The Bank recorded a Net Profit of BD 14.74 million (US$ 39.20 million) for the first quarter of 2017 compared to BD 17.76 million (US$ 47.23 million) for the corresponding period of the previous year, a decrease of 17.0 percent. The Bank achieved an Operating Profit of BD 19.05 Million (US$ 50.66 Million) for the first quarter of 2017, an increase of 3.8 percent over BD 18.36 million (US$ 48.83 million) achieved during the first quarter of 2016.

Mr. Farouk Almoayyed Mr. Abdul Razak Abdulla Al Qassim

The financial results were approved at the Board meeting held on 19th April 2017 chaired by the Bank’s Chairman Mr. Farouk Yousuf Khalil Almoayyed.  Expressing his satisfaction on the improvement in the core business and operating profitability of the Bank, the Chairman stated that the Bank’s Net Profit has been impacted by the need to take impairment on certain credit exposures due to financial difficulties faced by some borrowers. Mr. Almoayyed thanked the Bank’s customers for their continued support and confidence in the Bank while appreciating the efforts of the Bank’s executive management team and the employees for their dedication.

Commenting on the Bank’s performance and future outlook, Mr. Jean Christophe Durand, Chief Executive Officer said, “The Bank’s strategy of actively pursuing growth objectives through diligent deployment in the local economy is progressing as planned with growth in the underlying business and revenue streams.  While the external environment continues to be challenging, we will actively pursue new business opportunities by capitalizing on our strong domestic franchise, capital base and liquidity”.

The Net Interest Income for the three months period in 2017 was BD 17.11 million (US$ 45.50 million) compared to BD 15.78 million (US$ 41.97 million) for the corresponding period of the previous year. The increase of 8.4 percent is on account of growth in business and better yield on assets. Other income for the three months period in 2017 was BD 9.60 million (US$ 25.53 million) compared to BD 10.47 million (US$ 27.85 million).  While income from core business showed an increase, the decrease in total Other Income is attributable to higher dividend income on certain investments besides certain one-off income in the previous year. Operating expenses decreased marginally from BD 7.89 million (US$ 20.98 million) for the three months period in 2016 to BD 7.66 million (US$ 20.37 million) for the three months period in 2017. As result of the growth in income outpacing increase in costs, the Cost to Income Ratio showed a decrease from 30.1 percent in 2016 to 28.7 percent in 2017.  The Bank took impairment provision of BD 4.31 million (US$ 11.46 million) during the current year due to financial difficulties faced by some borrowers and the resultant inability to meet their obligations.

Steady progress has been achieved in the underlying business activities of the Bank with the Total Earning Assets (comprising of Treasury bills, Bank placements, Loans & Advances, Investment securities and Investment in Associates) increasing from BD 2,784.19 million (US$ 7,407.76 million) as at 31 Mar 2016 to BD 2,808.96 million (US$ 7,470.64 million) as at 31 Mar 2017.  Of particular importance is the growth in Loans & Advances by 8.4 percent during the 1st quarter of 2017 to reach BD 1,118.85 million (US$ 2,975.66 million) as the Bank focus on supporting domestic growth. Customer Deposits as at 31 Mar 2017 stood at BD 2,143.16 million (US$ 5,699.89 million) compared to BD 2,216.81 million (US$ 5,895.77 million) as at 31 Mar 2016. 

The Earnings per share for the three months of 2017 was 11.7 fils compared to 14.1 fils for the corresponding period of 2016.

Financial Summary (Millions) 31 March 2017 31 March 2016



Loans and advances 1,118.85 2,975.66 1,097.46 2,918.78
Investment securities 1,111.71 2,956.68 1,052.23 2,798.48
Total Earning Assets (Treasury Bills, Bank Placements, Loans & Advances, Investment securities & Invt in Associates) 2,808.96 7,470.64 2,784.19 7,404.76
Customers’ deposits 2,143.16 5,699.89 2,216.81 5,895.77
Total assets 2,952.86 7,853.35 2,951.60 7,850.00
Net Profit 14.74 39.20 17.76 47.23
Earnings per share 11.7 fils 3.1 cents 14.1 fils 3.7 cents
Annualised return on average equity 14.2% 14.2% 20.5 % 20.5 %