Muscat: Ahlibank, the ‘Best bank in Oman’, released its financial statements for the second quarter, ended 30 June 2019, showcasing an impressive 11.8% growth surge in ahlibank’s total assets.
Based on the report, the first half’s performance shows a 5.1% increase in net profit to RO 14.92 million as compared to RO 14.20 million for the same period in 2018. Total assets grew to RO 2,382.8 million and customer deposits increased by 6.9% to reach RO 1,612.4 million. Total equity increased to RO 375.2 million compared to RO 295.3 million to further support their business growth plans. Net loans & advances and financing grew by 10.1% reaching RO 1,987.5 million, in line with the Bank’s strategic plan to grow in a prudent manner. The total operating income increased by 14.0% to RO 34.24 million as compared to RO 30.03 million in June 2018. While the Bank’s operating expenses increased to RO 13.47 million compared to RO 11.60 million in June 2018, the cost to income ratio remained at 39.4%, one of the lowest amongst financial institutions in the Sultanate.
In May, ahlibank rebranded its Islamic banking window to ‘ahli islamic’ to continue its impressive performance since inception in 2013.The vision behind the new brand is to become a leading Omani service provider, abiding by the ethics and values of Islamic finance, and helping customers, communities, people to prosper and grow.
In June, the Bank completed raising Basel III Compliant Perpetual Subordinated Bonds (Additional Tier 1 Capital Instruments) of RO 20 million, resulting in increasing the Bank’s Capital Adequacy Ratio to 17.83%. This increase in capital will support planned portfolio growth in 2019.
In July, the Bank increased its retail banking presence by opening a new conventional Al Saada Branch, before which it had opened a branch in Al- Buraimi during February. The new branches are part of the Bank’s strategic objective to constantly expand its service network to ensure customers have easy access to its growing portfolio of innovative products and services.
As part of ahlibank’s commitment towards transformation to digitalization. Some of the major initiatives planned include introducing multi-functional kiosks and introduction of E-branches.
The Bank confirms its commitment to support the positive transformations of the nation through various initiatives. Earlier this year, ahlibank conducted an in-house Leadership Program in collaboration with Queens University (Canada), as part of its continued efforts in personnel development, focusing on the leadership strengths of ahlibank executives, to help emerge as visionary leaders for the banking industry.
As part of its commitment to social development, ahlibank extended support to “Fak Kurba” initiative promoted by Oman Lawyers Association. During holy month of Ramadhan, ahlibank distributed 24,000 water bottles in various wilayats across the Sultanate, special Iftar with ‘Association of early intervention for children with disability and special needs’, charitable donations to Oman autism society & Al wafa social center. ahlibank also launched a video named “Call of Peace” performed by children for the global audience, promulgating global peace. The “ Call of Peace” is an inspiration from His Majesty Sultan Qaboos bin Said, who advocates peace in his approach towards life. The video is available for viewing on the official YouTube channel of ahlibank.
During the second quarter of 2019, the Bank has been ranked – eighth year in a row – as the “Best Bank in Oman” in the mid-size category at Oman Banking & Finance Awards 2019. Similarly, the Bank won the “Quality of Disclosure” award for the year 2019 awarded by Muscat Securities Market.
“We are pleased with the sustained results and overall performance of ahlibank in the second quarter as it further demonstrates our prudent strategy and the value proposition we provide to our customers and look forward to continued performance in the second half of 2019,” commented Hamdan Ali Nasser Al Hinai, Chairman, ahlibank. “I would like to convey our gratitude to His Majesty Sultan Qaboos bin Said for his foresight and guidance in leading Oman on its path to growth and prosperity. I would also like to convey our appreciation to our regulators, the Central Bank of Oman, Capital Market Authority and guidance received from other official bodies for their continued guidance and support. My sincere appreciation also to all our employees for their commitment and dedication to the overall success of the Bank, and above all, to our clients for their loyalty and trust in our efforts,” he added.