LMC's net profit surges to $2.6m
Manama, October 24, 2012
Liquidity Management Centre (LMC) has posted a net profit of $2.615 million in the first nine months of this year after a net impairment provision of $220,000.
This compares with a net profit of $1.254 million for the same period in 2011, resulting in an 108.5 per cent increase in the net profit. Third-quarter net profit stood at $1.393 million compared with $322,000 for the same period in 2011.
The total operating income amounted to $6.513 million in comparison to $5.794 million for the same period in 2011.
"This net profit represents 6.84 per cent per annum return on capital while the average interbank rate remains below 0.5 per cent," said LMC chairman Emad Al Monayea.
"These results undoubtedly demonstrate the bank's ability to perform while adopting a conservative approach in the current market environment by taking additional provisions," he added.
"This achievement was due to various advisory services for prominent transaction for Islamic banks in the region and a well-managed portfolio of sukuk and equities and a diversified investment approach," said chief executive Ahmed Abbas.
"The prudent operating results were further enhanced by controlling operating expenses. The bank's balance sheet witnessed significant improvement in quality and liquidity," he added.
"The shareholders' equity increased by 5.1 per cent during the same period, said Al Monayea.
"Looking forward, though a difficult and challenging environment lies ahead, we believe that the market has witnessed a large rally especially for the GCC capital markets where most of the adverse market conditions have been priced in," he stated.
"This year may continue to carry opportunities to alert investors and positive growth may be obtained if volatility levels are taken into account," he added.-TradeArabia News Service