Profit at Saudi’s PIF dips to $6.9bn as assets, revenue rise 

Saudi Arabia’s sovereign wealth fund recorded a significant drop in net profit for 2024, impacted by rising interest rates, inflation and impairment losses. 

The Public Investment Fund (PIF) raked in $6.88 billion (25.8 billion Saudi riyals) in net profit last year, falling 60% from $17.18 billion (64.43 billion Saudi riyals) in 2023. 

The drop in net profit, which resulted from “adjustments to operational plans and cost estimates”, totalled less than 2% of total assets, state-run Saudi Press Agency said.  

The fund’s top line grew from $88 billion (331 billion Saudi riyals) in 2023 to $115 billion (431 billion Saudi riyals) last year. Assets increased 18% from $977 billion (3.66 trillion Saudi riyals) at the end of 2023 to $1.15 trillion (4.32 trillion Saudi riyals)  by December 2024. 

PIF attributed revenue growth to increased earnings from several of its major portfolio companies, including Savvy Games Group, Ma’aden, STC, NCB, AviLease, and Gulf International Bank, dividend inflows from its crown jewel, Aramco, as well as returns from key projects.

Cash reserves dropped from 329.8 billion Saudi riyals in 2023 to 316 billion Saudi riyals in 2024. Loans and borrowings rose from 466 billion Saudi riyals in 2023 to 570 billion Saudi riyals to 2024.

The fund diversified its funding sources last year, including a $2 billion dollar-denominated Sukuk issuance, a £650 million debut bond issuance in British pounds, and a $15 billion refinancing of revolving credit facilities. Debt-to-asset ratio rose marginally to 13% last year.