21 July, 2015

Burgan Bank Group Announces H1 2015 Results

Kuwait - Burgan Bank Group announced today its first half results for the financial year 2015. Burgan Bank Group reported net income of KD37.4 million for the first half of the year reflecting a 12.3 % growth from the same period in 2014. Compared to the same period last year, Burgan Bank Group continues to register consistent growth with operating income up to reach KD 144.1 million from in

Mr. Majed Essa Al Ajeel, Chairman of Burgan Bank Group

Mr. Majed Essa Al Ajeel, Chairman of Burgan Bank Group

21 July 2015
•12.3% rise in Group reported Net Income to reach KD37.4 million

•Operating Income grewby 10.4% to reach KD144.1 million

•Operating Profit before provisions up 10.2% to reach KD 80.2 million

•Consistent solid performance continues amid lack of tangible improvement in global conditions
Kuwait - Burgan Bank Group announced today its first half results for the financial year 2015. Burgan Bank Group reported net income of KD37.4 million for the first half of the year reflecting a 12.3 % growth from the same period in 2014. Compared to the same period last year, Burgan Bank Group continues to register consistent growth with operating income up to reach KD 144.1 million from in KD130.5 million in 2014 while Operating Profits before provisions reached KD 80.2 million from KD 72.8 million in 2014reflecting a growth of 10.2%. On annualized basis, Loans and advances grew by 5.7% to KD4.5 billion while customer deposits grew by 7.4% to KD4.9 billion. Asset quality remains stable and on comfortable levels, the Non-Performing Assets (net of collaterals) to gross facilities ratio stands at 1.7% and coverage (net of collateral) stands at 259%.

Mr. Majed Essa Al Ajeel, Chairman of Burgan Bank Group said: "Once again, we have managed to grow smartly amid pressures of global markets and the geopolitical scene and amid unchanging conditions. Our focus on operational performance and prudentapproach at optimizing the group's operations have proven the success of our model."
 
"Our performance do not only highlight our consistent growth over the last 5 years in harsh conditions for the Banking industry locally, regional and globally, but also highlights the solidity of our growth structure. We have managed to build an adaptable risk-savvy model, resilient to slowdowns, shakeups, and threats."added Mr. Al Ajeel.

"Our diversification strategy continues to pay off  througha balancedapproach to diversifying our revenue streams and to steadily grow our international operations which now contribute to 55.5% of the group's revenue making Burgan Bank the most diversified in Kuwait.We have confidence in our strategy and we are definitely heading in the right path" Added Mr. Al Ajeel.

"On behalf of the board, I take this opportunity to thank our customers and shareholders for their continued confidence, loyalty, and support. I would also like to thank our executive management team for their leadership and the excellent execution of the corporate strategy, and to our staff for their continued support and commitment," concluded Al Ajeel.

The consolidated financials encompass the results of the Group's operations in Kuwait, and its share from its regional subsidiaries, namely Jordan Kuwait Bank, Burgan Bank - Turkey, Gulf Bank Algeria, Bank of Baghdad, Tunis International Bank, in which Burgan Bank owns a majority stake in. Burgan Bank Group has one of the largest regional branch networks with more than 235 branches across Kuwait, Turkey, Jordan, Algeria, Iraq, Tunis, Lebanon and Palestine.

-Ends-

About Burgan Bank
Established in 1977, Burgan Bank is the youngest commercial Bank and third largest by assets in Kuwait, with a significant focus on the corporate and financial institutions sectors, as well as having a growing retail,  and private bank customer base.Burgan Bank has five majority owned subsidiaries, which include Jordan Kuwait Bank, Gulf Bank Algeria, Burgan Bank - Turkey, Bank of Baghdad, Tunis International Bank, in which Burgan Bank owns a majority stake. Burgan Bank Group has one of the largest regional branch networks with more than 235 branches across Kuwait, Turkey, Jordan, Algeria, Iraq, Tunis, Lebanon and Palestine.

The Bank has continuously improved its performance over the years through an expanded revenue structure, diversified funding sources, and a strong capital base. The adoption of state-of-the-art services and technology has positioned it as a trendsetter in the domestic market and within the MENA region. Burgan Bank's brand has been created on a foundation of real values - of trust, commitment, excellence and progression, to remind us of the high standards to which we aspire. 'People come first' is the foundation on which its products and services are developed.

 Earlier this year, 'Brand Finance' - the international brand valuation company- re-affirmed Burgan Bank's brand rating as AA with a positive outlook making it the highest rated banking brand in Kuwait. Excellence is one of the Bank's four key values and Burgan Bank continually strives to maintain the highest standards in the industry. The Bank was re-certified in 2010 with the ISO 9001:2008 certification in all its banking businesses, making it the first bank in the GCC, and the only bank in Kuwait to receive such accreditation. The Bank also has to its credit the distinction of being the only Bank in Kuwait to have won the JP Morgan Chase Quality Recognition Award for twelve consecutive years. Burgan Bank won the prestigious "Banking Web Awards" prize in the commercial and corporate Category for Kuwait. In 2010 Burgan Bank was awarded with the "Best Internet Banking Service award" from Banker Middle East Awards. Burgan Bank was recognized in 2011 as Kuwait's "Best Private Bank", by World Finance. The bank also won, in 2011, the coveted "International Platinum Star for Quality" award from Business Initiative Directions, and "The Best Technical Award" from Banking Web Awards. In 2012, Global Banking and Finance Review online magazine recognized Burgan Bank as the "Best Banking Group in the MENA" as well as the "Best Corporate Bank in Kuwait". The bank also won the coveted "Best Bank Branding" award by the Banker Middle East. For the second consecutive year in 2012, Burgan Bank also won World Finance's "Best Private Bank" award, as well as the "Best Private Bank in Kuwait" in 2012 and 2013 from Capital Finance International. The bank also won the "Best Bank in Kuwait" award from EMEA Finance, along with the "Deal of the Year" award from Acquisition International.

In 2013, Burgan Bank Group was named "MENA - Bank of the Year" by Acquisition Finance Magazine and "Best Banking Group in MENA" for the second consecutive year by Global Banking and Finance Review. The bank also won the coveted "Best Domestic Retail Bank of the Year" award from the Asian Banking and Finance Magazine. Moreover, Burgan Bank also picked up the "Best Private Bank in Kuwait" for the 3rd consecutive year by Capital Finance International followed by the "Best Employee Development in GCC" award from World Finance.

Burgan Bank, a subsidiary of KIPCO (Kuwait Projects Company), is a strongly positioned regional Bank in the MENA region.

© Press Release 2015

More From Press Releases