alrajhi bank leads Arab banking giants in return on equity

alrajhi bank topped the five largest Arab banks in terms of return on average shareholders’ equity during H1 2026, recording 18.65 per cent, according to a recent analysis conducted by First Bank.

alrajhi bank also recorded the highest net profit among the five banks, reaching approximately USD3.67bn.

The bank’s leading position reflects its ability to combine strong profitability with a higher return relative to its average shareholders’ equity base, highlighting its efficiency in generating profits from shareholders’ funds.

Emirates NBD ranked second, recording a return on average shareholders’ equity of 16.92 per cent, alongside a net profit of USD3.50bn during H1 2026.

Despite the close gap in net profits between the two banks, alrajhi bank outperformed Emirates NBD in terms of return on equity by 1.73 percentage points.

First Abu Dhabi Bank (FAB) secured third place, posting a return on average shareholders’ equity of 14.80 per cent and a net profit of approximately USD2.93bn during H1 2026.

The bank recorded a return 2.12 percentage points lower than that of Emirates NBD.

QNB ranked fourth, with a return on average shareholders’ equity of 13.89 per cent and a net profit of approximately USD2.43bn during H1 2026.

Despite recording a net profit close to that of First Abu Dhabi Bank, the latter maintained a higher return by 0.91 percentage points, reflecting the impact of differences in the banks’ average shareholders’ equity bases on their respective rankings.

Meanwhile, Saudi National Bank (SNB) came fifth, recording a return on average shareholders’ equity of 12.45 per cent, despite posting a net profit of USD3.47bn during H1 2026, ranking third among the five banks in terms of net profit.

Although its net profit was close to that of Emirates NBD, with a difference of just USD27.5mn, Emirates NBD recorded a higher return by 4.47 percentage points.

This highlights the difference between the two banks in their ability to generate profits from their respective shareholders’ equity bases.