National Bank of Bahrain (NBB) has recorded a net profit of BD31.74 million ($84.41 million) for the six months ended June 30, compared to BD31.72 million ($84.36 million) for the corresponding period of 2016.
During the first half of 2017, the bank achieved an operating profit of BD38.01 million, an increase of 6.6 percent over BD35.66 million achieved during the corresponding period of 2016, said a bank statement.
For the second quarter of 2017, the bank recorded a net profit of BD17 million ($45.21 million), a strong increase of 21.8 per cent compared to BD13.96 million ($37.13 million) for the corresponding period of the previous year.
The financial results were approved at a board meeting held on July 19 chaired by the bank’s chairman Farouk Yousuf Khalil Almoayyed.
Almoayyed expressed his satisfaction on the results recorded by the bank. He thanked the executive management team and employees for their dedicated service and the bank’s clients for their valued business relationship and the confidence reposed by them in the institution.
Jean Christophe Durand, chief executive officer, said: “The bank’s focus on new business initiatives and increasing the customer footprint resulted in a strong improvement in the operating profit for 2017. As a result, the cank recorded a marginal increase in net profit despite the need to take impairment on certain credit exposures due to financial difficulties faced by some borrowers.”
The net interest income for the six months was BD34.95 million compared to BD31.82 million for H1 2016, an increase of 9.8 per cent. The increase is attributed to growth in earning assets and better asset liability management leading to an improvement in net interest margin.
Other income for the six months period in 2017 was BD18.67 million compared with BD19.70 million for 2016. The decrease in Other Income was due to certain income from sale of investments in the previous year while such opportunities were not available during the current year, the bank said.
However, core banking activities continued to show steady increase with commission from such activities recording a strong growth of 17.1 per cent.
Total Earning Assets (comprising of Treasury bills, Bank placements, Loans & Advances, Investment Securities and Investment in associates) remained steady at BD2.824 billion ($7.512 billion) as at June 30, compared to BD2.817 billion as at June 30, 2016. Customer deposits stood at BD2.143 billion, compared with BD2.196 billion. The earnings per share was 25.2 fils, similar to H1 2016. - TradeArabia News Service
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