Muscat: Bank Muscat, the leading financial institution in the Sultanate, has announced its preliminary unaudited results for the six months ended June 30, 2020. The bank posted a net profit of OMR69.56 million for the period compared to OMR93.65 million reported during the same period in 2019, a decrease of 25.7 per cent.
The key highlights of the results for the period are as follows:
Net interest income from conventional banking and income from Islamic Financing stood at OMR160.53 million for the six months period ended June 30, 2020 compared to OMR159.02 million for the same period in 2019, an increase of 0.9 per cent.
Non-interest income was OMR64.69 million for the six months period ended June 30, 2020 as compared to OMR75.05 million for the same period in 2019, a decrease of 13.8 per cent mainly due to subdued business conditions due to COVID-19 related lockdowns in Q2 2020 and waiver of certain fees due to regulatory measures.
Net Impairment for credit and other losses for the six months period in 2020 was OMR48.19 million as against OMR24.99 million for the same period in 2019. The increase is mainly on account of precautionary and collective provisions being made on a forward looking basis given the emerging stress in the economic and business conditions as a result of the impact of COVID-19 and the continued pressure on oil prices.
Customer deposits including Islamic customer deposits increased by 7.3 per cent to OMR8,562 million as against OMR7,978 million as at June 30, 2019.
Key highlights of preliminary unaudited results
Particulars (RO millions) For the period ended, | 30 Jun 2020 | 30 Jun 2019 | Change (%) |
160.53 | 159.02 | 0.9% | |
Other operating income | 64.69 | 75.05 | -13.8% |
Operating expenses | 94.03 | 97.11 | -3.2% |
Operating profit | 131.19 | 136.96 | -4.2% |
Net profit | 69.56 | 93.65 | -25.7% |
Particulars (RO millions) as at, | 30 Jun 2020 | 30 Jun 2019 | Change (%) |
Net loans and Islamic financing | 8,965 | 9,078 | -1.2% |
Conventional loans and advances | 7,792 | 7,919 | -1.6% |
Islamic financing receivables | 1,173 | 1,159 | 1.2% |
Customer deposits and Islamic deposits | 8,562 | 7,978 | 7.3% |
Conventional customer deposits | 7,536 | 7,039 | 7.1% |
Islamic customer deposits | 1,026 | 939 | 9.3% |