(MENAFN - Arab Times) Burgan Bank Group announced today significantly improved financial results for the year ended Dec 31, 2012.
The group posted KD 55.6 million net profits, 10% increase from the same period of 2011 reported at KD 50.6. Million.
Earnings per share (EPS) grew 12% to reach 37.8 fils compared to 33.7 fils reported last year. The Board of Directors recommended a payout of 10 fils as a cash dividend and 5 % as bonus shares subject to the approval of the annual general assembly meeting.
The group's performance during 2012 reflects a solid performance reflecting a constant growth trend. Compared to the same period last year, Operating income grew 16% to reach KD190 million while operating profit before provisions grew 17% reaching KD119 million. International Operations (Algeria, Iraq, Jordan, Tunis, Turkey) are profitable and on growth mode, the contribution of the International Operations (Excluding the subsidiary in Turkey which was acquired on Dec 21, 2012) to the group's total revenues during 2012 stood at 48%.
Majed Essa Al Ajeel, Chairman of Burgan Bank said: "We are continuously increasing our market share with profitability, Loans and advances grew 50% reaching KD3.4 Billion while customer deposits grew 39% reaching KD3.9 Billion. Our Non-Performing Loans (NPLs) are decreasing and our total provisions reached KD 194.4 millions. Our NPL ratio (net of collateral) to gross loans stands at 1.9%. Capital Adequacy Ratio stands at 18.5%." "The solid performance reiterates our foremost commitment to our shareholders as well as our customers, and we are optimistic that we will continue achieving sound results. On behalf of the board, I take this opportunity to thank the executive management team and staff under the leadership of Eduardo Eguren, Chief Executive Officer, for their continuous hard work and delivery of strong results. I also take this opportunity to express our gratitude towards our customers and shareholders for their continued confidence in our capabilities," added Al Ajeel.
During 2012, Burgan Bank Group achieved an impressive array of international awards. Burgan Bank achieved the "Best bank in Kuwait" award by EMEA finance, Bank of Baghdad achieved the "Best bank in Iraq" award by EMEA finance, Jordan Kuwait Bank achieved the "Best Bank in Jordan" award by Global Banking and Finance review, Tunis International Bank achieved the "Bank of the Year" by Intercontinental Finance Magazine. In recognition of its delivery of sound results across its operations in the region, Burgan Bank Group also achieved the "Best banking group in MENA" by Global Banking & Finance Review.
Excellence is one of the Bank's four key values and Burgan Bank continually strives to maintain the highest standards in the industry. The Bank was re-certified in 2010 with the ISO 9001:2008 certification in all its banking businesses, making it the first bank in the GCC, and the only bank in Kuwait to receive such accreditation. The Bank also has to its credit the distinction of being the only Bank in Kuwait to have won the JP Morgan Chase Quality Recognition Award for twelve consecutive years.
Burgan Bank won the prestigious "Banking Web Awards" prize in the commercial and corporate Category for Kuwait. In 2010 Burgan Bank was awarded with the "Best Internet Banking Service award" from Banker Middle East Awards. Burgan Bank was recognized in 2011 as Kuwait's "Best Private Bank", by World Finance. The bank also won, in 2011, the coveted "International Platinum Star for Quality" award from Business Initiative Directions, and "The Best Technical Award" from Banking Web Awards. In 2012, Global Banking and Finance Review online magazine recognized Burgan Bank as the "Best Banking Group in the MENA" as well as the "Best Corporate Bank in Kuwait". The bank also won the coveted "Best Bank Branding" award by the Banker Middle East.
For the second consecutive year in 2012, Burgan Bank also won World Finance's "Best Private Bank" award, as well as the "Best Private Bank in Kuwait 2012" award from Capital Finance International. The bank recently won the "Best Bank in Kuwait" award from EMEA Finance. Burgan Bank, a subsidiary of KIPCO (Kuwait Projects Company), is a strongly positioned regional Bank in the MENA region.