Quotes: MENA   Enter Symbol: NewsLetter: Search: advanced

Kuwait- Gulf Bank posts KD 32.2 million profit in 2013  Join our daily free Newsletter

MENAFN - Arab Times - 24/03/2014
No. of Ratings : 0
Add to Mixx!



(MENAFN - Arab Times) Gulf Bank announced a net profit of KD 32.2 million for the financial year ended December 2013, up 4.1 percent against KD 30.9 million in 2012 with earning per share up from 11 fils in 2012 to 12 fils in 2013, at its Annual General Meeting held at Hotel Missoni, Sunday morning. The Bank's total assets for the same period amounted to KD 5,064.8 million, deposits stood at KD 4,086.1 million, total shareholders' equity was KD 483.1 million and total liabilities amounted to KD 4,581.6 million. Chairman Omar Kutayba Alghanim shared that Gulf Bank's results in 2013 reflected its steady progress as normalized operating profits grew to KD 99.6 million (excluding KD 9.8 million of non-recurring income) from KD 96.1 million (excluding KD 25.3 million on non-recurring income) in the prior year. "Continuing our strategy to build a fortress balance sheet, the Bank increased its precautionary general provisions to KD 158 million", he remarked.



Approve

The shareholders approved the recommended distribution of bonus shares of 5 percent on outstanding issued share capital as at Dec 31, 2013. Net interest income was high, KD 121.4 million, driven primarily by a decline in funding costs while fee income was lower at KD 26.2 million from KD 28.5 million in 2012, reflecting muted economic activity in the corporate sector. The capital adequacy ratio increased to 17.4 percent from 16.8 5 in 2012 and the cost to income ratio climbed to 34.5 percent from the previous year's 32.4 percent marker. Loans growth, especially in Consumer banking, was notable at 17 percent and the international portfolio witnessed healthy growth even as domestic corporate growth opportunities were limited, impacted by the sluggish roll out of the Kuwaiti development plan



Fitch ratings affirmed the bank's Long term Issuer Default Rating at 'A' with a 'Stable' outlook, upgrading the Viability Rating from 'bb-' to 'b'. Meanwhile Moody's changed the outlook on the bank's Baa2/Prime-2/D- rating to 'Positive' from Stable and Standard & Poor upgraded the long term rating to BBB with a 'Positive' outlook. He added, "The Bank is now strongly positioned for growth. During the past year, we introduced new strategic directions that will develop and broaden our offering and build on the solid foundations we have created in previous years. The focus is strongly on the needs of our customers, investments in our staff, and the development of our customer base. At the same time, we have started to develop exciting new opportunities which will allow us to further grow in corporate and consumer banking services. Of course, all of these initiatives are placed against the requirements of enhancing the Bank's reserves and financial capacity." The bank grew in terms of manpower and maintained its 63 percent Kuwaitisation ratio. The branch network increased to 57 branches across Kuwait, "In doing so, we will be closer to our customers, and better able to ensure that they receive the best possible banking services and that these are delivered both swiftly and efficiently.



Significan

Alghanim pointed out that during the previous year, the bank had witnessed a significant 38 percent reduction in non-performing loans (i.e., NPL) and a continued increase in the general precautionary reserves. "The Bank has maintained its aggressive efforts to reduce the NPL ratio, driving it from 10.9 percent in 2012 to 6.5 percent by December 2013 - a 40 percent reduction. Decreasing the NPL ratio is a strategic objective and of the highest priority for management. Further improving our credit strength, the Bank has increased the total coverage ratio of non-performing loans to over 185 percent", he said. Alghanim stressed that in 2014, the bank was committed to successfully executing its growth strategy, and providing both corporate and retail customers with an exciting alternative in the Kuwait market



"The Bank has continued to invest in its infrastructure to ensure it has both the robust internal controls and the ability to deliver the quality of services that our customers and regulators demand and deserve. It is particularly pleasing to note that earlier in 2013, Gulf Bank successfully completed the implementation of its Corporate Governance mandate as required by the Central Bank of Kuwait, which will ensure accountability, fairness, and transparency in our relationships with all our stakeholders", he said. To become the Leading Kuwaiti Bank, Gulf Bank would have to achieve three strategic goals by 2016 - completing its recovery, maximizing organic growth, and creating option value



