NBB’s annual profits reach $51 million
The National Bank of Bahrain (NBB) recorded 19.25 million Bahraini dinars in profits for 2002 compared to results of BD 18.16 million ($48.1 million) in 2001. The increase resulted from consistent and steady growth in the Bank's core business and good performance by the Bank's treasury, stated a press release.
Operating Expenses increased from BD 13.78 million in 2001 to BD 14.74 million in 2002. The Bank was successful in raising the level of return for the shareholders, as reflected in an increase in the Earnings Per Share to 48 fils per share, as compared with 45 fils per share in the previous year.
At year-end 2002, the Bank's total assets stood at BD 1.1 million, an increase of 2.4 percent as compared with BD 1.078 million at year-end 2001. The growth in total assets resulted from an expansion of the Loans and Advances portfolio in Bahrain and the Gulf region and from an increase in the placements with banks and other financial institutions. Customers' deposits registered an increase of 8.1 percent to BD 760.2 million at the end of 2002, mainly on account of higher retail and corporate deposits.
NBB’s Board of Directors proposed to shareholders an increase of five million dirhams in the issued and fully paid share capital of the Bank to BD 45 million from BD 40 million by the issue of bonus shares at the rate of one additional share for every eight shares held. These shares will rank pari passu with all other shares for future dividends and distribution. This bonus share issue is proposed to be made through utilization of five million Bahraini dinars from the General Reserve.
The Board has further proposed for approval by the shareholders, the transfer of BD 12.5 million from the General Reserve to Statutory Reserve. After taking the appropriations into account, the total shareholders' equity will amount to BD 137.87 million.
NBB was the first Bahraini bank, established in 1957. A nation-wide network of 25 branches, 38 ATMs and over 2,500 point of sale terminals makes NBB a leading provider of commercial and retail banking services in Bahrain. Fitch Ratings recently announced that NBB's long and short-term ratings have been upgraded to A- from BBB and to F2 from F3 respectively. — (menareport.com)
© 2003 Mena Report (www.menareport.com)