Bahrain - National Bank of Bahrain (NBB) has reported a 60% spike in its third-quarter (Q3) net profit attributable to shareholders to BD18.2 million ($48.3 million) and a 16% rise in its nine-month (9M) attributable net profit to BD59 million.

The Q3 spurt is mainly due to higher income from the underlying loans, placements, and investment securities activities, in addition to lower provisioning requirements in the third quarter of 2023 compared to the same period in 2022.

Earnings per share increased to 8 fils ($2 cents) for Q3 2023 compared with 5 fils ($1 cents) in the same quarter of 2022.

Total comprehensive income

Total comprehensive income attributable to NBB’s shareholders for the quarter increased by 109% to BD20.5 million compared to BD9.8 million in 2022. The increase is mainly attributable to the mark-to-market movements of the bank’s debt securities.

The rise in 9M net profit was a result of increased income from loans, placements, and investment securities, as well as lower provisions compared to the same period in 2022.

Earnings per share increased to 26 fils for the period compared with 23 fils in the same period of 2022.

Total comprehensive income attributable to NBB’s shareholders for the period increased by 28% to BD63.3 million compared with BD49.3 million in 2022. The increase is mainly due to the mark-to-market movements of the bank’s debt securities.

Total equity

The group’s total equity attributable to owners decreased by 2% as of September 30, 2023 to BD554.3 million compared to BD565.9 million reported on December 31, 2022. The decrease followed cash dividend payments of BD74.0 million made during 2023 in relation to 2022 appropriations and 2023 interim dividends. These payments were largely offset by the attributable profits for 9M 2023.

The group’s total assets increased by 5% during the quarter to BD5.003 billion compared to BD4.785 billion recorded on December 31, 2022.

NBB’s Chairman of the Board, Farouk Yousuf Khalil Almoayyed, said: “NBB has sustained its momentum and recorded steady growth during the third quarter of this year, announcing a 7% and 2% rise in its operating income and operating profit respectively for the nine months compared to the same period last year.

Non-financial focus

“Our non-financial focus on ESG and CSR initiatives is also indicative of our long-term strategy for sustainable banking and highlights our role in developing the next generation of banking professionals. We are especially proud of our EVOLVE initiative, which is NBB’s bespoke internship and training programme for students across Bahrain. NBB will continue its path in leading the kingdom’s financial industry while playing an active role in benefiting the Bahraini society.”

NBB’s Group Chief Executive Officer, Usman Ahmed, commented: “NBB has demonstrated effective balance sheet management and recorded a 5% growth in assets from the year-end level, with the closing value as of September 30, 2023 exceeding BD5.0 billion, a record level for the group.

“The achievements during the third quarter have extended beyond the financial results, with NBB being recognised once again at the Euromoney Awards for Excellence 2023 as the ‘Best Bank for ESG in Bahrain’ for the second consecutive year. We are proud of the milestones achieved thus far in 2023, and we look forward to a continued successful year ahead.” 

Copyright 2022 Al Hilal Publishing and Marketing Group Provided by SyndiGate Media Inc. (Syndigate.info).