Quotes: MENA   Enter Symbol: NewsLetter: Search: advanced

Kuwait - ABK posts KD 35.4 mln net profit in 2013   Join our daily free Newsletter

MENAFN - Arab Times - 23/03/2014
No. of Ratings : 0
Add to Mixx!



(MENAFN - Arab Times) Al Ahli Bank of Kuwait announced a net profit of KD 35.4 million for the financial year ended Dec 31, 2013, signifying an 18 % year on year increase. At the Annual General Meeting held at its premises, the bank declared that earnings per share rose by 16 % from 19 fils to 22 fils. Ahmed Yousuf Behbehani, Chairman of the ABK Board of Directors stated that total assets at year end stood at KD 3.19 billion, 7 % greater than 2012 with an increase in Kuwait government security bonds, loans and advances, investment securities and other assets while customer deposits marked a 6 % rise to KD 1.95 billion and shareholder's equity received a 5% boost to KD 540.8 million with the bank earning higher returns on assets of 1.15% and on equity of 6.70%.



Behbehani highlighted the major achievements of the year, one of them being an increase in operating profits to KD 81.54 million, a marginal increase from 2012's KD 80.41 million 'despite the subdued economic environment in Kuwait and continued uncertainty in the global markets'. The total liabilities augmented from 2012's 2.45 Billion stood at 2.65 billion at year ended Dec 31 2013. ABK maintained a capital adequacy ratio of 26.93%, highest among local banks and ahead of international peers, Behbehani attributed this to disciplined balance sheet management. "Consequently, ABK has the capacity and resilience to absorb losses, and sufficient capital to expand", he remarked.



He added, "The robustness of ABK's core businesses and their impressive revenue gathering capacity have proven their value to our overall performance. In addition, continued improvements in operating efficiency and careful cost management have resulted in a stable cost to income ratio that compares favourably with our peers." The bank also reduced its NPL ration from 5.25% in 2012 to 2.59% in 2013. Based on the above figures, the AGM approved the proposed distribution of 13% cash dividend i.e. 13 fils for the share's nominal value for 2013. Behbehani shared that conscious efforts had been made to remain conservative in the bank's provisioning policies which helped further improve its asset quality metrics. ABK has succeeded in building up adequate precautionary general provisions to cope with unforeseen contingencies, he revealed.



Speaking of the Central Bank of Kuwait's revised corporate governance gidelines which came into effect last year, he shared that since ABK's philosophy has always been to adhere to international standards, the bank already had a high level of compliance with the new guidelines. Furthermore, three institutional developments that strengthened the bank's governance was the additional of two new Directors on the board, two new Board committees and restructuring the Bank's management committees for greater efficiency, accountability, and transparency.




Colin Plowman, Chief General Manager and Chief Executive Officer of ABK, stated that the first 12 months of the 2013-15 three year plan saw most of the Bank's frontline businesses contribute to an upward trend in profit and net growth, "We recorded market leading growth in the retail segment; treasury and investments performed very well; and international banking continued to expand and diversify its business." He noted that growth in the above had helped offset sluggish corporate demand. Plowman added, "Retail Banking maintained its growth of recent years, with card products performing particularly well."



He shared that a credit scoring system that cut approval times for customers was worked on by the Retail and IT departments, and announced the launch of mobile banking in 2014. It was also pointed out that ABK had received the "Best Customer Service" in retail banking category of the Service Hero awards, an award for the best website and obtained ISO (9001-2008) Behbehani iterated that the bank's performance had resulted in rating agencies, Moody's and Fitch, maintaining its investment grade status with a stable outlook. Moreover, Fitch upgraded ABK's rating from A- to A. "This underlines our intrinsic strengths of high liquidity, good income generating capacity and prudent management strategies", he said.



In regard with the bank's corporate social responsibility, Behbehani stated ABK's support for various activities ranging from health and education to sports and environment. For its efforts, the bank received the Golden CSR Excellence Award from the Arab Organisation for Social Responsibility for the second consecutive year. "Overall, ABK is well positioned to benefit from any uplift in the economy, having capacity to grow the balance sheet and with resilience to absorb contingencies and maximize shareholders' value", he said.




