Dubai: The Arab Petroleum Investments Corporation (APICORP), the Riydadh headquartered multilateral development financial institution posted a 3 per cent year-on-year rise in net income from $112 million in 2019 to $115 million in 2020.
The key drivers include a 6 per cent year on year growth in Apicorp’s corporate banking portfolio to reach $3.9 billion, as well as a 13 per cent growth in its treasury & capital markets portfolio, which also netted $46 million in capital gains, a 488 per cent increase from the prior year.
The Corporation’s balance sheet increased from $7.34 billion to $7.89 billion in 2020, a 7.5 per cent uptick which is higher than the 5 per cent CAGR recorded over the past five years.
Key financial and risk metrics also continued their steady improvement, as the Corporation recorded its highest ever liquidity ratio at 349 per cent and increased its capital adequacy ratio to 31 per cent (+1% y-o-y), as well as reducing its leverage level from 2.5x in June 2020 to 2.23x in December 2020.
“The strong 2020 financial results despite the uncertain economic landscape that clouded most of the year illustrates Apicorp’s exceptional steadfastness and resilience. We are confident that we will continue to ably support the MENA energy sector, including the proactive advancement of the energy transition agenda,” said Dr. Aabed bin Abdulla Al-Saadoun, Chairman of the Board of Directors.
The year also witnessed a landmark capital increase by which the Corporation increased its authorized capital from $2.4 billion to $20 billion, subscribed capital from $2 billion to $10 billion, paid-up capital from $1 billion to $1.5 billion, and callable capital from $1 billion to $8.5 billion.
“Looking ahead, we will continue to solidify our position as the trusted financial partner to the MENA energy sector. In line with our development mandate, we aim to focus on supporting the growth of the private sector – particularly in the clean and renewable energy space – to accelerate the energy transition and build a more sustainable future for the Arab region,” Dr. Ahmed Ali Attiga, Chief Executive Officer of Apicorp.