EPS clocks 5 fils, ROA at 0.99%
KUWAIT CITY: Ahmed Yousuf Behbehani, the Chairman of the Board of Al Ahli Bank of Kuwait announced that ABK achieved a net profit of KD 8.13 million for the first quarter 2014, compared to KD 7.07 million in the corresponding period in 2013, representing a 15% increase. Earnings per share (EPS) at 5 fils, return on assets (ROA) at 0.99% and return on equity (ROE) at 6.15% were ahead of the prior period performance of 4 fils, 0.96% and 5.55% respectively. The NPL ratio had reduced to 2.05% compared to 5.13% in the corresponding period in 2013. The Capital Adequacy Ratio (CAR) was 25.35%.
Commenting on the financial results of the first quarter 2014, Ahmed Yousuf Behbehani, the Chairman of the Board, stated the following:
"ABK managed to maintain its good performance and ability to achieve profits in spite of the stressful economic conditions. The growth ratio of 15% during the first quarter 2014 is an outstanding performance.
ABK was also able to reduce its NPLs by half; from 5.13% during the first quarter 2013 to 2.05% during the corresponding period 2014. Behbehani stressed that ABK has strong capital base and the Capital Adequacy Ratio of around 25.35% which enhance the Bank's position and its ability to grow and provide necessary finance to the local and international companies inside Kuwait in addition to retail and corporate finance for the individuals and companies operating in the United Arab Emirates.
The Bank's ability to maintain its credit ratings issued by international credit classification agencies such as Moody's Investors Services, with stable outlook, enhances the confidence in the strong capital position of the Bank and its ability to avoid risks and achieve profits. Further, the Chairman of the Board pointed out that the Bank continuously reviews and adjusts its strategy and improve the operational efficiency to cope with the developments of the financial markets. We are committed to provide high quality banking services to our customers and to employ high caliber banking staff who are well trained to provide best services to ABK customers.
As for his expectations about the economic situations during 2014, Behbehani stated the following:
"The economic conditions in the area are gradually improving. We are looking forward to benefit from the economic opportunities by financing the state projects and increase our market share, while focusing on expanding the business of our foreign branches in Dubai and Abu-Dhabi, as the UAE is witnessing an unmatched economic boost. We will also focus on expanding our branches in the various areas of Kuwait to better serve our customers. In the coming period, we will focus on expanding our retail services particularly in the field of the credit cards, thanks to our partnership with Emirates Airlines.
© Arab Times 2014
