Bank Muscat posts net profit of OMR94.65mn
The bank posted a net profit of OMR94.65mn for the six months ended on June 30, 2021, compared to OMR69.56mn during the same period in 2020 mainly due to lower impairment charges
MUSCAT: Bank Muscat, the flagship financial institution in the Sultanate, announced its preliminary unaudited results for the six months ended on June 30, 2021.
The bank posted a net profit of OMR94.65 million for the period compared to OMR69.56 million reported during the same period in 2020, an increase of 36.1 per cent, mainly due to lower impairment charges.
The key highlights of the results for the period are as follows:
Net interest income from conventional banking and net income from Islamic financing stood at OMR168.44 million for the six months ended on June 30, 2021
compared to OMR160.53 million for the same period in 2020, an increase of 4.9 per cent.
Non-interest income was OMR74.70 million for the six months ended on June 30, 2021 as compared to OMR64.69 million for the same period in 2020, an increase of 15.5 per cent.
Operating expenses for the six months ended on June 30, 2021 was OMR95.12 million as compared to OMR94.03 million for the same period in 2020, an increase of 1.2 per cent.
Net impairment for credit and
other losses for the six months in 2021 was OMR35.33 million as against OMR48.19 million for the same period in 2020. The decrease is mainly attributed to the precautionary and collective provisions created by the bank during the 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.
Net loans and advances including
Islamic financing receivables increased by 2.7 per cent to OMR9,238 million as against OMR8,996 million as of 30 June 2020.
Customer deposits including Islamic customer deposits increased by 0.3 per cent to OMR8,670 million as against OMR8,645 million as of 30 June 2020.
The full results for the six months ended 30 June 2021 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 in July.