NBB Q1 net profit rises 15%

TDT | Manama                                                

The Daily Tribune – www.newsofbahrain.com     

National Bank of Bahrain (NBB) reported a 15% increase in profits in the first quarter of 2023, helped primarily by higher income from loans and securities.

The bank attributed the boost in profits to the higher performance of its capital market and treasury teams as well.

Q1 results

First quarter net profit attributable to shareholders increased 15% to BHD 22.4 million (USD 59.4m) from BHD 19.4m (USD 51.5m) in the year-ago quarter.

Earnings per share increased to 10 fils (USD 3 cents) from 9 fils (USD 2 cent) in the same quarter of 2022.

Total comprehensive income attributable to NBB’s shareholders decreased by 62% to BHD 15.4m (USD 40.8m) from BHD 40.9m (USD 108.5m) in 2022, due to the negative markto-market movements of the equity and Bahrain sovereign bond portfolios.

The prior year results included significant fair value gains in both the equity and bond portfolios as we exited the pandemic, which were not applicable to 2023.

Total equity attributable to owners decreased by 7% as at 31 March 2023 to BHD 529.1m (USD 1,403.4m) compared to BHD 565.9m (USD 1,501.1m) reported at 31 December 2022.

The decrease followed the payment of BHD 51.5m of cash dividends during the first quarter of 2023.

NBB’s Chairman of the Board, Farouk Yousuf Khalil Almoayyed, stated: “We delivered our highest quarterly consolidated net profit of BHD 23.0m demonstrating a 12% growth compared to the same period in 2022.

The Bank will continue to deliver on its non-financial ambitions underscored by our commitment to implementing ESG practices across all verticals and our brand promise of being ‘Closer to You’.

We look forward to continuing to exhibit a level of high-performance in the coming quarters.”

NBB’s Group Chief Executive Officer, Usman Ahmed, said: “Average loan balances during the first quarter were maintained at higher levels than the yearend, contributing to the growth in revenues.

This uplift in revenues was achieved while keeping expenses controlled and has positively impacted the Group’s cost-to-income ratio.”