Al Salam Bank-Bahrain reports third quarter net profit of BD4.6m

The net profit for the nine-month period ended 30 September 2009 reached BD15.2m ($40.3m) with earnings per share for the period of 12.1 fils, compared to BD22.7m ($60.1m) for the similar period in 2008.

The total assets as of 30 September 2009 grew by 22% to reach BD667m ($1,768m) from BD554m ($1,469m) at 31 December 2008. Despite the current crisis in the financial markets, the Bank managed to increase its customer deposits during the period from BD338m ($897m) at 31 December 2008 to BD356m ($944m) at end of 30 September 2009, a growth of 5% reflecting the customers' confidence in the Bank.

The Bank's gross operating income for the period amounted to BD24.3m ($64.4m) and the net income represented a 11.6% annualized return on shareholders' equity. For the third quarter, the operating income was BD7.7m, a drop of 29% compared to the similar period in 2008.

In a statement on this occasion, the Chairman, H.E. Mohammed Alabbar stated that during the past quarter, a strategic partnership was finalized with Perbadanan Tabung Amanah Islam Brunei (PTAIB) on Burj Al Safwa Tower in Mecca, demonstrating the Bank's ability to forge strategic alliances with very strong and reputable global partners. Al Salam placed 50% of its 18 years leasehold interest in Burj Al-Safwa to (PTAIB) through a 50:50 joint venture.

Alabbar also stated that Al Salam succeeded in securing the acceptances from Bahraini Saudi Bank (BSB) shareholders holding 90.3% of the issued and paid up ordinary share capital of BSB, a first major step in its expansion strategy on the local arena especially in the retail banking sector.