Bank Muscat H1profit at RO 84.31m

MUSCAT: Bank Muscat, the flagship financial institution in the Sultanate, announced its preliminary results for the six months ended on June 30, 2017. The bank posted a net profit of RO 84.31 million .

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

1) Net Interest Income from Conventional Banking stood at RO 125.63 million for the six months of 2017 compared to RO 124.42 million for the same period of 2016, an increase of 1 per cent. Net income from Islamic financing was RO 12.4 million for the six months of 2017 compared to RO 11.76 million for the same period of 2016, an increase of 5.4 per cent.

2) Non-interest income was RO 68.57 million for the six month period ended on June 30, 2017 compared to RO 74.58 million for the same period in 2016 due to reduction in exchange income and other fees.

3) Operating expenses for the six month period ended on June 30, 2017 was RO 89.36 million as compared to RO 86.06 million for the same period in 2016, an increase of 3.8 per cent.

4) Impairment for credit losses for the six month period in 2017 was RO 35.44 million as against RO 32.72 million for the same period in 2016. Recoveries from impairment for credit losses was RO 20.04 million for the six month period of 2017 as against RO 15.66 million for the same period in 2016.

5) Share of income from an associate for the six month period in 2017 was RO 1.16 million as against a RO 0.48 million for the same period in 2016.

6) Net Loans and advances increased by 4.8 per cent to RO 7,177 million as against RO 6,848 million as at June 30, 2016.

7) Customer deposits decreased by 4.9 per cent to RO 6,571 million as against RO 6,908 million as at June 30, 2016.

8) Islamic financing receivables amounted to RO 915 million as of June 30, 2017 compared to RO 749 million in the same period of 2016. Islamic customer deposits amounted to RO 906 million as of June 30, 2017 compared to RO 733 million reported for the same period in 2016.

The full results of the six month period ended on June 30, 2017 along with complete set of unaudited financial statements will be released after the approval of the Board of Directors of the bank at its meeting scheduled later during July 2017.