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Kuwait International Bank Q3 net profit up 15%

Staff Writer |
Kuwait International Bank (KIB) has announced that is has achieved a net profit of KD 13.5 million at the end of the third quarter of 2016.

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This is a growth of 15% compared to the corresponding period of the previous year, where profits had reached KD 11.8 million.

The results have also shown growth in KIB’s total assets by KD 94 million at a rate of 5%, to reach a total of KD 1.83 billion, compared to KD 1.74 billion by end of the same period last year.

This increase comes as a result of a growth in the overall financing portfolio by about KD 113 million, amounting to KD 1.25 billion in total and comparable to KD 1.14 billion at the end of third quarter in 2015, marking 10% growth.

In addition, the increase in investment securities portfolio compared with the same period last year by KD 8 million at a rate of 12% amounting to KD 70 million in total and comparable to KD 62 million.

Customer deposits have also increased by 8% to reach a total of about KD 1.12 billion, comparable to KD 1.03 billion for the same period of 2015.

With regard to asset quality, KIB’s outstanding performance during the third quarter of 2016 reflected positively on NPLs which remarkably decreased by 68% to reach 1.39% compared to 4.39% for the same period last year.

On the other hand, the total provision coverage ratio has also increased to 237% compared to 75% for the same period last year.

Moreover, total provisions and collaterals coverage ratio increased to 359% compared to 188% for the same period last year.

Additionally, KIB recorded a strong performance in terms of maintaining high levels of capital adequacy ratio, in accordance with the Central Bank of Kuwait’s regulations concerning Basel III, whereby capital adequacy ratio reached 20.02%, while the financial leverage ratio reached 10.25%.

The annualized profit rate of Arzaq KD deposits reached 2.35% in the third quarter 2016.


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