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Bahrain Islamic Bank (BIsB) continues to achieve excellent financial results reflecting the positive and remarkable change in the bank’s management and policy.
During the first-half of 2007, BIsB posted a net profit of BD10.6 million which is an increase of 33 per cent compared with BD7.9 million made during the same period of 2006, the bank said in a statement.
BIsB chairman Khalid Abdulla Al Bassam said: “This excellent performance is due to the remarkable growth in the bank’s business activities and, in particular, finance and investment transactions.
“This contributed to a significant increase in the total income from the bank’s business activities in addition to a huge increase in total assets and customers’ accounts.
“The operating income rose by BD23 million, an increase of 44 per cent compared with BD16 million during the same period of 2006.”
Mr Al Bassam also attributed the increase to the continuous growth in Islamic finance transactions and realisation of attractive returns on investments.
“The increase in total income contributed to an increase in return on investment accounts to BD8 million or 60 per cent compared with BD5 million last year.
“The bank’s management is keen on distributing the best returns to its investors which attracted a bigger local market share while market prices are continuously rising,” Mr Al Bassam added.
BIsB acting chief executive officer Mohammed Ebrahim Mohammed praised the excellent financial results and said: “Total assets rose by 12 per cent during the second quarter of 2007 at BD487 million.
“Such an increase focused mainly on finance transactions and the steady increase in the bank’s investments.
“The big increase was reflected in the rise of amounts invested by banks which impacted the short-term Murabahas, said Mr Mohammed.
“At the beginning of this month, the bank successfully and smoothly launched its new core banking system which will positively be reflected in better customer service and products offered by the bank.”
He also assured that the bank will continue its policy of attracting high calibre and professional experienced personnel as part of its long-term strategic policy.
BIsB held its AGM in March where the board of directors recommended to increase the capital to BD100 million at the rate of 100 per cent of the issued and paid-up capital of the bank.
The increase was approved to BD60.24 million which will be raised through a new share issue in two stages this year. The share issue price has been fixed at 300 fils per share, at a premium of 200 fils per share.
