Bank of Sharjahâ€™s profit for the first quarter reaches AED 58 million
Bank of Sharjah has announced its financial results for the three months ending 31 March 2017.
Net profit for the first quarter of 2017 reached AED 58 million, against AED 81 million for the same period of 2016. As a result, earnings per share for the period were down by 30 per cent and reached 2.6 fils compared to 3.7 fils in the same period of 2016.
Commenting on the results Ahmed Al Noman, Chairman of the Board, stated that the net profit was affected mainly by an AED 21 million downturn in the market value of strategic investments which is expected to be recovered during 2017. While it is too early to predict year-end figures, he expects a sustained performance to meet the budget of 2017.
Net interest income and non-interest income decreased by seven per cent and 54 per cent respectively compared to the corresponding period of 2016 which was reflected in a 16 per cent decrease in the net operating income to reach AED 132 million in the first quarter of 2017 compared to AED 157 million in the same period of 2016.
The bank’s total assets reached AED 28,880 million, an increase of four per cent over the corresponding 31 March 2016 figure of AED 27,651 million. When compared to the 31 December 2016 figure, Total Assets increased by seven per cent from AED 27,097 million.
Customers’ deposits reached AED 18,839 million, a decrease of two per cent over the corresponding 31 March 2016 figure of AED 19,303 million. When compared to the 31 December 2016 figure, Customers’ Deposits decreased by four per cent from AED 19,737 million.
Loans and advances reached AED 16,561 million, eight per cent above the corresponding 31 March 2016 figure of AED 15,402 million, and three per cent less than the 31 December 2016 balance of AED 17,075 million.
Net liquidity remains high compared to industry levels at AED 6,722 million as at 31 March 2017, one per cent less than 31 March 2016 at AED 6,797 million and 21 per cent more than 31 December 2016 balance of AED 5,542 million.
Total equity at the end of the first quarter of 2017 stood at AED 4,640 million, one per cent less than 31 March 2016 balance of AED 4,694 million and one per cent more than 31 December 2016 balance of AED 4,600 million.
Capital adequacy ratio kept its strong level and stood at a high of 21.54 per cent in the first quarter of 2017.