ABC reports $120 million net profit for 2003
Bahrain-based Arab Banking Corporation reported a net profit increase to $120 million for 2003, compared with the net loss of $41 million for the same period last year.
The group's operating profit before provisions, tax and minority interests for 2003 totaled $354 million, up 54 percent on the amount of $230 million achieved in 2002. The Board of Directors have therefore decided to recommend a dividend of seven percent to the Annual General Meeting.
ABC's total revenues increased by 25 percent to $898 million, according to a press release. Net interest income was lower at $437 million mainly because of the negative impact of continued low US dollar interest rates on earnings from equity funds. Commission, fees and other income surged 79 percent to $461 million boosted by improved performance from the Brady bond portfolio, capital markets, retail banking, and treasury activities, and also benefiting from the strengthening of the euro against the dollar.
Total ABC Group assets increased by four percent to $30,068 million, mainly due to the foreign exchange translation impact of the strong euro on the assets of ABC's subsidiaries based in Europe. Loan assets grew by six percent to $15.92 million, holdings of marketable securities were increased by six percent to $5.29 million whilst placements with other banks declined by two percent to $6.6 million. — (menareport.com)
© 2004 Mena Report (www.menareport.com)