Al Ahli Bank of Kuwait (ABK) reported a net profit of KD11.4 million for the first quarter ended 31 March 2012 which is 30% drop compare to the same period last year. Earnings per share amounted to 8 fils with return on assets of 1.5 % and return equity of 9.4 %. Operating profits before provisions increased to KD22.8 million, up from KD19.7 million for the same period in 2011.
Commenting on the financial results of the first quarter 2012, Ahmed Yousuf Al Behbehani, the Chairman of the Board, stated the following: “ABK managed to achieve profits in spite of the stressful conditions of the world economy, the debt crisis in the Euro Zone. The bank has taken more precautionary provisions to face any unexpected emergencies in the future.”“The strong capital base and the Capital Adequacy Ratio of around 25% enhance the Bank’s ability to grow and expand its operations under the current market conditions. The Bank’s success in maintaining its credit ratings issued by the international credit rating agencies enhances the confidence in the strong capital position of the bank and its ability to tolerate risks and achieve profits”, added Behbehani.
The Bank periodically reviews and amends its strategy to cope with any exceptional, conditions and the prevailing economic conditions. It focused on minimizing risks across our business areas, improving operational efficiency and enhancing value for our shareholders and customers, providing high quality banking services, and employing high caliber banking staff to service ABK customers.
Regarding the economic situations for 2012, Behbehani explained that:
“The economic conditions in the area are still difficult in the light of the political turmoil in some countries of the Middle East and the stressed economies in Euro zone. The situation may become more difficult, with the economic recession, volatility of markets, slow growth of world and regional economies. However, the effective risk management and tight control over the loan portfolio will minimize the risks and maintain the strong financial position of ABK and enhance its ability to achieve good profits for its shareholders”. He concluded his statement by expressing his hope to accelerate the launch of new development projects which will push forward the economy wheel to which everyone looking forward.
