Burgan Bank Group posts net profit of KD 33.3m in H1, 2014
Total assets rise 4.6 pct to KD 7.5 bln
KUWAIT CITY, July 23: Burgan Bank Group announced today its first half results for the financial year 2014. Burgan Bank Group reported net income of KD33.3 million for the first half of the financial year 2014 reflecting 19.4% growth from the same period in 2013. Compared to the same period last year, Burgan Bank Group continues to demonstrate solid and consis- tent performance, Operating income up to reach KD130.5 million from KD127 million while Operating Profits before provisions reached KD72.7 million from KD71.2 million.
Total Assets grew by 4.6% to reach KD7.5 billion and total equity grew by 9.8% to reach KD680.7 million.Earnings Per share (EPS) grew by 18.3% to reach 20 fils compared to an EPS of 16.9 fils reported in 2013.
Majed Essa Al Ajeel, Chairman of Burgan Bank Group said: “Once again, our focus and prudent approach at optimizing the group’s operating performance to yield higher underlying returns despite the hazy economic scene and volatile regional operating environment is paying off. The solid performance keeps in enabling us to build extra precautionary and counter cyclical reserves, a step that is highly encouraged and welcomed by the Central Bank of Kuwait.
“Our Balance sheet continues to be strong and healthy and allowing us with the support of the international operations to generate resilient streams of income. Burgan Bank Group’s international operations continue to register a year — on — year profitability and consist 48.2% of the Group’s revenues reflecting the soundness of the diversification strategy into high growth markets.” Added Mr Al Ajeel.
Comfortable
“Our asset quality is on comfortable levels, the Non-Performing Assets (net of collaterals) to gross facilities ratio stands at 1.9 and our coverage (net of collateral) stands at 230%.”Continued Mr. Al Ajeel
“On behalf of the board, I take this opportunity to thank our customers and shareholders for their confidence in our capabilities. I would also like to thank our executive management team for their leadership and the excellent execution of the corporate strategy, and to our staff for their continued support and commitment,” concluded Al Ajeel.
The consolidated financials encompass the results of the Group’s operations in Kuwait, and its share from its regional subsidiaries, namely Jordan Kuwait Bank, Burgan Bank — Turkey, Gulf Bank Algeria, Bank of Baghdad, Tunis International Bank, in which Burgan Bank owns a majority stake in. Burgan Bank Group has one of the largest regional branch networks with more than 231 branches across Kuwait, Turkey, Jordan, Algeria, Iraq, Tunis, Lebanon and Palestine.