NBK posts $ 814.4 m net profit in first 9 months

National Bank of Kuwait (NBK) reported a net profit of $ 814.4 million (KD 228.9 million) for the first nine months of 2012 compared with $ 802.4 million (KD 225.6 million) for the same period of 2011.
NBK’s Q3 2012 net profits reached $ 384.6 million (KD 108.1 million) compared to $ 280.7 million (KD 78.9 million) in Q3 2011.
As of end of September 2012, NBK Group’s total assets reached $ 58.1 billion (KD 16.34 billion), up 24.5 percent compared to September 2011, while total group shareholders’ equity reached $ 8.4 billion (KD 2.37 billion), up 5 percent year on year.
“NBK managed to deliver another strong quarter notwithstanding the ongoing challenges,” said Group CEO Ibrahim Dabdoub.
He added: “The operating environment continues to pose some barriers to our potential for growth. Government spending continues to be insufficient and the tendering of new projects has significantly lagged leading to a stagnant stock market performance and dormancy in economic activity. Moreover, the developing geopolitical tensions are also putting further pressures on the business sentiment both locally and in the region.”
Dabdoub said the improvement in the local operating environment now depends on developing a more dynamic fiscal policy, most importantly accelerating spending on mega projects. We hope this will materialize in the near future.”
He added: “The recent results confirm NBK’s focus on core banking activities and the success of our regional expansion strategy. The diversification of our income sources continues to differentiate NBK and help us deliver strong results.”
Dabdoub highlighted that Q3 2012 witnessed a major strategic move for NBK increasing its stake in Boubyan Bank to 58.34 percent transforming it into a subsidiary of NBK group.