Derayah Financial Co. announces its Annual Financial results for the period ending on 2024-12-31

• The Brokerage segment recorded a 26.2% revenue increase, reaching SAR 490.4 million, up from SAR 388.6 million in FY2023. This was fueled by robust trading activity with total traded value across both local (non-margin) and international markets increasing by 18.0% year-on-year, accompanied by an improvement in net commissions during the year. Revenue from the Sharia-compliant margin lending solutions, enabling clients to trade stocks in the Saudi market, also witnessed a strong growth supported by an 18% increase in Derayah’s Trade Finance Fund, which closed the year at SAR 1.49 billion.

• Revenue from asset management rose by 77.6% to SAR 144.7 million, up from SAR 81.5 million in the previous year. This growth was primarily driven by a 66% surge in assets under management (AUM), reaching SAR 17.2 billion by end-2024, compared to SAR 10.3 billion in 2023, and was also supported by further expansion in blended margins.

• Special commission income witnessed a substantial 50.0% increase year-on-year, reaching SAR 203.5 million in FY2024, on strong increase in the assets under custody which increased by close to 20% exceeding SAR 30 billion by 2024-end. Further contributing to this growth was the expansion of the securities borrowing and lending service in global markets, which was launched at the end of 2023.

• Revenue: Increased by 40.6% to SAR 876.7 million for FY2024 on the back of strong growth across all core business segments, including brokerage, asset and wealth management, as well as special commission income.

• Operating Expenses: Increased by 39.6% to SAR 358.9 million in line with the growth in revenues and on the back of continued investments in the business which led to increased expenditure in IT, cybersecurity and marketing, and other business enhancements. Nevertheless, the Company maintained a disciplined cost structure with cost-to-income ratio improving slightly, decreasing from 41.2% in 2023 to 40.9% in 2024.

• Operating Profit: Increased by 41.3% to SAR 517.7 million, implying a strong operating profit margin of 59.1%.

• Share in an associate: This came at a loss of SAR 72.0 million, an increase of 157.7% year-over-year. This loss relates to the Company’s stake in the digital bank D360. It is worth noting that D360 became fully commercially operational mid-December 2024 and has already attracted over 800,000 clients as of mid-March 2025.