By Souhail Karam

RIYADH (Reuters) - Samba Financial Group's 1090.SE first-quarter profit fell 5.4 percent as Saudi Arabia's second-largest lender by market value suffered from a decline in bourse-related revenues.

Samba made 1.2 billion riyals ($320 million) in net profit or 1.33 riyals per share in the three months to March 31, against 1.27 billion riyals, or an adjusted 1.41 riyals per share, in the year-earlier period, the bank said on Monday.

Samba issued 300 million shares in March to raise its paid-up capital to 9 billion riyals.

The bank reported earnings per share of 2.12 riyals in the first quarter of 2007.

The bank is the first local lender to report a decline in first-quarter earnings. Four listed Saudi banks have so far reported results for the period.

"The decrease in profit is due to a decline in brokerage and asset management revenues," Chief Executive Eisa al-Eisa said in a statement posted on the bourse Web site.

Samba is the kingdom's third-largest broker and its top share sale manager. Traded volumes in the Saudi bourse have declined in 2007 after a crash more than halved the value of the Arab world's largest stock market in 2006.

"Samba's first-quarter profit rose compared to the fourth-quarter of 2007 because traded volumes rose 31 percent in between," said Ibrahim al-Alwan, deputy chief executive of local investment bank KSB Capital.