Manama, Bahrain: Bank ABC Islamic today announced that its net profit for the first half of 2018 was US$15.6 million, 3% higher than the net profit of US$15.1 million reported in the first half of 2017. Second quarter 2018 net profit of US$7.4 million was lower than last year’s net profit of US$8.7 million, mainly due to one-off fee income from gain on sale of investment in Q2 2017.
Total operating income rose to US$20.6 million, compared to US$19 million for the first half of last year. Operating expenses were US$3.6 million, slightly lower than US$3.7 million for the same period last year.
Shareholders’ equity at 30th June 2018 stood at US$335 million, compared to US$333 million at 2017 year-end. The bank’s capital base remains very strong with a capital adequacy ratio of 30.5%.
ABC Islamic Bank’s total assets stood at US$1.749 billion as of June 30, 2018 compared to US$1.559 billion at 2017 year-end.
Commenting on the results, Mr. Hammad Hassan, Managing Director of Bank ABC Islamic, said, “We welcome the healthy growth of 12% in the bank’s balance sheet during the first half of the year. Despite volatility in emerging markets over the last few months, resulting in subdued transactional activity, the Bank was able to generate a very positive business momentum. Total operating income (before allowances for credit losses) has shown growth of 8% on year-on-year basis, and looking forward, the coverage team has a good transaction pipeline. Subject to improvement in markets post summer, we are hopeful of sustained performance during rest of the year”.