He highlighted the bank's Corporate Social Responsibility programs, which were mainly focussed on the development of Kuwaiti youth and supporting entrepreneurship. He noted that private sector companies were responsible for encouraging private sector employment and ensuring greater entrepreneurial endeavours. Alghanim noted that the big international companies were founded by young entrepreneurs; he opined that the next Google or Apple could very well come out of Kuwait



Activitie

"During 2013 we sponsored a number of activities in this area, including the INJAZ regional competition which was held in Kuwait for the first time with over 7,000 students from high schools and universities participating, representing 14 countries, the Global Management Challenge, NUKS, as well as job shadowing programs. Over the year, Gulf Bank had over 135 staff volunteers working together with our youth on various development programs in this area", he shared. Gulf Bank received numerous awards in various disciplines including: ' Best Bank in Kuwait' by The Banker, a leading Financial Times owned publication, 'Bank of the Year' from Arabian Business Magazine, 'Best Retail Bank' by Asian Banker, and 'Best Domestic Bank' by Banker Middle East. "We have shifted our focus for 2014 towards growth - through a relentless focus on the needs of our customers, investments in our staff, and a competitive drive in the marketplace. In parallel, we hope to finish the job of financial recovery, making sure stakeholders' interests are well protected", he asserted

 


Arab Times




  MENA News Headlines
 May 4 2015 - Saudi- Majlis Al-Shura: Custodian of the Two Holy Mosques Consolidates Saudi Ruling House Since Ascension to ThroneSaudi Press Agency
(MENAFN - Saudi Press Agency) Majlis Al-Shura has highly valued the selection by the Custodian of the Two Holy Mosques King Salman bin Abdulaziz Al Saud of Prince Mohammed bin Naif bin Abdulaziz as ...

 May 4 2015 - Saudi- Onaizah Scouts awarded Medal of Scouts of the WorldSaudi Press Agency
(MENAFN - Saudi Press Agency) The Scouts of Onaizah have obtained recently certificates of thanks and appreciation from Saudi Arabian Boy Scouts Association, and awarded the Medal of Scouts of the ...

 May 4 2015 - Egypt- CFF4: Fashion festivities hit Cairo for 4th timeDaily News Egypt
(MENAFN - Daily News Egypt) The minute you step onto the red carpet, several photographers race each other to take your photo, until you walk into one of Cairo's most captivating open spaces. The ...

 May 4 2015 - Egypt- Mercedes-Benz denies withdrawal from Egyptian marketDaily News Egypt
(MENAFN - Daily News Egypt) Following a state of confusion that resulted from rumours that Mercedes-Benz was withdrawing from the market, the German luxury car-maker issued an official statement ...

 May 4 2015 - Egypt- Pharmaceutical factory worth EGP 250m in Indian investments inauguratedDaily News Egypt
(MENAFN - Daily News Egypt) Indian company Pharmed Healthcare, a joint Hetero group venture, inaugurated in Egypt Sunday a factory for producing a drug called "Sofosbuvir", in the presence of ...

 May 4 2015 - Egypt- Court sentences 5 to death in Kerdasa police killingsDaily News Egypt
(MENAFN - Daily News Egypt) The Giza Criminal Court sentenced five defendants to death Monday on charges of storming the Kerdasa police station and murdering at least 11 policemen in August 2013.The ...

 May 4 2015 - Saudi-led coalition hits military base in YemenJordan News Agency
(MENAFN - Jordan News Agency) Saudi-led coalition struck Sanaa's al Dulaimi military airbase in a series of airstrikes on Sunday.The base, targeted by two airstrikes, was considered as the central ...

 May 4 2015 - 139 new Syrian refugees cross into Kingdom of JordanJordan News Agency
(MENAFN - Jordan News Agency) Jordan Armed Forces' border guards received 139 Syrian refugees in the last 72 hours, a source at the General Command of the Armed Forces reported on Sunday.The new ...

 May 4 2015 - Jordan Central Bank's liquidity position reaches JD4.3billionJordan News Agency
(MENAFN - Jordan News Agency) The Central Bank of Jordan (CBJ) announced Sunday that the obligatory reserved volumes held at CBJ amounted to JD1.5billion with JD2.8billion as excess liquidity capital ...

 May 4 2015 - Jordan ranks first in International Mental Arithmetic CompetitionJordan News Agency
(MENAFN - Jordan News Agency) Jordanian children proved that they are at the forefront of creativity and innovation with seven students ranking first in the International Mental Arithmetic ...

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