Riyadh - Sharikat Mubasher: The Public Investment Fund (PIF) returned to profitability in 2023, supported by an investment portfolio that includes the Vision Fund, managed by SoftBank.

Jumping to SAR 331 billion ($88.5 billion), up from SAR 165 billion ($44 billion) in 2022, the Saudi sovereign wealth fund said in a statement on Monday that the PIF achieved a net profit of 74 billion ($19.7 billion).

The fund’s net income, including comprehensive income, reached SAR 138 billion ($36.7 billion), supported by the strong financial and investment performance over the last year.

The 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) revenue surge. 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.

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 to 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 to diversify the local economy and create sustainable returns.