Net income in the three months to March 31 was 11.8 million dinars ($42.92 million), from 1.06 million dinars in the year-earlier period, the bank’s financial statements showed.
It did not give a reason for the profit surge but provisions during the quarter dropped to 5.7 million dinars compared with 22.5 million dinars in the first quarter of 2010, while operating income reached 38.8 million dinars.
“Burgan Bank Group foresees positive growth as we progress into 2011. Our financial performance has significantly improved in the first quarter reflecting lower credit costs,” said Chairman Majed Essa Al-Ajeel in a statement.
Last year, the lender raised $400 million from a ten-year bond at 7.875 percent.
The proceeds would be used to strengthen Burgan’s local operations and expansion plans, it had said.
