(MENAFN- Bahrain Tribune) Tiding over the global financial market turmoil, the Kingdom's first bank, National Bank of Bahrain yesterday announced a net profit of BD35.06 million ($93.24 million) for the nine months period ended September 30, representing a growth of 4.3 per cent over the BD33.63 million ($89.44 million) net income earned in the corresponding period last year.
Notwithstanding the global market meltdown arising from the sub-prime crisis and the credit crunch, the bank continued to show steady earnings growth from its core business and markets.
Return to the shareholders continued to improve, with earnings per share of 45 fils for the nine months of 2008, compared to 43 fils for the nine months of the previous year.
"At a time when leading international institutions are struggling to cope with the fallout of the sub-prime crisis, the bank has demonstrated stability and growth. I am pleased with the results that the Bank has delivered in an extremely difficult and volatile business environment," said Abdulla Ali Kanoo, the Chairman of the Board. He thanked the executive management team and employees for their dedicated service and the bank's clients for their valued business relationship and the confidence reposed by them in the institution.
"The bank's results are significant considering the economic turmoil and the depressed global financial markets. We have been able to meet the challenges of the environment and meet our stakeholder expectations due to our robust risk management processes and focused business strategies," maintained Abdul Razak A. Hassan Al Qassim, its Chief Executive Officer, commenting on the bank's performance and future outlook.
The growth in the bank's loans and deposits book in its core markets in the GCC resulted in an increase of net interest income from BD31.05 million ($82.58 million) for the nine months period in 2007 to BD33.77 million ($89.81 million) for the nine months period in 2008.
Other income also increased by 6.9 per cent from BD18.43 million ($49.02 million) in the previous year to BD19.71 million ($52.42 million) primarily on account of an increase in Treasury income from higher foreign exchange profits partly off-set by lower profits on investments due to the global economic meltdown.
Further, other income from retail lending activities and from corporate businesses showed an increase, mainly on account of good commission income from lead managing and other financing activities.
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