Al Rajhi Bank, one of the world’s largest Islamic financial institutions, has announced it will convene a general assembly on April 20, 2026 to vote on a proposed cash dividend of SAR 1.75 per share for the second half of 2025, alongside a proposed bonus share issuance at a ratio of one new share for every two currently held.
A Significant Shareholder Distribution
The proposed H2 2025 dividend of SAR 1.75 per share adds to a track record of consistent returns that has made Al Rajhi Bank one of the most actively followed stocks on the Saudi Exchange. The bonus share proposal, at a 1-for-2 ratio, would increase the total number of shares in circulation by 50 percent — a move that typically improves the stock’s market liquidity and makes it more accessible to a wider range of investors without requiring additional capital outlay.
Al Rajhi Bank was founded in 1957 and has built itself into a regional banking powerhouse, now ranked among the largest financial institutions in the Middle East and among the most prominent Islamic banks in the world. Its operations span a broad retail and corporate banking franchise across Saudi Arabia, complemented by an expanding international footprint.
Strong Sector Performance Behind the Numbers
The bank’s proposed distributions reflect a year of resilient performance across Saudi Arabia’s banking sector in 2025. A sustained high-interest-rate environment, combined with continued economic expansion driven by Vision 2030 initiatives, supported earnings across the kingdom’s major financial institutions throughout the year.
For Al Rajhi Bank specifically, the bank has leveraged its dominant position in Islamic retail banking and its extensive branch network to maintain strong loan growth and deposit inflows, while its treasury and investment banking operations have continued to add to the bottom line.
Eyes on the April 20 Assembly
Both the cash dividend and the bonus share issuance require formal shareholder approval at the April 20 general assembly. Eligible shareholders will be determined based on the company’s records at the relevant record date. Given Al Rajhi Bank’s size and its position as one of the Tadawul’s most prominent stocks, the assembly is expected to attract close attention from institutional investors, wealth managers and the broad retail shareholder base that has long viewed Al Rajhi as a cornerstone holding.
