KIB achieves KD 7.6m net profit for Q1 2017
Profits increase by 13%, Total assets rise by 7%
KUWAIT: Kuwait International Bank (KIB) reported a net profit of KD 7.6 million at the end of the first quarter of 2017, registering a growth of 13 percent compared to the corresponding period of the previous year, where the Bank reported net profits of KD 6.7 million.
In this context, Sheikh Mohammed Jarrah Al-Sabah, Chairman of KIB, said that Bank’s positive performance in the first quarter of 2017 has reflected positively on its key performance indicators. The Bank’s financial results have revealed a growth in operating income to reach KD 15.9 million, compared to KD 15.5 million recorded at the end of the first quarter of 2016.
KIB’s total assets increased by 7 percent (KD 128.5 million) to reach a total of KD 1.9 billion, compared to KD 1.78 billion at the end of the same period last year. This increase comes as a result of a growth in the overall financing portfolio by KD 113.2 million, to reach KD 1.3 billion compared to KD 1.2 billion at the end of first quarter in 2016, marking 10 percent growth.
Customer deposits registered an increase of 6 percent reaching a total of KD 1.2 billion compared to KD 1.1 billion for the same period of 2016. Investment portfolio compared with the same period last year increased by KD 25 million touching KD 85.8 million.
KIB continued to report high levels of capital adequacy ratio, in accordance with the Central Bank of Kuwait’s regulations concerning Basel III, whereby capital adequacy ratio reached 20.1 percent. The financial leverage ratio was 10.6 percent for the period ended 31 March 2017.
The annualized gross profit rate of Boushra (three years) and Arzaq Deposits in Kuwaiti Dinars reached 3.1875 percent and 2.65 percent respectively at the end of the first quarter of 2017. The annualized net profit rate of Savings Account in Kuwaiti Dinar offered 1.59 percent at the end of the first quarter of 2017. Al-Jarrah also mentioned that KIB’s impressive financial performance during the first quarter of 2017 reflected the successful implementation of its forward-thinking strategic plan and its solid financial standing.
Al-Jarrah concluded by saying “The strategy that KIB has put in place aims to bring about a comprehensive transformation in terms of the Bank’s performance, profits, assets, products and services. The strategy adopts a future outlook which focuses on propelling the Bank forward to become the “Islamic Bank of Choice in Kuwait”. The impressive performance that we have seen during the previous two years, and since the beginning of 2017, in terms of stable profit growth in profits and growth in depositors accounts - especially Arzaq and Boushra - is proof that KIB is thus far successfully achieving its outlined objectives, which focus on developing and enhancing the products and services offered to customers to best suit their needs and meet the demands of the market. During the current year, KIB will focus on boosting its competitive edge within the banking sector by successful deployment of best in class digital experience to the Bank’s customers.”