National Bank of Bahrain (NBB) saw net profit in the nine months ending September 30 hit BD35.95 million ($95.61 million) as against BD34.03 million for the corresponding period of 2010, marking an increase of 5.64 per cent.

This has been achieved despite taking a BD2.45 million provision for impairment on equity investments and a voluntary general loan loss provision of BD1.2 million during the current period.

For the third quarter of the year, the bank recorded a net profit of BD11.86 million compared with BD10.77 million for the corresponding period of the previous year, a strong growth of 10.12 per cent.

"The bank delivered a robust performance in the nine months of the current year which is a testimony to our well-focused business strategy," said chairman Farouk Khalil Almoayyed.

"NBB has demonstrated its ability to identify opportunities to grow its business and deliver strong results despite a weak operating environment," said director and chief executive officer Abdulla Hassan Al Qassim.

"We remain focused on efficient balance sheet management, liquidity and asset quality. We are well-positioned to capitalise on new business opportunities, thereby contributing towards the development of the kingdom and the banking industry," he added.

The net interest income was BD40.38 million compared with BD35.78 million for the corresponding period of the previous year, an increase of 12.86 per cent.

It is attributable to improved returns on asset deployment and better balance sheet management.

A total of BD2.45 million was provided during the year towards impairment on equity investments due to declining stock market valuations.

Also as a matter of prudence, the bank took a voluntary general loan loss provision of BD1.2 million to further enhance its balance sheet position.

Earnings per share for the nine months was 42 fils compared with 39.8 fils for the corresponding period of 2010. – TradeArabia News Service