Bank Sohar’s Q2 net profit grows by over 20 per cent
MUSCAT: Marking the completion of over 11 years of banking excellence within the Sultanate, year 2018 witnessed yet another achievement for the bank as it announces its financial results for the second quarter ended June 30, 2018. The second quarter witnessed a growth of 20.89 per cent, a net profit of RO 13.982 million as compared to a net profit of RO 11.566 million during the same period in year 2017.
The bank’s total operating income for the period ended June 30, 2018 increased by 16.39 per cent to RO 41.403 million from RO 35.574 million as compared to the same period in year 2017. Net Operating Income also increased by 21.91 per cent from RO 18.206 million in the first six months of 2017 to RO 22.195 million by the end of Q2 in 2018. Operating expenses for the aforementioned period grew by 10.59 per cent to RO 19.208 million compared to RO 17.368 million during the same period in year 2017.
Commenting on the results, Mohammed Mahfoudh al Ardhi, Chairman of Bank Sohar, said, “Bank Sohar continues to strengthen its leading position among its competition and other corporations, while leveraging the 2018 slogan ‘The Year of You’. I am pleased to say that our allocation of resources combined with a robust strategy for sustainable growth continues to deliver above and beyond the challenges.”
Gross loans of the bank have increased by 10.79 per cent from RO 2.044 billion as at June 30, 2017 to RO 2.264 billion as at June 30, 2018. Net loans and advances grew by 10.04 per cent to RO 2.198 billion as at June 30, 2018 from RO 1.998 billion as at June 30, 2017.
Total assets also grew by 12.53 per cent from RO 2.674 billion as at June 30, 2017 to RO 3.009 billion as at June 30, 2018. Customer deposits increased by 2.76 per cent to RO 1.706 billion as at June 30, 2018 compared to RO 1.660 billion as at June 30, 2017. The bank’s market share of private sector credit was 10.25 per cent as at May 31, 2018 compared to 9.73 per cent as at June 30, 2017, while its share of private sector deposits was 8.35 per cent as at May 31, 2018 compared to 9.16 per cent as at June 30, 2017.
Ahmad al Musalmi, CEO of Bank Sohar, said, “The results for the first half of 2018 reflect the bank’s commitment to excellence and the positive reaction of stakeholders to our growing range of quality products and services. Our focus for the year remains geared towards increasing customer centricity, engagement, and digitisation, whilst providing a superior banking experience that transcends our customer base in a comprehensive strategy centred on sustainable growth. I offer sincere thanks to our Board of Directors, our customers for their loyalty, and Bank Sohar’s workforce for its contribution as the core driver of our ongoing success and market leading position.”