Saudi’s Nayifat Finance Company posts higher Q1 revenue, reveals growth plan
CEO Abdulmohsen Al Sowailem
Riyadh-based Nayifat Finance Company has disclosed its financial statements over the three-month period that ended March 31, 2019, while announcing a strategic plan for growth.
The company’s revenue edged up 1.12 percent year-on-year consolidating a total amount of SAR 84.9 million, while net income stood at SAR 46.64 million.
Nayifat’s gross asset portfolio reported an increase by 5.8% in Q1 2018 at SAR 2.23 billion, and by 4.7 percent the previous quarter.
Meanwhile, the company’s net income rose at a CAGR of 11.2 percent since 2015 (as of 31 December 2018), with a net income margin of 54.9 percent delivered in Q1 2019.
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Abdulmohsen Al Sowailem, Nayifat’s Chief Executive Officer said in a statement that the company’s quarterly performance has held stable as it prepares for a period of expansion.
“As market conditions improve, we have identified a number of opportunities for expansion, which will see significant growth on the loan book between 2019 and 2023,” Al Sowailem added.
He further explained that the company aims at expanding within the SMEs financing space, including opening at least five new branches by 2022, launching credit card products for existing and prospective customers, and deepening customer segment penetration.
Nayifat currently operates 24 branches in 13 regions across the Kingdom.
Al Sowailem also stressed the crucial role of a stable economic environment and robust regulatory framework within the Saudi Vision 2030, in further promoting the company’s growth objectives.
Highlights in the first quarter of 2019 included the introduction of Smart Loans for consumers, facilitating instant approval and issuance with no guarantor required, and an official tie-up with Monsha’at (the Saudi SME Authority) to support start-up and small business financing requirements.
Established in 2002, Nayifat is among Saudi Arabia’s leading non-bank financial institutions, known among consumers and SMEs. It provides lending solutions to more than 250,000 clients and has more than 40,000 active and creditworthy customers in Saudi Arabia.