Growth across all its sectors and increased deposits contributed to a 28 per cent rise in the first quarter net profits of Ahli Bank.
Releasing its figures to the Muscat Securities Market (MSM), the bank said net profits grew from RO3.15mn for the first three months of 2010 to RO4.03mn for the same period in 2011.
The growth in profits was the result of a 30 per cent growth in first-quarter loans and advances, from RO505mn in 2010 to RO655mn in 2011, as well as an increase in total assets from RO622mn in 2010 to RO800mn in 2011.
In a statement to shareholders, Ahli Bank chairman Hamdan al Hinai added that a strong growth in customer deposits was also behind the rise in profits.
"The financial results of the three months ended March 31 2011 portrays a strong foundation for a sustainable core earnings momentum as it executes its strategy and develops a reputation for commitment, dynamism and ability to deliver.
"Customer deposits have grown by 26 per cent from RO487mn in March 2010 to RO615mn in March 2011, and this is in line with our strategy to build a stable low-cost deposit base and reflects the depositors' confidence in the bank."
Hinai said lower operating costs, which fell 16.9 per cent to RO2.36mn in the first quarter of 2011 and a fall in the cost-to-income ratio, down 31 per cent from 36 per cent, is also behind the first-quarter performance.
© Muscat Daily 2011
