JEDDAH: National Commercial Bank (NCB) has posted a net income of SR3.697 billion for the first half of 2008, higher by 4.3 percent compared to the first half of 2007. The results include 60 percent acquisition of Türkiye Finans Katılım Bankası A., where its results were consolidated for the first time with effect from April 1, 2008.
Announcing the results yesterday, NCB Chairman Abdullah Salim Bahamdan said that the bank had recorded a significant increase in its income from core activities: net special commission income increased by SR581 million (18.1 percent) and fees from banking services rose by SR237 million (23.9 percent).
Total assets increased by 23.2 percent to reach SR226.745 billion at the end of June 30, compared to the end of June 2007; net loans and advances reached SR110.807 billion, an increase of SR27.923 billion (33.7 percent); and customers’ deposits increased to SR155.537 billion, an increase of 18.1 percent.
Total shareholders’ equity grew by 17.5 percent to reach SR31.588 billion and the ratio of equity-to-assets stood at 13.9 percent, reflecting the bank’s robust capital adequacy. Moreover, the bank maintained high profitability ratios as return on average assets (ROA) was 3.4 percent and return on average equity (ROE) for shareholders’ equity attributable to equity holders of the parent was 24.6 percent and earnings per share reached SR2.44.
“The foundation of these excellent results is the strong level of trust that NCB has earned from its valued customers, the bank’s broad range of products and services, and the deep commitment of its management and staff to improve service quality and forge closer ties with our customers,” the chairman said.