BBK announces profits, cash dividend

TDT | Manama                                                      

The Daily Tribune – www.newsofbahrain.com

BBK reported financial results for the year ended 31st December 2023 with a net profit attributable to the owners of the Bank of BD 74.5 million, representing an increase of 15.7% over the net profit of the previous year.

Based on the positive financial results for the year ended 31st December 2023, the Board of Directors recommended paying cash dividend of 30 fils per share (including 10 fils interim dividend paid earlier) and stock dividend of 5% per share equivalent to 5 shares for every 100 shares for the year 2023 for the shareholders registered with the Bank on the record date, subject to the approvals of the regulatory authorities and the shareholders at the Annual General Meeting (AGM).

Q4 results

Net profit attributable to the owners of the Bank was BD 17.9m, 10.1% lower than the net profit of BD 19.9m in the year-earlier quarter.

Earnings per share amounted to 10 fils compared to 12 fils during last year. The decrease in net profit was mainly attributable to the higher share of loss from associates and joint ventures.

Total comprehensive income attributable to the owners of the Bank amounted to BD 24.0m, compared to BD 54.7m in the year-ago quarter, representing a decrease of 56.1%. This is mainly attributable to the decrease in the fair value reserve of investment securities during the year.

Full year results

Net profit attributable to the owners of the Bank was BD 74.5m compared to BD 64.4m achieved during the previous year, representing an increase of 15.7%.

Earnings per share amounted to 43 fils compared to 37 fils during the prior year.

The total comprehensive income attributable to the owners of the Bank amounted to BD 84.4m, compared to BD 84.5m reported during last year.

The decrease is mainly related to a lower increase in market valuations during the year, which was compensated for by higher net profit from core activities.

The increase in net profit was mainly attributable to higher net interest income due to active balance sheet management in addition to the well positioning of the Bank’s liquidity and assets toward market conditions and interest rates.

On the other hand, the share of income from associate companies and joint ventures has decreased, while operating expenses increased mainly due to BBK’s strong belief in investing in its human capital, as well as efforts towards implementing various strategic and business initiatives which aim to provide customers with better banking experience.

Board of Directors expressed their satisfaction stating, “As the final year of our current 2022- 2024 strategic cycle approaches, the focus remains on achieving the strategic goals which emphasize digital transformation, sustainability and enhancing customer experience”.

Dr. AbdulRahman Saif, BBK’s Group Chief Executive added “BBK’s remarkable achievement during 2023 expressed with a strong financial performance, highlights the ongoing efforts to achieve its strategic goals and provide the best services to our customers.

Despite the low economic growth as compared to pre-COVID level, BBK has continued to excel through balance sheet optimization and achieving various initiatives aimed at enhancing customer experience, which was reflected in strong financial results driven mainly from core business activities”.