Logo of Public Investment Fund (PIF)
The Public Investment Fund (PIF) generated SAR 64.4 billion profit, against losses of SAR 14.7 billion a year earlier, backed by a 101% year-on-year (YoY) surge in revenues. Topline increased on income from investment activities, which reached SAR 93.8 billion, as Softbank swung to profits after market value losses in 2022.
Revenues from non-investment activities increased by 15% to SAR 237.6 billion due to growth in most lines of business, especially financial services and telecommunications. It is worth noting that the portfolio was somewhat affected by the decline in returns from the metals and mining sector due to the global decline in prices of metals and raw materials following an exceptional rise in 2022.
PIF’s Income Statement (SAR bln)
Period
2021
2022
Change
Income from Investment Activities
(41.6)
93.8
—
Revenues from Non-Investment Activities
206.6
237.6
+15%
Total Revenues
165.1
331.4
+101%
Cost of Revenues
(117.2)
(152.6)
(30%)
Other Operating Revenues
4.3
0.7
(84%)
Share in Associates
8.9
9.2
+3%
Operating Profit
(14.8)
69.9
—
Financing Costs/Revenues
3.7
1.1
(70%)
Profit
(14.7)
64.4
—
The value of PIF’s assets jumped by 26% in 2023 to SAR 3.7 trillion ($990 billion), compared to SAR 2.9 billion in 2022. The rise was driven by several acquisitions and the transfer of a percentage of Aramco’s ownership to the fund.
PIF’s results were attributed the performance of global equity markets in 2022, which saw many of the fund’s assets listed in global markets.
PIF is a long-term investor, and its performance is unrelated to short-term financial results. Moreover, the fund aims to achieve a sustainable value in the long term in order to diversify the local economy and create sustainable returns.
Balance Sheet (SAR bln)
Period
2021
2022
Change
Fixed Assets
257.5
329.8
+28%
Investments in Associates
147.3
165.0
+12%
Investments in Securities
1266.4
1754.3
+39%
Finance and Advances
592.2
658.8
+11%
Total Assets
2916.5
3663.6
+26%
Loans
321.8
466.0
+45%
Customer Deposits
607.0
685.4
+13%
Total Liabilities
1147.9
1450.8
+26%
Total Equity
1768.6
2212.8
+25%
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