The total revenues of local banks listed on the Muscat Stock Exchange (MSX) for the first nine months of 2022 reach RO 930.8 million as compared to RO 861.1 million during the same period last year. The increase comes from revenues from interest, Islamic banking and various financing and investment activities. Meanwhile, the net profits of local banks for the first nine months of the year registered a growth of 13.5 per cent amounting to RO 308 million as compared to RO 271 million in the same period last year.
The preliminary financial results of the eight banks listed on the MSX indicated an improvement in their various financial indicators, with banks focusing on financing many productive sectors in conjunction with the lifting of restrictions imposed on economic activities after the easing of the Covid-19 pandemic.
Preliminary financial results indicated that the banks total assets increased by the end of September to RO 36.2 billion, compared to RO 35.4 billion in September last year.
Most banks recorded an increase in their net profits, with the exception of Bank Dhofar, whose net profit fell from RO 28.2 million to RO 26.1 million, and Oman Arab Bank, whose net profits fell from RO 11.3 million to RO 10.6 million. Bank Muscat recorded the highest profits at RO 148.3 million, National Bank of Oman (NBO) came second with RO 35.5 million. Third is Sohar International Bank with RO 28.1 million, Bank Dhofar came in fourth place with RO 26.1 million, Ahli Bank came in fifth with RO 25 million, HSBC Bank Oman ranked sixth with a net profit of RO 23.6 million, Bank Nizwa came in seventh place with RO 10.7 million and Oman Arab Bank with RO 10.6 million.
Most banks distributed dividends to their shareholders, with the exception of Oman Arab Bank. Bank Muscat came at the forefront of the highest paying banks. In addition to distributing 5% bonus shares, Ahli Bank distributed cash dividends of 7.5%, and HSBC Bank Oman distributed cash dividends of 5.4%.
The market value of the banks listed on the MSX increased, by the end of September, to RO 4.484 billion, registering a gain of RO 795.7 million from its level at RO 3. 688 billion during the same period last year.
These gains were the result of higher shares of Bank Muscat, National Bank of Oman, HSBC Oman, Bank Dhofar and Ahli Bank. The market value also benefited from the increase in the capital by Sohar International Bank and Bank Muscat. Bank Sohar increased its capital from RO 295.3 million to RO 455.3 million by offering preferential right shares. Bank Muscat, on the other hand, raised its capital from RO 357.4 million to RO 375.3 million by distributing bonus shares to shareholders.
Bank Muscat topped the list of the highest banks in terms of market capitalisation at the end of September, with RO 2.1 billion, followed by Sohar International Bank with RO 477.3 million, National Bank of Oman with RO 439 million, Bank Dhofar ranked fourth with RO 425.4 million, then HSBC Oman with RO 306 million.