Alubaf Q1 net profit rises 58 per cent
Manama, May 10, 2011
Alubaf Arab International Bank's first quarter results saw operating income rise by 51 per cent to $8 million, an increase resulting in a net profit of $6.6 million, up 58 per cent over the same period last year.
Significant contribution for the increase in income was from net interest earnings, which rose by 105 per cent over the same period last year and commission increased by 36 per cent.
The cost to income ratio declined in compared to last year due to a moderate increase in expenses.
Total loans in the first quarter grew by 47 per cent over the final quarter of 2011 with no additional provisioning required for non-performing loans.
Despite unrest across the region and challenging times for business, Alubaf posted good results and sustained an annualised rate of return of 11 per cent with a strong capital adequacy ratio of 48 per cent and liquidity ratio of 99 per cent.
General manager Ahmed Rajab said that this was achieved due to continued prudent management and he is optimistic of Alubaf's performance in 2011.
He said that with the current strong capital adequacy and liquidity ratio level the bank is well poised to sustain its positive trend throughout the year.-Tradearabia News Service