MANAMA: Bahrain-based BMI Bank, a retail and commercial banking institution, reported a net profit of USD 8.8 million (BD 3.3 million) for the fiscal year ended 31st December 2013, an increase of 577% as compared to a net profit of USD 1.3 million (BD 0.5 million) recorded over the corresponding period in 2012.
The Bank posted a net profit of USD 6.5 million (BD 2.4 million) post provisions for the fourth quarter of the year as compared to a net profit of USD 0.3 million (BD 0.1 million) during the same period in 2012. The total income for the period was USD 61.4 million (BD 23.1 million) as compared to USD 56.2 million (BD 21.2 million) reported during the corresponding period in 2012. Total assets at the end of 2013 stood at USD 1.9 billion (BD 0.7 billion). The Bank’s net interest income for 2013 increased by 10.7% to USD 45.6 million (BD 17.2 million) from USD 41.2 million (BD 15.5 million) in 2012.
“Following our full-year return to profitability in 2012; the first time in the last five years, we moved into 2013 equipped with an excellent Capital Adequacy Ratio, strong liquidity and a stable and consistently growing business,” Jamal Al-Hazeem, Chief Executive Officer of BMI Bank said.
“We continued our emphasis on product innovation, stronger levels of customer service and transparency whilst focusing on significantly increasing our brand equity and market share within Bahrain through the launch of several new promotions, initiatives and partnerships to maximize our shareholders’ returns.”
“I am very pleased to report a net profit of USD 8.8 million (BD 3.3 million) for 2013 which represents our second full-year of profitability as well as our tenth straight net quarter of profit. Our profit, in 2013 represents an increase of 577 % over 2012 and reflects a healthy growth in our core business as indicated by the improvement in our loan to customer deposit ratio which now stands at a healthy 71%. In 2013, we repaid a USD 80 million syndicated term loan facility six months before the scheduled due date, without the need to refinance or rollover; a further testament to our growing reputation as a strong local retail Bank with excellent liquidity and a Capital Adequacy Ratio at over 16%.”
“During 2013, we successfully controlled our operating expenses, reduced our cost of funds, as well as improved our yield through appropriate product pricing and better control on asset quality. We take immense pride in the fact that our Bank recently won the prestigious 2013 Bahrain eContent Award for our group website and eBanking portal. At BMI Bank, we wholeheartedly embrace technology and explore ways to be able to serve our loyal customers through contemporary and convenient online services that help in simplifying their interaction with us in a safe and secure environment.”
“The Bank continues to demonstrate a strong return on our investments in people, system, product, services and brand as reflected in its position as a young tech-savvy key player amongst local banks and is gaining wide spread recognition for its innovative financial solutions.
“Going forward, our focus on growing our business along with customer numbers will continue, backed by our excellent capital position and strong liquidity. We will continue to provide our customers with a range of financial solutions through quality products and services that deliver a profitable, sustainable and consistently growing performance creating genuine value for all our stakeholders. We will also work on executing the details of our recently signed Share Purchase Agreement with Al Salam Bank Bahrain (ASBB) as we finalize all aspects of our business combination.
“I take this opportunity to thank the Central Bank of Bahrain, our Board of Directors, our shareholders and our staff for their continued support and commitment and above all our loyal customers for their confidence in our products, services and capabilities.”