Hassan Jarrar: Results reflect on the continued success of the new Strategy

Thursday 29th October 2015  

BisB announced yesterday, 28th October 2015, that it has realized BD 8.6 million as net profit on its activities for the first nine months of the current year, after deducting BD 7.3 million as net provisions, compared to BD 6.1 million for the same period last year. This announcement was released after the Bank's Board approval on the financials for the period ended on 30th September 2015.

On this occasion, Mr. Abdul Razak Al Qassim - Chairman of the Bank stated the following: "The Bank has registered BD 31.4 million as net operating profit in the first nine months of the current year compared to BD 29.1 million for same period last year. The Board has decided to take BD 7.3 million as net provisions compared to BD 6.1 million for the same period last year. The Bank has recorded BD 8.6 million as net profit after provisions, compared to BD 6.6 million as net profit for the same period last year, an increase of 30%."

Mr. Abdul Razak Al Qassim confirmed that the Board of Directors is optimistic about the successful results of implementing the new Bank Strategy which the Bank has started last year and will continue up to 2018. This new Strategy has concentrated on growing core activities of the Bank and weeding out all non-generating assets and to continue on lowering NPLs.

Concerning the results of the Extra-Ordinary Shareholders Meeting (EGM) held lately on 27th October, Mr. Abdul Razak Al Qassim has expressed his satisfaction on the approval of 82.44% of the shareholders who attended the meeting on all agenda items, and explaining his optimism on the positive results of the Capital Increase which will contribute to preserving liquidity  and capital adequacy to the levels required by Central Bank of Bahrain (CBB), and to provide the Bank with the capacity to expand and grow, results which will benefit all stakeholders.

On his part, Mr. Hassan Amin Jarrar - the CEO explained that as compared to end of last year, Islamic Finances has witnessed an increase of 14% for the first nine months, Islamic Sukuk increased by 20%, customer investment accounts increased by 3%, in addition to the continuous drop in the cost of deposits as compared to the same period of last year, a drop of BD 1.8 million.

Net operating profit for Q3 reached BD 10.5 million as compared to BD 10.7 million for the same period of last year, net provisions were BD 4.6 million as compared to BD 2.3 million for the same period last year, and net profit is BD 374 thousand as compared to BD 2.5 million for the same period last year.

Mr. Hassan Jarrar has confirmed that these results reflect on the continuous implementation of the Bank's new strategic plan, which fully relies on income and fees from finances and core business free of any revaluations and unearned profits except for the successful exit of some investment funds and lands which has generated net income of BD 1.7 million.

Mr. Hassan Jarrar then stated that, in the upcoming phase, the Bank will be targeting the inauguration of the first Digital Branch in the Kingdom of Bahrain. This branch will be presenting electronic banking services utilizing the latest technological advances with the aim of providing clients with suitable different service options.

Mr. Hassan Jarrar then added that the Bank is continuing on its development of its human resource assets, where the Bank has recently enhanced its managerial mix with some new experienced managers with the aim of developing the existing staff by coming into contact with experienced banking leaders and by providing continuous training to ensure that the best qualified levels are at hand.

Mr. Hassan Jarrar then announced that the Bank has received for the second consecutive year the "Best Islamic Bank Prize in the Kingdom of Bahrain 2015" award, being selected to the prize by the "International Finance Magazine" which is a British economic magazine with readers in more than 185 countries and specializes in covering economic news and presenting insightful analysis on different economic issues. The prize will be received in November at an special event to be organized by the Magazine in London.

In conclusion, the Chairman and the CEO expressed their thanks to the Members of the Board of Directors for their continued support, and to the respected Sharia Supervisory Board members for their fatwas and clarification of Sharia issues, and to the supervisory and regulatory authorities for their support and cooperation and oversight, and to the shareholders and respected customers for choosing BisB for conducting their banking and financial services activities, and to all staff of BisB for their efforts and dedication in performing their duties.

-Ends-

© Press Release 2015