bank muscat announces unaudited preliminary results for the year ended 31st December 2018
YTD Net Profit at RO 179.63 million
MUSCAT, 15 January, 2019: bank muscat, the flagship financial institution in the Sultanate of Oman, announced its unaudited preliminary results for the year ended 31st December 2018. The financial results are subject to approval of External Auditors, Board of Directors, Central Bank of Oman and Shareholders of the Bank.
The Bank posted net profit of RO 179.63 million for the period compared to RO 176.82 million reported during the same period in 2017, an increase of 1.6 per cent.
The key highlights of the results for the period are as follows:
1) Net Interest Income from Conventional Banking and Income from Islamic Financing stood at RO 304.29 million for the year 2018 compared to RO 281.35 million for the same period in 2017, an increase of 8.2 per cent.
2) Non-interest income at RO 142.45 million was lower by 7.9 per cent compared to RO 154.62 million for the year ended 31st December 2017. Income in 2017 includes one-off investment gain of RO 12.8 million on sale of certain investments.
3) Operating expenses for the year ended 31st December 2018 at RO 190.34 million was higher by 3.4 per cent as compared to RO 184.08 million for the same period in 2017.
4) Net Impairment and other losses for the year ended 31st December 2018 was at RO 42.54 million as against RO 43.28 million for the same period in 2017.
5) Net Loans and advances including Islamic financing receivables increased by 7.3 per cent to RO 8,938 million as against RO 8,329 million as at 31st December 2017.
6) Customer deposits including Islamic Customer deposits increased by 14.1 per cent to RO 8,463 million as against RO 7,419 million as at 31st December 2017. The main reason for substantial increase in customer deposits in the last quarter of 2018, was due to an increase in short term deposits which are transit in nature.
Key Highlights of unaudited preliminary results
| Particulars (RO millions) For the year ended 31 December | 2018 | 2017 | Change (%) |
| Total net interest income and income from Islamic financing | 304.29 | 281.35 |
8.2% |
| Other operating income | 142.45 | 154.62 |
(7.9%) |
| Operating expenses | 190.34 | 184.08 |
3.4% |
| Operating profit | 256.40 | 251.89 |
1.8% |
| Net profit | 179.63 | 176.82 |
1.6% |
| Particulars (RO millions) As at 31 December | 2018 | 2017 | Change (%) |
| Net loans and Islamic financing | 8,938 | 8,329 |
7.3% |
| - Conventional loans and advances | 7,828 | 7,359 |
6.4% |
| - Islamic financing receivables | 1,110 | 970 |
14.5% |
| Customer deposits and Islamic deposits | 8,463 | 7,419 |
14.1% |
| - Conventional customer deposits | 7,504 | 6,459 |
16.2% |
| - Islamic customer deposits | 959 | 960 |
(0.1%) |
The full results for the year ended 31st December 2018 along with complete set of financial statements will be released post approval of the Board of directors of the Bank at its meeting scheduled later during January 2019.
____________________
Ganesh T.
Chief Financial Officer
This announcement has been issued through the Companies Announcement Service of Euronext Dublin.