UGB announces results for 2013

February 25, 2014 10:10 am

Key Financial Highlights for 2013:
•Net profit of $4.2m (2012: $6.7m)
•Net profit attributable to shareholders of the parent of $2.6m (2012: $11m)
•Basic earnings per share of 0.32 cents (2012: 1.34 cents)
•Net profit in Q4 2013 of $0.7m (2012: $6.2m)
•Total income before interest and other expenses $64.3m (2012: $93.0m)
•Total assets for 2013 of $1.26bn (2012: $1.23bn)
•Capital adequacy ratio of 17.7% (2012 : 23%) exceeds the minimum regulatory requirement of 12.5%

Financial Performance
UGB’s profit attributable to shareholders of the parent for 2013 decreased to $2.6m compared to $11.0m in 2012, with a similar decrease in basic earnings per share to 0.32 cents from 1.34 cents in 2012.

The decrease in profit attributable to shareholders of the parent is due to provisions taken at one of the commercial banking associates. UGB managed to reduce interest and operating expenses. UGB’s total assets stood at US$1.26bn as at 31 December 2013,compared to $1.23bn in 2012. UGB balance sheet remains strong with total equity of $459.6m (2012: $478.2m) and a capital adequacy ratio of 17.7% (2012: 23%), well above the Central Bank of Bahrain’s minimum level of 12.5%. UGB’s Board of Directors will not be recommending any dividend for 2013.

Rabih Soukarieh, Chief Executive Officer, said, “UGB has managed to maintain strong capital and liquidity positions throughout the year. Even though 2013 results were not in line with our expectations, our core assets and underlying entities are well positioned to benefit from the growth expected in 2014.”

For further information:
Wadia Majeed
United Gulf Bank
Tel: +97317520150