Bank continues its positive growth momentum* Total assets reach KD 4.74 billion
KUWAIT: Continuing its positive growth momentum, Al-Ahli Bank of Kuwait (ABK) announced yesterday a net profit increase of 24 per cent in the first quarter of 2019 climbing to KD 12.4 million, from KD 10 million in the same period last year. Operating Income was up 12 percent, an increase from KD 24.4 million to KD 27.3 million compared to the same period last year, with growth recorded across almost all business lines.
Total assets increased by 4 per cent in the first quarter, to reach KD 4.74 billion. Customer deposits stood at KD 3.13 billion, while shareholders’ equity was KD 576.5 million. Asset quality remained solid with the non-performing loan (NPL) ratio at 1.57 per cent, and NPL coverage ratio at 420 per cent. ABK continued to sustain high levels of capital with Capital Adequacy Ratio reaching 18.99 percent, exceeding the minimum regulatory requirements. Earnings per Share remained at 6 fils per share.
Commenting on the results, Talal Mohammed Reza Behbehani, Chairman of ABK, said: “These positive results build on our success in 2018, where ABK achieved an operating profit in excess of KD 100 million for the first time in the Bank’s history. Our prudent strategy has enabled us to maintain a steady growth trajectory and has positioned us as one of the region’s leading banks. We look forward to continuing this success and to delivering lasting value to our customers and shareholders.”
Michel Accad, Group Chief Executive Officer at ABK stated, “This positive start to 2019 reflects the strength of ABK’s customer-first approach and commitment to achieving excellence. Focusing on our clients will enable us to compete, grow and achieve success in all our chosen markets. Our consistent positive performance stands as reassurance of the effectiveness of our strategy, which will continue to steer our operations moving forward.”
In the first quarter of 2019, ABK-Egypt operations contribution to total Group operating profits reached 13 percent. ABK-Egypt has recently expanded its branch network by two branches to reach a total of 41 branches strategically located across Egypt.
ABK- DIFC will continue to serve as an offshore booking office for corporates and regional corporates, regional loan syndications and large projects, and it has performed extremely well since opening in 2018.
In closing, Accad said: “We are optimistic as the Kuwait economy is growing steadily. Thanks to our strong management team we continue to look to 2019 with confidence and optimism.
“In line with our digital transformation strategy, we will continue to evolve our digital banking proposition and provide new services that will meet our clients growing needs, while remaining focused on ensuring a ‘simpler banking’ experience.”
ABK made a number of enhancements to its digital offerings in the quarter, including more services on its mobile banking app. The Bank also continues to receive international and local recognition, being awarded Best Retail Bank in Kuwait for the fourth consecutive year by Asian Banker as well as Bank of the Year for the fourth consecutive year by Arabian Business.