News Column

United Gulf Bank registers net profit of $4.2 million

February 25, 2014

MANAMA: United Gulf Bank (UGB) yesterday reported a net profit of $4.2 million for last year compared to $6.7m in 2012.

Net profit attributable to shareholders of the parent was $2.6m last year against $11m in 2012.

The decrease in profit attributable to shareholders of the parent is due to provisions taken at one of the commercial banking associates.

UGB managed to reduce interest and operating expenses.

Basic earnings per share of 0.32 cents last year compared to 1.34 cents in 2012.

Net profit in for the fourth quarter of last year was $0.7m compared to $6.2m in 2012.

Total income before interest and other expenses $64.3m last year (2012: $93m).

Total assets at the end of last year was $1.26 billion compared to $1.23bn in 2012.

"UGB has managed to maintain strong capital and liquidity positions throughout the year," chief executive Rabih Soukarieh said.

"Even though 2013 results were not in line with our expectations, our core assets and underlying entities are well positioned to benefit from the growth expected in 2014."

Capital adequacy ratio of 17.7 per cent last year against 23pc in 2012 exceeds the minimum regulatory requirement of 12.5pc. UGB board will not be recommending any dividend for 2013, it said. The bank's balance sheet remains strong with total equity of $459.6m compared to $478.2m in 2012.

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Source: Gulf Daily News (Bahrain)

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