AHLIBANK’S 9-MONTH NET PROFIT UP 14% TO RO22MN

Muscat: Ahlibank reported a 14.1 per cent growth in net profit for the nine months period ended on September 30, 2015.

The bank’s net profit rose to RO21.8mn for the first nine months of 2015 compared to RO19.1mn in the same period last year, according to bank’s initial results submitted to Muscat Securities Market on Wednesday.

Ahlibank’s operating income increased by 13.5 per cent to RO43mn compared to RO37.9mn in the previous year. Its operating expenses jumped by 19.7 per cent to RO15.2mn in first nine months of 2015 from RO12.7mn in the same period of 2014.

The bank reported 12.9 per cent growth in loan book as net loans and advances and financing increased to RO1.5bn as of September 30, 2015 compared to RO1.33bn a year ago. Customers deposits surged by 27.4 per cent to RO1.32bn from RO1.04bn a year ago.

In a note, Gulf Baader Capital Markets (GBCM) described Ahlibank’s third quarter 2015 result as ‘a mixed set of numbers’.

It said, ‘The bank’s third quarter net profit is at RO7.24mn as against our estimates of RO7mn, reporting an increase of 20.8 per cent year on year amid muted credit growth and higher operating expenses, while the same is compensated by lower cost of risk’.

According to GBCM, net operating income of the bank for the third quarter increased 11.5 per cent year on year to RO14.1mn. ‘This is below our estimates. Third quarter total operating expenses of the bank is at RO5.4mn, an increase of 17.6 per cent year on year, this is higher than our estimates of RO5mn. We would get better clarity post the disclosure of detailed results’, GBCM added.

Ahlibank reported 20.8 per cent rise in total assets to RO1.92bn as of September 30, 2015 compared to a year ago.

SOURCE: MUSCAT DAILY