which NCB owns 67.03 percent shareholding, continued to grow in 2014 despite the financial and economic challenges globally and in the domestic market. Its Total Assets grew by 21.8 percent, the result of robust expansion in the bank?s loan portfolio and customer deposits, which rose by 21.3 percent and 16.6 percent, respectively.
TFKB?s branch network comprises 28 branches and is the second largest network in Turkey?s participation banking sector. In customer segmentation, the Bank refined its processes to provide improved offerings to certain segments. In process optimization, it streamlined key operational procedures. As a result, the Bank achieved a Net Income attributable to parent of SR 247 million (US$ 65.8 million).