MANAMA: Albaraka Turk Participation Bank (ATPB), a subsidiary of Bahrain-based Albaraka Banking Group (ABG), has announced a substantial increase of 131 percent in its net operating income and 118 percent in net income at end of first half of 2008. The bank also posted strong gains in all major segments during the same period as the shareholders’ equity increased by 25 percent, total assets by 48 percent, deposits by 49 percent and finance and investments by 58 percent. The annualized returns on average equity and average total assets showed significant improvements to reach 21 percent and 2.9 percent respectively in the first half of 2008.
The assets of the bank increased by 48 percent to $3.47 billion compared to $2.35 billion during the same period of last year. This increase was the result of a significant growth in the Murabaha, Ijarah Muntahia Bittamleek and investment operations which increased by 58 percent to $2.82 billion in total as at the end of June 2008. The bank financed this growth by increasing the number of its branches and the range of investment products it offers, which in turn increased the customer deposit accounts and unrestricted investment accounts by 49 percent to $2.85 billion as at the end of June 2008 — which financed 81.9 percent of the total assets of the Bank. The remaining assets were financed by the shareholders equity which was enhanced by 25 percent to reach a total of $448.79 million as at the end of June 2008.
Adnan Ahmed Yousif, chairman of the board of directors of ATPB and president and chief executive of ABG, said: “This excellent performance is the result of the hard work of the executive management and all the employees of the bank as well as the strong support that ABG extends to its subsidiary. The bank now ranks first in terms of total assets and deposits per branch and per employee.”
The general manager of ATPB and board member Adnan Buyukdeniz said that the bank, after the huge success of the IPO last year, was now seeking to invest its capital resources and the strong support of the parent company in expanding its branch network and the launching of more high quality products and services at competitive prices.
