AUB reports Q1 profit of US$159.4m

Manama : Ahli United Bank (AUB) yesterday reported a net profit attributable to its equity shareholders of US$159.4 million for the quarter ended 31 March 2017, which reflects an increase of 3.1 per cent over the comparative net profit figure of US$154.6m achieved in Q1/2016. Basic Earnings per Share for the quarter were US 2.1 cents, same as in Q1/2016.

Net interest income rose 1.4pc to US$204.1m during the quarter, while the cost to income ratio improved to 27.3pc (Q1/2016: 27.7pc).

Solid asset quality levels were sustained with the non-performing loans ratio improving to 2.2pc (31 December 2016: 2.3pc) and the specific provision coverage ratio increasing to 85.3pc (31 December 2016: 84.9pc). The total provision coverage ratio, inclusive of collective impairment provisions, was 159.7pc as at 31 March 2017 (31 December 2016: 155.6pc).

The group’s Return On Average Equity (ROAE) for Q1/2017, increased to 17.0pc, compared to 16.9pc achieved in the first quarter of 2016. Return on Average Assets also increased to 2.2pc for Q1/2017 (Q1/2016: 2.0pc).

Hamad Al Humaidhi, AUB Chairman, commented: “AUB’s continued growth trajectory in its performance for Q1/2017 is underpinned by our focus on sustainable earnings across multiple markets. AUB’s diversification in its major operating markets and its continued success in expanding cross border business flows between these markets has helped achieve its growth in net profit after tax for Q1/2017, while maintaining solid asset quality parameters.”