Kuwait, 1 May, 2018 - Gulf Bank K.S.C.P. announced its financial results for the first quarter of 2018. The Bank recorded a net profit of KD 10.8 million, an increase of 15% over the same period in 2017. The Bank generated net interest income of KD 36.8 million during the first quarter of 2018, 23% above the prior year and operating income of KD 48 million, 9% over the same period in 2017. The operating profit before provisions / impairment losses was KD 32.6 million during the first quarter of 2018, recording growth of 9%, over the same period in 2017.

In addition, credit costs (total provisions and write-offs less recoveries) declined 15.2% in the first quarter of 2018 compared to the same period of 2017.

Total general provisions on the balance sheet stood at KD 219 million, representing nearly 37% of shareholders equity, while total assets stood at KD 5.7 billion. Commenting on the results, Mr. Omar Kutayba Alghanim, Gulf Bank’s Chairman said: “I am pleased to announce that the Bank started the year positively with an increase of 15% in our first quarter net profit compared to the same period of last year. These great results highlight the bank’s progress quarter after quarter, and confirm that we are on the right track in delivering sustainable results.”

During the first quarter of the 2018, Gulf Bank held its Annual General Meeting for the fiscal year 2017. During the meeting, the shareholders approved a cash dividend of 9 fils per share, an increase of 29% compared with 7 fils per share in the prior year.

Gulf Bank now rated “A” by the four leading credit rating agencies

Gulf Bank is now rated “A” by all four leading credit international rating agencies; Moody’s Investors Service, S&P Global Ratings, Fitch Ratings and now, Capital Intelligence. As part of their 2017 annual credit rating review, Capital Intelligence, the international credit rating agency, upgraded Gulf Bank’s Financial Strength Rating to “A-“ from “BBB+” with a “Stable” outlook. “I am very proud that Gulf Bank has been rated “A” by the top rating agencies, across the board for the first time since 2008. This is a huge milestone for the Bank. The upgrade is an affirmation of Gulf Bank’s solid capital, sound liquidity position and sustained improvement in loan asset quality matrices.” Commented Mr. Alghanim.

Recognition

The Bank was awarded “Best Retail Bank” and “Best Mobile Banking App” by International Finance magazine. The Bank was also recognized by the Arabian Society for Human Resources Management (ASHRM) for its youth empowerment initiatives through the AJYAL Development Program, which celebrated the graduation of its third class earlier this year. The Bank also continued a long standing relationship with the Manpower and Government Restructuring Program (MGRP), sponsoring the Program’s Career Fair in early February.

Mr. Alghanim concluded his remarks by stating: “I would like to thank everyone that contributed to these strong results. I’d also like to thank our shareholders and the Central Bank of Kuwait for their continued support. I especially want to thank our customers for their loyalty and reiterate our commitment to place them at the center of everything we do.”