National Bank of Bahrain (NBB) has announced a remarkable 16% surge in its net profit attributable to shareholders, reaching BD20.1 million ($53.3m) for the fourth quarter concluded on December 31, 2023. This noteworthy increase, compared to BD17.3m ($45.9m) in the same period of 2022, is primarily attributed to amplified income from underlying loans, placements, and investment securities activities. Additionally, reduced provisioning requirements in Q4 2023 contributed significantly to this positive financial trajectory.
Earnings per share for the fourth quarter of 2023 escalated to 9 fils (2 cents), surpassing the 8 fils (2 cents) recorded in the corresponding quarter of 2022. However, total comprehensive income attributable to NBB’s shareholders for the quarter decreased by 60% to BD11.5m ($30.5m) compared to BD28.8m ($76.4m) in 2022, primarily due to mark-to-market movements of the bank’s debt and equity securities.
For the full year ending December 31, 2023, NBB reported an impressive 16% rise in net profit attributable to shareholders, amounting to BD79.1m ($209.8m) compared to BD68.1m ($180.6m) in 2022. This increase reflects elevated income from loans, placements, and investment securities, coupled with reduced provisions compared to the previous year. However, total comprehensive income for the year saw a 4% decline to BD74.8m ($198.4m) due to mark-to-market movements of the bank’s debt and equity securities.
Highlighting the group’s robust performance, the board of directors proposed a cash dividend of BD68m or 30% per share, representing the highest cash dividends to-date. This proposal is subject to regulatory approvals and shareholder consent at the annual general meeting. NBB’s Chairman, Farouk Almoayyed, expressed pride in the bank’s financial and non-financial achievements, emphasizing sustained growth and pioneering initiatives in the ESG banking realm. Similarly, NBB Group CEO, Usman Ahmed, lauded the record results, attributing them to exceptional profit levels and asset growth, promising another strong year ahead.
