National Finance House Group has reported 2.5 per cent growth in net profit at BD1.34 million for the year ended December 31, 2022 when compared with BD1.31m in 2021.

Total shareholders’ equity increased by 4.6pc from BD16.22m in 2021 to BD16.96m in 2022, with basic earnings per share rising to Bahraini fils 17.9 compared with17.5 fils the previous year.

The net profit for the last quarter of the fiscal year ending on December 31, 2022 amounted to BD90,000, compared to BD98,000 in the last quarter of the year 2021.

In view of the favourable performance of the group for the year 2022, the board of directors recommended a cash dividend distribution of 8pc of the paid-up capital (BD600,000) subject to obtaining the shareholders’ approval at the annual general meeting and regulatory approval.

Commenting, National Finance House Group chairman Talal Kanoo said: “I am pleased to announce that National Finance House posted a strong financial performance in 2022.

The group continued to maintain a high market share in the automobile market in Bahrain despite the challenging macroeconomic conditions that marked the year 2022. In terms of implementing our strategy to diversify the group’s revenue streams and expand our customer base, the group introduced equipment loans focusing on financing durable medical equipment and financing the purchase and installation of solar panels.

Looking forward, we expect that 2023 will be more challenging for the Group amid accelerated inflation and rising cost of funding; however, the group will remain focused on its ongoing cost discipline and manage its balance sheet conservatively while maintaining selective balance sheet expansion in tandem with the group’s risk appetite.”

May Al Mahmood, the chief executive of National Finance House Group, said: “In 2022, the economy of the kingdom recorded a remarkable growth despite global challenges which was marked by uncertainty from geopolitical tensions, energy crisis, continued supply chain disruption, rising inflation rates and rising interest rates.

Almost all of the economic sectors in the kingdom saw a positive growth driven by relatively high oil prices and growth in the non-oil economy. Our outlook remains cautiously optimistic as the local economy is expected to show moderate growth.”

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