Bank Muscat announced its preliminary unaudited results for the three months ended on March 31, 2021. The bank posted a net profit of RO 47.15 million for the period compared to RO 33.25 million reported during the same period in 2020, an increase of 41.8 per cent, mainly due to lower impairment charges.
Net Interest Income from Conventional Banking and Net Income from Islamic Financing stood at RO 83.74 million for the three months period ended March 31, 2021 compared to RO 81.23 million for the same period in 2020, an increase of 3.1 per cent. Non-interest income was RO 37.68 million as compared to RO 34.39 million for the same period in 2020, an increase of 9.6 per cent.
Operating expenses totalled RO 47.11 million as compared to RO 50.60 million for the same period in 2020, a decrease of 6.9 per cent.
Net Impairment for credit and other losses for the three months period in 2021 was RO 18.08 million as against RO 25.73 million for the same period in 2020.
The decrease is mainly attributed to the precautionary and collective provisions created by the bank during Q1-2020, at the onset of the Covid-19 pandemic and the historic decline seen in global crude oil prices. The bank remains vigilant of the continuing stress in the macro-economic and business conditions and its potential impacts, the bank said in a statement.
Net Loans and advances including Islamic financing receivables increased by 2.2 per cent to RO 9,278 million as against RO 9,076 million as of March 31, 2020. Customer deposits including Islamic Customer deposits increased by 2.1 per cent to RO 8,446 million as against RO 8,269 million for the corresponding period of 2020.