Dubai: Bank of Sharjah has reported a net profit of Dh152 million for the first half of 2017, down 13.6 per cent compared to Dh176 million for the same period of 2016.
“Net profit was affected mainly by a marginal increase in cost of funds, and equity was affected by the distribution of cash dividends and the downturn in the market value of strategic investments. While it is too early to predict year-end figures, we expect a sustained performance during the second half to meet comfortably the budget of 2017,” said Ahmad Al Noman, Chairman of the board of Bank of Sharjah.
Bank’s total assets reached Dh28.5 billion in the first half of 2017, an increase of 8 per cent over the corresponding period in 2016. When compared to year-end 2016, total assets increased by 5 per cent from Dh27 billion.
Loans and advances reached Dh15.99 billion, 3 per cent up compared to the same period last year and 6 per cent less than yearend 2016.
Customer deposits reached Dh19.31 billion, an increase of 6 per cent over the corresponding period in 2016. When compared to the year-end 2016, customer deposits decreased by 2 per cent from Dh19.73 billion.
Net interest income and non-interest income decreased by 8 per cent and 14 per cent respectively compared to the corresponding period of 2016, the figures being reflected in an 8 per cent decrease in the net operating income.
The bank’s net liquidity remains high compared to industry levels at Dh6.69 billion as at June end 2017, up 19 per cent compared to the same period last year. Capital adequacy ratio at the close of first of 2017 was high at19.85 per cent.
