Bank Muscat posts 9 month net profit of RO 140.16 million

MUSCAT: Bank Muscat, the flagship financial institution in the Sultanate, announced its preliminary unaudited results for the nine months ended September 30, 2021. The bank posted a net profit of RO 140.16 million for the period compared to RO 113.21 million reported during the same period in 2020, an increase of 23.8 per cent, mainly due to lower impairment charges.

The key highlights of the results for the period are as follows:

1)Net Interest Income from Conventional Banking and Net Income from Islamic Financing stood at RO 252.48 million for the nine months period ended September 30, 2021 compared to RO 240.07 million for the same period in 2020, an increase of 5.2 per cent.

2)Non-interest income was RO 105.85 million for the nine months period ended September 30, 2021 as compared to RO 96.72 million for the same period in 2020, an increase of 9.4 per cent.

3)Operating expenses for the nine months period ended September 30, 2021 was RO 144.33 million as compared to RO 137.19 million for the same period in 2020, an increase of 5.2 per cent.

4)Net Impairment for credit and other losses for the nine months period in 2021 was RO 46.77 million as against RO 64.82 million for the same period in 2020. The decrease is mainly attributed to the precautionary and collective provisions created by the bank during first half of 2020, due to the onset of the Covid-19 pandemic and the historic decline seen in global crude oil prices. The bank remains vigilant of the continuing stress in the macroeconomic and business conditions and its potential impacts.

5)Net Loans and advances including Islamic financing receivables increased by 2.9 per cent to RO 9,156 million as against

RO 8,895 million as at September 30, 2020.

6)Customer deposits including Islamic Customer deposits decreased by 1.1 per cent to RO 8,698 million as against RO 8,795 million as at September 30, 2020.

The full results for the nine months ended September 30 along with the complete set of unaudited financial statements will be released following the approval of the Board of Directors of the Bank at its meeting scheduled later during October 2021.