KIB achieves KD 9.6 million net profits for H1, 2019
13 pct growth in total assets: Al-Jarrah:
KUWAIT CITY, Aug 1: Sheikh Mohammed Jarrah Al-Sabah, Chairman of Kuwait International Bank (KIB) announced that the Bank reported a net profit attributable to shareholders to KD 9.6 million and earnings per share (EPS) of 9.89 fils at the end of the first half of 2019 while registering total operating income of KD 35 million.
KIB’s total assets increased by KD 266 million or (almost 13%) to reach almost KD 2.35 billion compared to KD 2.08 billion for the same period of last year. The growth in total assets was a result of a growth in the overall financing portfolio of almost KD 200 million to reach KD 1.72 billion, which is an increase of 13% compared to KD 1.52 billion for the same period of last year. Moreover, Depositors’ account increased by KD 136 million or almost 11% to reach almost KD 1.43 billion as of 30 June 2019 compared to KD 1.29 billion for the same period of last year.
Al Jarrah added that the distributions to depositors’ accounts registered annualized return at the end of the second quarter of 2019 on Al Boushra (KD) three-year deposits of 3.7% and Arzaq (KD) deposit of 3.5%. Similarly, the savings investment account (KD) achieved an annualized return of 2.1% per annum for the second quarter of 2019, with a quarterly profit distribution reflecting the Bank’s performance.
Vice Chairman and Chief Executive Officer of KIB, Raed Jawad Bukhamseen, pointed out that KIB has successfully issued USD 300 million AT1 perpetual Sukuk during June 2019 which was significantly over subscribed, that classify under Tier 1 capital in accordance to Basel III and CBK’s guidelines. The issuance will assist the Bank in adhering to its capital and long-term liquidity regulatory requirements. As at 30 June 2019, KIB reported a high capital adequacy ratio f 20.7%.
He further mentioned that, KIB is currently working on expanding its local network of branches across the country to reach all its customers and facilitate access to banking services. The Bank also provides a range of advanced digital banking solutions, allowing for continuous, round-theclock service from anywhere. This is in addition to KIB’s commitment to national economic developments and leaving a positive impact on the community; in doing so, increasing customer confidence and boosting the Bank’s financial standing.
Bukhamseen expressed his appreciation for the important and vital role played by the Capital Market Authority (CMA), Boursa Kuwait and Kuwait Clearing Company, to raise the Kuwaiti Market to the level of international markets and enhance transparency and ease of dealing in the markets. The upgrade of the Kuwaiti market to the “emerging market” under MSCI” index from May 2020 will lead to the increase of inflows of foreign funds and improve the level of liquidity and investment environment.
He pointed out that KIB is one of the Kuwaiti companies listed on the initial watch list for May 2020 upgrade for Kuwait inclusion in “MSCI” index “emerging markets” category; this was considered a good news for the bank’s investors, noting that its inclusion in this indicator will create investment opportunities, enhance liquidity and diversify the investors base.
It is worth mentioning that KIB received a number of awards throughout the first of half of 2019, as a result of its achievements across various areas. The Bank was awarded ‘Best Islamic Bank in the GCC’ in 2018 by World Finance for a third consecutive year. Additionally, KIB received the ‘Deal of the Year - Kuwait’ award in 2018 from Islamic Finance News (IFN), as well as the first-ever ‘GCC Best CSR Business Model’ by World Finance.
Kuwait International Bank (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.
Today, 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.