Bank Muscat posts net profit of RO 99.26m for 6 months ended June 30

Bank Muscat, the flagship financial institution in the Sultanate of Oman, has announced its preliminary unaudited results for the six months ended June 30, 2022. The bank posted a net profit of RO 99.26 million for the period compared to RO 94.65 million reported during the same period in 2021, an increase of 4.9 per cent.

The key highlights of the results for the period are as follows:

1) Net Interest Income from Conventional Banking and Net Income from Islamic Financing stood at RO 166.25 million for the six months period ended June 30, 2022 compared to RO 168.44 million for the same period in 2021, a decrease of 1.3 per cent due to higher interest expenses.

2) Non-interest income was RO 81.44 million for the six months period ended June 30, 2022 as compared to RO 74.70 million for the same period in 2021, mainly due to higher income from sale of investments.

3) Operating expenses for the six months period ended June 30, 2022 was RO 102.71 million as compared to RO 95.12 million for the same period in 2021, an increase of 8.0 per cent.

4) Net Impairment for credit and other losses for the six months period ended June 30, 2022 was RO 28.40 million as against RO 35.33 million for the same period in 2021.

The decrease is mainly attributed to the precautionary and collective provisions created by the bank during the first half of 2021, due to the ongoing pandemic situation and the improving global crude oil prices.

5) Net Loans and advances including Islamic financing receivables decreased by 2.5 per cent to RO 9,003 million as against RO 9,238 million as at June 30, 2021, due to certain large repayments.

6) Customer deposits including Islamic Customer deposits increased by 1.9 per cent to RO 8,834 million as against RO 8,670 million as at June 30, 2021.

The full results for the six months period ended June 30, 2022 along with the complete set of unaudited financial statements will be released following the approval of the Board of Directors of the Bank at its meeting scheduled later during July 2022.