Bahrain Islamic Bank (BisB) has achieved a net profit of BD 2.2 million for the period ending on 31 March 2018
The Q1 2018 net profit is up from BD 0.6 million for the same period last year, an increase of 267 per cent. The Bank also achieved a profit before impairment allowances of BD 4.2 million for the period ending on 31 March 2018 compared to BD 3.4 million for the same period last year.
Dr. Esam Abdulla Fakhro, Chairman of the Board of Directors, confirmed the Bank recorded a total income of BD 10.2 million for the period ended 31 March 2018 compared to BD 9.8 million for the same period last year. Earnings per share have also increased to 2.05 fils for the period ending on 31 March 2018 compared to 0.56 fils for the same period last year, an increase of 266 per cent. The Bank recorded a total owners’ equity BD 109.9 million as of 31 March 2018 compared to BD 122.3 million as of 31 December 2017, a decrease of 10.1 per cent due to the impact of adopting FAS 30.
The Chairman went on to confirm that the Bank has maintained a strong portfolio during the first quarter of 2018 with a liquid assets to total assets ratio of 10.6 per cent, in addition, the Bank continues to limit its exposure of its real estate portfolio during the first quarter of 2018, cementing the Bank's keenness to continue to follow a prudent and conservative work policy across various transactions and financing. The Board revealed their continued satisfaction with implementation of the Bank's strategy “Ishraq – Back to Basics” whilst streamlining their operations, resulting in a positive result achieved enabling the Bank to enjoy a comfortable financial position.span style="font-family: Times New Roman;"
Hassan Jarrar, BisB Chief Executive Officer said that the total assets decreased to BD 1,212.7 million compared to BD 1,228.6 million as of 31 December 2017 by 1.3 per cent, while the financing and investment in Sukuk portfolio has increased to BD 977.6 million compared to BD 968.6 million as of 31 December 2017 by 0.9 per cent. In line with the Bank’s strategy to focus on the core banking activities, the other investments have decreased to BD 81.1 million compared to BD 84.1 million as of 31 December 2017 by 3.6 per cent. Customer accounts have decreased to BD 887.7 million compared to BD 925.4 million as of 31 December 2017 by 4.1 per cent. Mr. Jarrar explained that current accounts increased to BD 144.4 million as of 31 March 2018 compared to BD 131.7 million as of 31 December 2017, an increase of 10 per cent. In addition, placements and borrowings from financial institutions increased to BD 201.5 million as of 31 March 2018 compared to BD 169.4 million as of 31 December 2017, an increase of 19 per cent.
Total expenses were declared at BD 6 million, a decrease of 6.3 per cent over the same period last year which was equal to BD 6.4 million. The Board of Directors has specified net impairment allowance for the same period in the amount of BD 2.1 million compared to BD 2.8 million for the same period last year.span style="font-family: Times New Roman;">
Jarrar added that the Retail Banking sector witnessed a launch of revamped products and services, including the launch of Tejoori Al Islami savings account promotional campaign, which offers big and attractive financial prizes to customers. In addition, the Bank introduced the Visa Credit Card campaign, which offered two packages to attend the 2018 FIFA World Cup Russia semi-finals, and a Grand Sale campaign in February included discounts on all its financial products and cash backs.
“Our Corporate Banking witnessed the official launch of BisB Corporate Digital comprising an enhanced online platform and powerful mobile application at the ePay Summit, which the Bank has recently sponsored” said Jarrar.