1st Quarter Results

19 Apr 2006 12:36

BankMuscat (S.A.O.G)19 April 2006 For Immediate Release BankMuscat Q1 Net Profit at RO 13.25 million. Profits Rise by 28% during the first quarter Muscat. April 19, 2006: BankMuscat (SAOG) ('BankMuscat') the nation's largest bank, has achieved a net profit of RO 13.25 million during the first quarter of the year 2006, as against a net profit of RO 10.34 million reported in the first quarter of 2005 -- an impressive growth of 28%. Net interest income increased by 25% from RO 17.35 million for the first quarter of the year 2005 to RO 21.68 million for the first quarter of the year 2006. Non-interest income has grown from RO 5.19 million for the first quarter of 2005 to RO 7.92 million for the first quarter of 2006, reflecting a growth of 53%. The operating expenses have increased by 22% in first quarter of 2006 as compared to the first quarter of 2005 mainly due to increase in manpower costs as a result of increased business activities. Impairment for credit losses was RO 4.06 million for the first quarter of 2006 as compared to RO 4.92 million for the corresponding period of 2005. The Bank's net Loans and Advances of RO. 1,478 million as of March 31, 2006 has grown by 22% as compared to the position as of March 31, 2005. Customer deposits grew by RO. 289 million or 25% from RO. 1,150 million as of March 31, 2005 to RO. 1,439 million as of March 31, 2006. Savings deposits have registered an impressive growth of RO. 65 million or 23% from RO 286 million as of March 31, 2005 to RO 351 million as of March 31, 2006. The basic earnings per share on an annualized basis works out to 63.7 baizas for every 100 baiza share of the Bank. This works out to a return of 63.7% on an annualized basis on share capital. The US$ 5.2 billion BankMuscat (SAOG) is the dominant player in Corporate Banking, Retail Banking, Treasury, Investment Banking, Private Banking and Asset Management in the country today. The Bank enjoyed a market share of 37.83 % in terms of total assets, 37.92 % in terms of total credit and 35.1% in terms of total customer deposits, as at 31 December 2005. The Bank achieved a net profit of RO 45.4 million in 2005, an increase of RO 11.3 million, or 33.1% over 2004. ...Ends ... About BankMuscat: BankMuscat's efforts to provide the finest of banking products and services have been recognized by the international banking and finance fraternity for several years now. Some of the awards and recognitions won by the Bank over the past couple of years include: Gulf Excellence Forum Gulf Excellence Award, OmanEuromoney: Best Bank, Oman (for the 5th year)Banker FT London: Best Bank, Oman (for the 5th year) Deals of the Year Award - OmantelGlobal Finance: Best Bank, Oman (for the 6th year) Best Forex Bank and Provider, Oman; Best Trade Finance Bank and Provider, Oman; Best Consumer Internet Bank, Oman; Llyods List Middle East: Trade Finance AwardMuscat Securities Market: Best Brokerage Firm (in terms of volume)Oman Awards for Excellence: People Development Award (last two years running)BusinessToday: Best Bank, Oman Best Financial Services Brand, Oman; Best Place to Work, OmanJP Morgan Chase: Straight Through Processing Award (for the 5th year) The Chief Executive of the Bank, AbdulRazak Ali Issa, has just been declared the Middle East Banking & Finance CEO of the Year 2006. The Bank has also has become the first organization in the Sultanate, and the fourth bank from across the region, to have successfully complied with the requirements for establishing an Information Security Management System (ISMS) and has received the prestigious BS7799 certification for the IT Security function of the Bank. BankMuscat has a network of 91 branches in Oman, a representative office in the UAE and a strategic 25.34% stake in Centurion Bank of Punjab, the 7th largest public sector bank in India. The Bank last year also set up BankMuscat International (BMI), Bahrain in which it holds a 49% stake along with a team of visionary investors from across the region. BMI is committed to becoming a regional bank by capitalizing on the emerging opportunities arising out of the progressive integration of the GCC states. For more information, please contact: Sukanti GhoshHead - Corporate CommunicationsBankMuscat (SAOG)Phone: +968 99261325E: sukantig@bankmuscat.com Or Suha Al RaisiOfficer - Corporate CommunicationsBankMuscat (SAOG)Phone: + 968 24768595E: suhaa@bankmuscat.com This information is provided by RNS The company news service from the London Stock Exchange