PHOTO
USD Million | Q1 2018 | Q1 2019 | ||
Net Profit | 28 | 27 | ||
Total Assets | 23,086 | 25,366 | ||
Customer Deposits | 18,134 | 18,505 | ||
Net Advances to Customers | 5,523 | 5,310 | ||
Total Equity | 2,185 | 2,229 | ||
Net Interest Margin | 1.38% | 1.12% | ||
Operating Expenses/Average Assets | 1.06% | 0.94% | ||
Offshore Foreign Currency Liquidity/FCY Customer Deposits | 15.20% | 16.23% | ||
Loan Provisioning Coverage Ratio | 86.07% | 88.97% | ||
BEIRUT: Byblos Bank posted net profit of USD 27 million for the first three months of 2019, a decrease of USD 0.9 million, or 3%, from the same period of 2018. Indeed, a number of factors affected the level of profitability. This included the high liquidity levels maintained by the bank in view of political and economic uncertainties, the increased cost of deposits, and additional provisions against possible credit risks.
Short-term foreign currency liquidity – in the form of short-term placements with above-investment-grade institutions – accounted for 16.23% of Byblos Bank’s foreign currency deposits in the first quarter of 2019, far above internal and international benchmarks. Furthermore, the Bank’s Basel III Capital Adequacy Ratio remained at over 17%, once again well above the minimum regulatory requirement of 15%.
Byblos Bank continues to focus on containing operating costs through productivity-led initiatives and cost-control measures. The ratio of operating expenses to average assets improved from 1.06% as at end-March 2018 to 0.94% as at end-March 2019.
In addition, the difficult economic environment has led our lending teams to focus on working out solutions for some of the Bank’s customers. As a result, we were able to achieve a comfortable provision coverage ratio of 88.97% against an acceptable non-performing loan ratio of 4.16%.
For the rest of 2019, the Bank will maintain its successful policy of prudence in the face of persistent geopolitical challenges, and will consider taking further precautions to protect the interests of its customers and shareholders.
-Ends-
For further information, please contact:
Ziad El Zoghbi
Head of Finance and Administration
Phone: +961 1335 280
Email: zelzoghbi@byblosbank.com.lb
© Press Release 2019
Disclaimer: The contents of this press release was provided from an external third party provider. This website is not responsible for, and does not control, such external content. This content is provided on an “as is” and “as available” basis and has not been edited in any way. Neither this website nor our affiliates guarantee the accuracy of or endorse the views or opinions expressed in this press release.
The press release is provided for informational purposes only. The content does not provide tax, legal or investment advice or opinion regarding the suitability, value or profitability of any particular security, portfolio or investment strategy. Neither this website nor our affiliates shall be liable for any errors or inaccuracies in the content, or for any actions taken by you in reliance thereon. You expressly agree that your use of the information within this article is at your sole risk.
To the fullest extent permitted by applicable law, this website, its parent company, its subsidiaries, its affiliates and the respective shareholders, directors, officers, employees, agents, advertisers, content providers and licensors will not be liable (jointly or severally) to you for any direct, indirect, consequential, special, incidental, punitive or exemplary damages, including without limitation, lost profits, lost savings and lost revenues, whether in negligence, tort, contract or any other theory of liability, even if the parties have been advised of the possibility or could have foreseen any such damages.
