Burgan Bank net profit up 10pc
Kuwait, February 19, 2013
Burgan Bank Group, the youngest commercial Bank and third largest by assets in Kuwait, has registered a 10 per cent growth in its net profit for 2012 which hit KD55.6 million ($196.4 million) compared to KD50.6 million the previous year.
The group’s performance during 2012 reflects a solid performance reflecting a constant growth trend. Compared to the same period last year, operating income grew 16 per cent to reach KD190 million while operating profit before provisions grew 17 per cent reaching KD119 million.
The Earnings per share (EPS) grew 12 per cent to reach 37.8 fils compared to 33.7 fils reported last year. The board of directors recommended a payout of 10 fils as a cash dividend and 5 per cent as bonus shares subject to the approval of the annual general assembly meeting.
The international operations (Algeria, Iraq, Jordan, Tunis, Turkey) are profitable and on growth mode, the contribution of the International Operations ( Excluding the subsidiary in Turkey which was acquired on December 21st 2012) to the group’s total revenues during 2012 stood at 48 per cent.
Commenting on the results, the chairman Majed Essa Al Ajeel said: “We are continuously increasing our market share with profitability, Loans and advances grew 50 per cent reaching KD3.4 Billion while customer deposits grew 39 per cent reaching KD3.9 billion.
"Our non-performing loans (NPLs) are decreasing and our total provisions reached KD194.4 millions. Our NPL ratio (net of collateral) to gross loans stands at 1.9 per cent. The capital adequacy ratio stands at 18.5 per cent,” he stated.
"The solid performance reiterates our foremost commitment to our shareholders as well as our customers, and we are optimistic that we will continue achieving sound results," he added.-TradeArabia News Service