 


Arab Times




  MENA News Headlines
 Aug 29 2016 - Crossing Over and Coming Home: LGBT Near Death ExperiencesMENAFN Press
(MENAFN Press) Crossing Over and Coming Home: LGBT Near Death Experiences The author of Crossing Over and Coming Home will be putting out a second book on the LGBT Near Death Experience. In one ...

 Aug 29 2016 - Global Military Aviation MRO Market Growth 2016 Share, Trend, Segmentation and Forecast to 2020MENAFN Press
(MENAFN Press) Global Military Aviation MRO Market Growth 2016 Share, Trend, Segmentation and Forecast to 2020 Military Aviation MRO -Market Demand, Growth, Opportunities and analysis of Top Key ...

 Aug 29 2016 - GCC Real Estate remains safe haven for International InvestorsExpertMENAFN Press
(MENAFN Press) Bahrain mega projects to deliver powerful message at Cityscape Globalthat prospects are bright, despite oil prices and global events Dubai, UAE, 28 August 2016: Brick-wall ...

 Aug 29 2016 - GCC Real Estate remains safe haven for International InvestorsExpertMENAFN Press
(MENAFN Press) Bahrain mega projects to deliver powerful message at Cityscape Globalthat prospects are bright, despite oil prices and global events Dubai, UAE, 28 August 2016: Brick-wall ...

 Aug 29 2016 - 15 YEARS OF THE LONDON LOOK Rimmel & Kate Moss Celebrate 15 Years of PartnershipMENAFN Press
(MENAFN Press) With a Special-Edition Lip Anniversary Collection Dubai, UAE, August 28, 2016: Two British beauty icons, 15 years of London looks… Join us to celebrate the 15th ...

 Aug 29 2016 - Over 50 percent of Phase 2 of Redwood Park now sold outMENAFN Press
(MENAFN Press) Over half of the award-winning three- and four-bedroom townhouses have now sold to a mix of local and international buyers The community has reached 10 percent completion, as ...

 Aug 29 2016 - Choppy markets as Yellen causes confusionMENAFN Press
(MENAFN Press) Ole Hansen Head of Commodity Strategy / Saxo Bank Yellen seemed hawkish at first but then morphed into a dove Gold and oil gained – speech lacked new initiatives or direction ...

 Aug 29 2016 - Dubai Public Library Successfully Concludes the Eighth Edition of Our Summer is Culture & Arts' ProgrammeMENAFN Press
(MENAFN Press) 11-day programme of educational and entertaining activities attract more than 500 children and young adults Dubai, United Arab Emirates: 28 August, 2016: Dubai Culture & Arts ...

 Aug 29 2016 - Commenting on the survey, Yousef Wahbah, MENA Head of Transaction Real Estate at EY said:MENAFN Press
(MENAFN Press) ''With the Eid Al Fitr Holiday falling in July 2016, many of the MENA hospitality markets performed positively compared to the same period last year. GCC hotels recorded positive ...

 Aug 29 2016 - Capsule Collection - Claudie Pierlot x Marjan JonkmanMENAFN Press
(MENAFN Press) MARJAN X CLAUDIE Castel. Rgine. Les Bains.Where to go to see and be seen.Here, betweenshadow, neon and light,Parishigh society gather together.A place where people come to ...

more...


 





Google

 
 

Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  
 

Middle East North Africa - Financial Network
Arabic MENAFN

Main News
News By Industry
News By Country

Islamic Finance News
Private Equity News

How-To Guides
Technology Section

Travel Section

Search News

Market Indices
Quotes & Charts

Global Indices
Arab Indices

Commodoties

Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks
 

Algeria 
Bahrain 
Egypt 
Iraq
Jordan 
Kuwait 
Lebanon
Morocco 
Oman 
Palestine
Qatar 
Saudi Arabia 
Syria
Tunisia 
UAE 
Yemen

Weather
Economic Calendar
Financial Glossary


Financial Calculators

RSS Feeds [XML]

Corporate Monitor

Events

Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters


 
© 2014 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help