Manama, Bahrain: Bank ABC Islamic today announced that its net profit for the year ending on 31 December 2015 was US$19.7 million, 31% higher than last year’s net profit of US$15.1 million. Net profit for the fourth quarter of 2015 was US$3.6 million.
Total operating income rose to US$27.3 million, with an increase of 23.3% over the previous year. Total Operating expenses for the year 2015 were US$7.3 million, compared to US$6.8 million in 2014. No impairment provisions were required during 2015, demonstrating continuing improvement in credit quality.
Shareholders’ equity at 31 December 2015 stood at US$283.2 million, compared to US$263.6 million at the 2014 year-end. The Bank’s capital base remains very strong with a capital adequacy ratio of 27.9%, well above the regulatory minimum of 12.5%.
ABC Islamic Bank’s total assets stood at US$1.344 billion, compared to US$1.328 billion at the 2014 year-end.
Commenting on the results, Mr. Naveed Khan, Managing Director of Bank ABC Islamic, said: “Despite the success in containing the growth of Risk Weighted Assets, the Bank has been able to increase total operating income by 23%, while holding expense growth at 7%, which lead to an increase of 31% in net profit over the previous year. What is encouraging is the sustained momentum over the previous year’s excellent results, during a contractionary environment. The focus this year has been on asset churn/distribution and debt capital markets in conjunction with the Parent Group (Bank ABC) which has produced good results and positions us well for a potential regional slowdown on account of lower oil prices.”