KIB reports profit
Total financing income registers 21% growth; 10 percent growth in total assets
KUWAIT CITY, Oct 17: KIB reported a net profit of KD 15.5 million attributable to the shareholders for the nine months ended Sept 30, 2018 compared to KD 13.5 million in the same period last year. This has reflected positively on earnings per share (EPS) which also increased by 15% to reach 16.58 fils compared to 14.42 fils in the same period last year.
Total financing income registered growth of 21% to reach KD 64.9 million compared to KD 53.5 million in the same period last year, contributing to the increase of total operating income by 9% to reach KD 49.6 million compared to KD 45.7 million in the same period last year.
KIB’s total assets increased by 10%, to reach KD 2.08 billion, compared to Sept 30, 2017. The Bank also witnessed a growth of 18%, or an increase of KD 233 million, in the overall financing portfolio, to reach KD 1.54 billion. Meanwhile, KIB’s investment portfolio increased by 5% during this period to reach KD 130 million.
Furthermore, customer deposits reached a total of KD 1.3 billion, compared to KD 1.17 billion recorded at the end of same period last year, thereby recording an increase of KD 136 million, or 12%. KIB’s promising financial trajectory can be credited to its new customer-centric strategy, which aims at delivering an excellent customer experience.
Commenting on these financial results, Chairman of KIB, Sheikh Mohammed Jarrah Al-Sabah, noted the continuous growth of KIB’s distributions to depositors’ accounts and the record growth of its profits and deposits. The annualized return at the end of the third quarter of 2018 on Al Boushra (KD) three-year deposits was 3.45% and Arzaq (KD) deposit increased to 2.8125%. On the other hand, the savings investment account (KD) achieved a net return of 1.6875% per annum during the third quarter of 2018.
Al-Jarrah added: “KIB has successfully transitioned from its development phase and onto its implementation phase, which now focuses on enhancing the way we engage with customers. In this new phase, we are now offering customers next-level experiences that deliver much more than just traditional banking services. By leveraging cutting-edge technology, we are aim at meeting the evolving needs of today’s customers in this new era of speed, harnessing innovation to provide banking services that meet the needs of customers at all times and in all places.”
In addition to developing a wide range of banking products and services, KIB always strives to provide its customers with new offers and reward programs. The Bank has launched a number of campaigns during the period.
Moreover, Al-Jarrah noted: “These new developments to enhance banking services and new offers have without doubt reflected on KIB’s performance, as well as overall customer satisfaction. Accordingly, this has enabled the Bank to achieve better financial results during this period. The next phase will bring with it further positive developments, promoting the Bank towards the “Bank for Life”.”
Al-Jarrah concluded by lauding the impressive roster of awards and recognitions garnered by KIB during 2018, including the “Excellence in Islamic Banking Products and Services Award” for the year 2018 from the World Union of Arab Bankers (WUAB). The Bank also received the ‘Best Islamic Bank in Kuwait’ for the year 2018 and the ‘Islamic Banking Chairman of the Year’ for 2018, awards from World Finance. Additionally, KIB was awarded “Best Customer Acquisition in Kuwait” for the year 2018 by CPI Financial, and many certificates in the information security field issued by specialized international institutions. Al-Jarrah was also awarded the Red Purple Sash adorned with the Golden Medal Award of Merit and a patent certificate in the category of Wise Leadership in the Arab region from Tatweej Academy for Excellence Awards in the Arab Region. About KIB KIB is a bank that operates according to the Islamic Shari’ah, based in the State of Kuwait. Incorporated in 1973, and originally known as Kuwait Real Estate Bank, KIB made the transition to its current Islamic operating model in 2007.
KIB is a full service Bank operating through a network of branches spread across the State of Kuwait, and offering a broad range of banking products, services and solutions in accordance with the principles of the Islamic Shari’ah. The Bank’s mission and vision also encompasses a leading social responsibility program that aims at supporting every member of Kuwait’s society by spearheading a multitude of initiatives and activities.
In 2015, KIB embarked on a comprehensive strategic plan, aimed at improving the Bank’s performance indicators, as well as enhancing the quality of its products and services. The strategy focuses on propelling the Bank to the forefront of the Kuwaiti banking sector and setting it on a solid path to becoming the “Islamic Bank of Choice” in the market.
Today, KIB is in the midst of its new strategic transformation: a comprehensive and long-term program, which is aimed at transforming the way KIB engages with customers across every touch point and communication channel. This new strategy focuses on offering a next-level customer experience that delivers much more than just “banking” in the traditional sense – but rather establishes KIB as a partner in every aspect of its customers’ lives; a true “bank for life”.