RIYADH, Jan 12 (Reuters) - Saudi British Bank (SABB), Saudi Arabia's fourth-largest listed bank, said itsfourth-quarter net profit rose 20 percent over the same periodof 2012, beating analyst expectations.
The lender, an affiliate of HSBC Holdings, said itmade 976 million riyals ($260 million) in the three months toDec. 31, compared to 815 million riyals in the correspondingperiod of 2012.
Eight analysts surveyed by Reuters had forecast it wouldearn a net profit of 924.5 million riyals in the quarter.
SABB attributed its profit rise only to higher operatingincome, without elaborating.
Net profit for full-year 2013 advanced 16.5 percent to 3.77billion riyals.
Saudi companies issue brief earnings statements early in thereporting period before publishing more detailed results later.
SABB's loans portfolio climbed 10 percent to 106 billionriyals over the end of 2012, and deposits grew 15 percent overthe same timeframe to 139 billion riyals.
SABB managing director David Dew told Reuters in an Oct. 1interview the bank was finalising a three-year strategic planbased on an assumption that government spending will continue togrow and that Saudi bank lending levels to the private sectorare sustainable in the mid teens for the next two-three years.
Saudi banks have benefited from rising lending, deposits anddeal activity in an economy buoyed by years of high statespending which is backed by strong oil prices and recordgovernment surpluses.
The kingdom's budget for 2014, while the smallest increasefor a decade at 4.3 percent, is still another record amount, andbank lending to the private sector grew at 13.8 percentyear-on-year in November, up 0.3 percent from the previousmonth's 17-month low.
Total operating income for the quarter rose 12.6 percentyear-on-year to 5.82 billion riyals, and profit from specialcommissions grew 13.9 percent over the corresponding period of2012 to 3.72 billion riyals.
SABB said last month its board had recommended a cashdividend of 1 riyal per share for 2013, up from 0.92 riyals in2012.