Business

Boubyan Bank reports net profit of KD 40.3 million for 9M 2018

Al-Majed: Bank achieved targets by acquiring market shares at various sectors

Mr Adel Abdul Wahab Al-Majed

KUWAIT: Boubyan Bank announced net profits of KD 40.3 million for 9M 2018, at a growth rate of 18 percent over the comparable period of last year, with an earnings per share of 15.83 fils compared to 13.21 fils for the same period of 2017.
Adel Abdul Wahab Al-Majed, the Bank’s Vice-Chairman & Chief Executive Officer, commented on such positive results by stating: “As we are approaching the end of this year, we feel quite satisfied with our positive results over the past nine months, which meet the expectations of our shareholder.”

“Despite the challenges of competition, we managed, thanks to Allah Almighty, and thanks to our human resources, to achieve our targets by acquiring market shares in various sectors whether in retail or corporate banking services.”, he added.
Al-Majed stressed that this showed the trust the bank enjoyed on different levels, whether among shareholders or customers, and that this reflected positively on all the bank’s financial indexes.

Positive Growth of Key Indicators
Al-Majed stated that all of the Bank’s main indicators witnessed a remarkable growth until the end of September 2018 where the total assets increased to KD 4.3 billion at a growth rate of 11 percent while the operational revenues increased to KD 105 million at a growth rate of 15 percent in addition to the increase in customers’ deposits by 9 percent, amounting to KD 3.6 billion.

He further added that the total equity of the bank increased to KD 396 million during 9M 2018, compared with KD 364 million for the comparative period of last year and that there was a notable increase in the financing portfolio to KD 3.2 billion with a growth rate of 12 percent in addition to the continuous growth of the bank’s customers’ base.

Al-Majed stated as well that the market share, in financing, increased to approximately 8.4 percent in the meantime, while Boubyan Bank’s share of the retail finance increased specifically to approximately 11.2 percent. Besides, the bank recorded outstanding growth rates in the corporate credit portfolio which stood at 12 percent. This was achieved by building relationship with a number of operational companies known for their financial and economic creditworthiness while continuing to maintain the highest standards of credit quality, monitoring and diversifying risks.

The best in technology
On the other hand, Al Majed stressed that the bank would continue opening new branches after reaching 43 branches, and he stated: “In line with our domestic geographic expansion to be closer to our clients, we are continuing our investment in e-services and e-banking products which placed us ahead of other local banks. We are doing that in order to cater for the various needs of our clients.

Boubyan Bank reiterated its excellence and its ahead-of-the-curve position in digital banking in Kuwait and the Middle East by receiving 3 awards recently from Global Finance. The Bank was named the Best Islamic Digital Bank in the Middle East, the Best Islamic Digital Bank in Kuwait and the Best Innovative Digital Bank.

Al-Majed added: “Such a recognition from a globally renowned institution known for its transparency and fairness stressed that the bank’s efforts started years ago are bearing fruits through the recent developments witnessed by the Kuwaiti market which is strongly driven towards investment in digital banking solutions.”

Leadership in Creativity and Innovation
Al-Majed went on to add that this year witnessed the introduction of many services and products which were first introduced to the Kuwaiti market by Boubyan Bank, and that kept Boubyan in its leadership position in an attempt to distinguish its clients and provide them with a unique banking experience.

“One of these services is “Msa3ed” which allows clients to perform transactions round the clock on their accounts in addition to the Digital Murabaha Service which helps complete finance application procedures through smart phones and online banking,” he added.

Al-Majed also stated: “For the first time in Kuwait, Boubyan Bank clients can now apply for a credit card at any time through online banking by using their PACI-verified digital signature.”
He also spoke of the cooperation with the government sector where the bank signed a Mutual Cooperation Protocol with Kuwait Credit Bank to activate and offer a group of digital services which would facilitate banking transactions for the clients of Kuwait Credit Bank.

“This year, we have launched a business banking unit for SMEs to give entrepreneurs access to specially designed services and products to help them and their projects grow.”, he added.

Al-Majed went on to add: “Boubyan will continue providing the highest levels of service to its client emanating from its slogan “Towards Perfection” which has been reflected in all the services and products of the bank, aiming to make the life of our customers easier and to make all the aspects of their daily life more convenient.”

In this context, he stressed that Boubyan Bank continued being at the top of the pyramid for customer service in Kuwait, supported by receiving two awards from Service Hero, the international consumer-driven customer satisfaction index, namely, the First Place Award in Customer Service as a Country Winner atop all economic sectors in Kuwait, for the third time, in addition to being named the 2017 Best Islamic Bank in Customer Service for the eighth year in a row since 2010.
Al-Majed added: “The confidence of our customers has always been well-placed, and this was fruitful as it resulted in these two special awards in Kuwait”. He further stressed that the bank would continue at that remarkable level of customer service.

CSR and HR
Al-Majed stated that the first nine months of this year marked a number of activities and events organized by the bank as a part of its corporate social responsibility to support the youth as well as many other segments of the society, while adding that the last quarter of this year should witness more initiatives to be launched by the bank in support of health activities and events in cooperation with health organizations and institutions in the state of Kuwait.

“Boubyan Bank gives a special attention to its human resources as a part of the bank’s approach being a developed and modern bank keeping up with international and regional changes through its young management, and the Consumer Banking Group, which comprises mostly of youths, testifies to this. The bank is known for placing the youth in leading roles, and this has further helped Boubyan Bank earn the award for the “Replacement and Nationalization of Manpower in Kuwait”. The award is given on an annual basis by the Council for the Ministers of Labor for the best GCC institution,” Al-Majed concluded.

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