Tuesday 08 / July / 2025
Muscat: Bank Muscat, the leading financial services institution in the Sultanate, announced its preliminary unaudited results for the year ended December 31, 2020.
The financial results are subject to the approval of External Auditors, Board of Directors, Central Bank of Oman and the shareholders of the bank. The bank posted a net profit of OMR163.36 million for the year compared to OMR185.55 million reported during the same period in 2019, a decrease of 12.0 per cent.
The key highlights of the results for the year are as follows:
Net Interest Income from Conventional Banking and Net Income from Islamic Financing stood at OMR322.13 million for the year ended December 31, 2020, compared to OMR316.97 million for the same period in 2019, an increase of 1.6 per cent.
Non-interest income was OMR134.41 million for the year ended December 31, 2020, as compared to OMR155.20 million for the same period in 2019, a decrease of 13.4 per cent mainly due to subdued business conditions due to COVID-19 related lockdowns in Q2, Q3 and Q4 2020 and waiver of certain fees due to regulatory measures.
Operating expenses for the year ended December 31, 2020, was OMR179.85 million as compared to OMR195.93 million for the same period in 2019, a decrease of 8.2 per cent due to cost management measures taken by the bank.
Net Impairment for credit and other losses for the year 2020 was OMR81.04 million as against OMR56.13 million for the same period in 2019. The increase was mainly on account of precautionary and collective provisions made in the first half of 2020, on a forward-looking basis given the emerging stress in the economic and business conditions as a result of the impact of COVID-19 and the continued pressure on oil prices.
Net loans and advances including Islamic financing receivables increased marginally by 0.5 per cent to OMR8,918 million as against OMR8,878 million as of December 31, 2019.
Customer deposits including Islamic Customer deposits increased by 4.2 per cent to OMR8,377 million as against OMR8,043 million as of December 31, 2019.
The full results for the year ended December 31, 2020, along with the complete set of unaudited financial statements will be released following the approval of the Board of Directors of the Bank at its meeting scheduled later during January 2021.
