Al Ahli Bank of Kuwait Group Q1 financial results ending March 31 achieved 30% net profit growth

This news has been read 9263 times!

Our demonstrated growth in Q1 highlights ABK’s success… Talal Behbehani

KUWAIT CITY, April 19: Al Ahli Bank of Kuwait (ABK) recently announced its financial results for the first quarter (Q1) for the fiscal year 2023. ABK reported a Net Profit of KD 10.8 million compared to KD 8.3 million in the same period in 2022, reflecting a 30% increase. Net Operating Profit rose by 5% to KD 22.3 million, and Earnings per Share stood at 4 fils compared to 3 fils in the previous year.

Talal Behbehani, Chairman of Al Ahli Bank of Kuwait and George Richani, ABK Group Chief Executive Officer

ABK reported Total Assets of KD 6.1 billion, Customer Deposits of KD 4.1 billion, and ABK’s loan portfolio totaled KD 4 billion. The Non-Performing Loan (NPL) ratio stood at 1.45% and NPL Coverage at 365%. Furthermore, the Capital Adequacy Ratio (CAR) reached 15.59% and Shareholders’ Equity KD 487 million.

Financial Performance

Commenting on the financial results, Mr. Talal Behbehani, Chairman of ABK’s Board of Directors, said, “Our demonstrated growth in the first quarter of the year highlights ABK’s success in keeping up with the pace of local, regional, and global economic changes by developing plans designed to confidently and successfully overcome challenges.”

Mr. Behbehani added, “During the first three months of the year, the Group was able to achieve growth across all key indicators and continued efforts to maximize shareholders’ rights and ensure value creation.”

The Chairman continued, “The Group is keen to seize opportunities that contribute to achieving sustainable growth and support the overall economic development of the country to help ensure the success of Kuwait Vision 2035.”

These financial results follow ABK’s recent Annual General Assembly for the fiscal year ending December 31, 2022 held in March, which was attended by 92.8% of shareholders, where the Board of Directors’ recommendation to distribute 8% cash dividends (8 fils per share) and 5% bonus shares (5 shares for every 100 shares) to ABK shareholders was approved.

The Chairman extended his appreciation to the Central Bank of Kuwait and regulatory authorities for their guidance and support of the Kuwait banking sector. Mr. Behbehani also expressed his gratitude for all the efforts of ABK’s shareholders, Board of Directors, Executive Management and staff for their ongoing commitment to ensuring that ABK performs at the highest levels.

Reaffirming the strength of the Group’s financial results, ABK’s Group CEO, Mr. George Richani, said, “Our growth is a reflection of the successful implementation of our strategic transformation plan. We continue to develop and grow our market share across all segments including both individual and corporate clients.” He added that the Group studies economic developments on an ongoing basis and develops prudent plans to address challenges.

Mr. Richani confirmed that ABK has maintained its investment-grade ratings from international agencies Fitch (A) and Moody’s (A2), with a stable outlook reflecting the great confidence the Bank enjoys at a global level.

Mr. Richani emphasized that ABK continues to strengthen its position as a main and essential contributor to Kuwait’s financial and banking sector. The Bank endeavors to continuously develop its employees’ capabilities by organizing training courses in partnership and cooperation with several leading specialized local and regional agencies and institutions.

Customer Service

Mr. Richani stressed that customers remain a top priority for ABK. He said, “In order to reward customers for their ongoing loyalty, a continuous stream of special offers are developed and launched in partnership with strong brands that can be unlocked by simply using ABK cards for financial transactions.”

ABK also continues to invest in technology to broaden its digital service offerings for all its customers across the region in Kuwait, Egypt, and the UAE. Mr. Richani disclosed that, with the most recent launch of Apple Pay and Google Pay, ABK has widened its digital payment solution services with the aim of increasing customer satisfaction, which in turn will reflect positively on the Bank’s market share.

Corporate Social Responsibility

ABK understands the crucial role that corporate social responsibility plays in a company’s brand perception and attractiveness to various stakeholders including investors, talent retention and acquisition, which all contribute to overall business success.

Therefore, in addition to achieving financial growth, ABK stressed its keenness to enhance its presence in the local community by organizing, sponsoring, and supporting several initiatives during the first quarter of the year as part of its commitment to social responsibility.

One of ABK’s main charitable initiatives that took place earlier this year was the donation to Kuwait Red Crescent Society to help support victims following the devastating earthquakes that struck Turkey and Syria.

Furthermore, ABK has already dedicated efforts towards several sectors so far into the year, such as sponsoring Amiri Hospital’s second annual health campaign, HH the Crown Prince’s Cup final match and Porsche Club Kuwait in sports, as well as a series of university career fairs to encourage Kuwaiti youth as part of the Bank’s educational support.

ABK also continues to organize initiatives for special occasions throughout the year, the most recent of which was the holy month of Ramadan. Some activities included donating iftar meals and food aid boxes, which witnessed active participation from ABK staff volunteers. Furthermore, for the third consecutive year, ABK continues to dedicate its efforts to increasing financial literacy by disseminating educational content as part of its support of the Central Bank of Kuwait and Kuwait Banking Association’s ‘Let’s Be Aware’ or ‘Diraya’ nationwide campaign which aims to establish and embed financial awareness into societal culture targeting all customer segments.

This news has been read 9263 times!

Related Articles

Back to top button

Advt Blocker Detected

Kindly disable the Ad blocker

Verified by MonsterInsights