{"id":6124,"date":"2019-08-26T00:00:00","date_gmt":"2019-08-25T21:00:00","guid":{"rendered":"https:\/\/alsalambank.com\/al-salam-banks-h1-profit-rises-by-30-percent-to-usd-32-62-million\/"},"modified":"2019-08-26T00:00:00","modified_gmt":"2019-08-25T21:00:00","slug":"al-salam-banks-h1-profit-rises-by-30-percent-to-usd-32-62-million","status":"publish","type":"post","link":"https:\/\/www.alsalambank.com\/en\/al-salam-banks-h1-profit-rises-by-30-percent-to-usd-32-62-million\/","title":{"rendered":"Al Salam Bank\u2019s H1 profit rises by 30 percent to USD 32.62 million"},"content":{"rendered":"

\u200bAl Salam Bank (\u201cASBB\u201d or the \u201cBank\u201d),
\nthe pioneering Shari’a-compliant bank in the Kingdom of Bahrain, posted a
\n net profit attributable to shareholders of BHD 12.31 million (USD 32.62
\n million) for the first half of 2019; reflecting a 30 % increase over
\nthe BHD 9.47 (USD 25.13 million) reported for the same period last year.
\n ASBB\u2019s quarterly profitability witnessed a significant increase of
\n65.52%, from BHD 4.11 million (USD 10.90 million) in Q2 2018 to BHD 6.80
\n million (USD 18.03 million) in Q2 2019. Accordingly, the Bank\u2019s basic
\nearnings per share increased by 50%, from 4 fils per share in H1 2018 to
\n 6 fils per share in H1 2019, and from 2 fils per share in Q2 2018 to 3
\nfils per share in Q2 2019. <\/span><\/p>\n


\nThe Bank continues to maximize core banking earnings, with gross
\nrevenues increasing by 6.6%, from BHD 42.88 million (USD 113.74 million)
\n in H1 2018 to BHD 45.72 million (USD 121.27 million) in H1 2019, along
\nwith an increase of 17.9% from BHD 20.69 million (USD 54.88 million) in
\nQ2 2018 to BHD 24.40 million (USD 64.72 million) in Q2 2019. However,
\ndue to a decline in one-off items and recoveries, the Bank\u2019s total
\noperating income witnessed a decrease of 13.7%, from BHD 31.47 million
\n(USD 83.49 million) to BHD 27.17 million (USD 72.07 million).  <\/span><\/p>\n

 Nonetheless, operating income marginally picked up by 0.7% in Q2 2019 to
\n BHD 14.79 million (USD 39.23 million) from BHD 14.68 million (USD 38.94
\n million) in Q2 2018.<\/p>\n

Driven by costs associated with strategy implementation, total operating
\n expenses witnessed an 11.7% increase, from BHD 12.21 million (USD 32.38
\n million) to BHD 13.64 million (USD 36.18 million). The Bank\u2019s net
\nprovisions witnessed a significant decline of 86.7%, from BHD 9.85
\nmillion (USD 26.12 million) to BHD 1.31 million (USD 3.47 million).<\/p>\n

Growth in the Bank\u2019s asset base during H1 2019 stood at a healthy 7.4%,
\nincreasing from BHD 1.71 billion (USD 4.54 billion) at 31 December 2018
\nto BHD 1.84 billion (USD 4.87 billion) at 30 June 2019. The Bank
\nreported robust growth in its financing book, which increased by 12.9%
\nfrom BHD 825.80 million (USD 2.19 billion) to BHD 932.01 million (USD
\n2.47 billion). <\/span><\/p>\n

Asset quality continues to improve as non-performing
\nfinancings witnessed a 2.2% reduction to 6.8% of its gross financing
\nbook. The Bank remains well capitalized with its total equity increasing
\n by 1.3% to BHD 308.90 million (USD 819.36 million) from BHD 304.82
\nmillion (USD 808.54) as of 31 December 2018, and a strong capital
\nadequacy ratio of 20.5% as of June 2019.<\/p>\n

\u201cDespite a challenging market and rising liquidity costs, our operations
\n continue to become healthier as we invest in streamlining our
\nbusinesses,\u201d Chairman, Khaleefa Butti Omair Al Muhairi commented. <\/span><\/p>\n

\u201cGross
\n revenues before recoveries and one-off items have shown a 20.0% spike,
\nfrom BHD36.34 million to BHD43.60 million, proving that the Bank is in a
\n very strong position operationally. Our liquidity position also remains
\n robust putting us in a privileged position relative to the market.\u201d<\/p>\n

Group CEO Rafik Nayed added: \u201cExcluding certain one-off items that
\nsignificantly boosted our results last year, we would have reported one
\nof the best operating incomes results in our recent history. This is
\ndespite market liquidity constraints and escalating funding costs.\u201d He
\nadded: \u201cAs part of our ongoing transformation strategy, <\/span><\/p>\n

Al Salam Bank\u2019s
\ncustomer focus continues to yield strong results across our Retail,
\nCorporate and Private Banking businesses. The Bank\u2019s core banking
\nbusiness remains on a growth trajectory as we continue enhancing product
\n and service offerings, and leverage technology for more efficiencies in
\n operations. The early results of this transformation have already
\nstarted to positively impact our financial performance, a trend we
\nexpect to continue in the months
\nahead.\u201d<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

Al Salam Bank (\u201cASBB\u201d or the \u201cBank\u201d), the pioneering Shari’a-compliant bank in the Kingdom of Bahrain, posted a net profit attributable to shareholders of BHD 12.31 million (USD 32.62 million) for the first half of 2019; reflecting a 30 % increase over the<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-6124","post","type-post","status-publish","format-standard","hentry","category-press-release"],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.alsalambank.com\/en\/wp-json\/wp\/v2\/posts\/6124","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.alsalambank.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.alsalambank.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.alsalambank.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.alsalambank.com\/en\/wp-json\/wp\/v2\/comments?post=6124"}],"version-history":[{"count":0,"href":"https:\/\/www.alsalambank.com\/en\/wp-json\/wp\/v2\/posts\/6124\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.alsalambank.com\/en\/wp-json\/wp\/v2\/media?parent=6124"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.alsalambank.com\/en\/wp-json\/wp\/v2\/categories?post=6124"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.alsalambank.com\/en\/wp-json\/wp\/v2\/tags?post=6124"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}