BankDhofar posts 10.42% net profit growth during first nine months of 2016

Muscat: BankDhofar said that its net profit for the first nine months ending September 2016 reached OMR36.87 million as compared to OMR33.39 million for the corresponding period of 2015, showing a strong year-on-year growth of 10.42 per cent.
The earnings per share (EPS) for nine months ended September 30, 2016 and September 30, 2015 were at OMR0.019.
The bank continued its significant growth in all areas of business during the period ended on September 30, 2016 with the total assets improving to OMR3.89 billion, recording 16.47 per cent year-on-year growth as compared to OMR3.34 billion at the end of September 2015.
With its proven fundamentals on quality, the bank’s prudent lending showed good growth of 10.61 per cent to reach OMR2.92 billion in net customer loans, advances and financing as of September 30, 2016 from OMR2.64 billion at September 30, 2015.
To supplement this loan growth, the customer deposits mobilised showing a growth of 9.41 per cent to reach OMR2.79 billion at the end of September 2016 compared to OMR2.55 billion during end of September 2015.
Net interest and financing income also recorded a strong year-on-year growth of 14.62 per cent reaching OMR74.54 million at the end of September 2016 as compared to OMR65.03 million during September end 2015.
Meanwhile, the total operating income including the non-funded income such as fees and commissions, foreign exchange profit, investment etc. grew by 14.66 per cent to reach OMR97.05 million during September 2016 against OMR84.64 million for the same period last year.
Operating cost to operating income ratio for the nine months ended in September 2016 also improved to 42.89 per cent from 45.39 per cent during the same period of 2015, proving that the bank’s revenues are growing faster than cost and the continued efforts for cost optimisation.
Net provisions for loan impairment also increased 68.17 per cent to OMR10.46 million year-to-date September 2016 as against OMR6.22 million year-to-date September 2015. Impairment of available for sale investments decreased to OMR1.21 million as against OMR2.15 million during last year same period despite domestic market movements.
Meanwhile, Maisarah Islamic Banking Services announced its financial results for the third quarter of 2016, reporting a significant year-on-year growth of 32.80 per cent in profit before tax. The stated profit before tax reached OMR2.51 million compared to a profit before tax of OMR1.89 million in the same period of 2015.
The Islamic window continued to show a remarkable growth in assets, customer deposits and profitability. Year-on-year, total assets increased by 63.01 per cent to OMR392.24 million at September 2016 from OMR240.63 million at September 2015. The gross financing portfolio has grown to OMR289.05 million in September 2016 from OMR186.32 million at the end of September 2015, an increase of 55.14 per cent.
The strong growth in financing is supported by 73.21 per cent year-on-year increase in customer deposits, reaching OMR251.28 million at September 30, 2016 compared to OMR145.07 million at September 30, 2015.