NBK posts $708m net profit for nine months
National Bank of Kuwait (NBK) reported net profits of $708 million (KD203.9 million) for the first nine months of 2014 compared to $689.4 million (KD198.6 million) for the same period in 2013, growing 2.7 percent year-on-year.
As of end of September 2014, NBK Group’s total assets reached $75.4 billion (KD21.7 billion) up 14.6 percent compared to September 2013, while total shareholders’ equity increased by 5.2 percent year-on-year to $9 billion (KD2.6 billion), according to a press release received here n Monday.
Customer loans and advances reached $40.2 billion (KD11.6 billion) as of end of September 2014, growing at 10.2 percent year-on-year, while customer deposits grew by 7.5 percent for the same period to reach $37.4 billion (KD10.8 billion).
NBK asset quality remained exceptionally strong with NPLs/gross loans improving to 1.45 percent as of end of September 2014 from 2.39 percent a year ago, and NPL coverage increasing to 274.7 percent from 184 percent in September 2013.
Nasser Al-Sayer, NBK chairman, said: “NBK continues delivering solid results. NBK’s conservative management practices and its strong financial position helped the bank sustain its profitability and resilient market position.”
Al-Sayer highlighted that the operating environment in Kuwait continues to improve, reflecting a pickup in economic activity and shaping a better outlook for the banking sector performance.
“NBK continued to focus on core banking activities in and outside Kuwait as the main driver of income growth. In the first nine months of 2014, net operating income grew 6.9 percent year-on-year to $1.7 billion (KD499.2 million),” Al-Sayer added.
Isam Al-Sager, NBK’s group CEO, reaffirmed NBK’s strategic direction as a leading bank in Kuwait and the region with the aim of further diversifying its income sources. In Kuwait, the bank continued to strengthen its market position, while the acquisition of 58.4 percent stake in Boubyan Bank in 2012 remains a differentiator to NBK’s operations in Kuwait as Boubyan continues to offer strong growth outlook for the group.