Dubai: Burgan Bank reported a 18.5 per cent fall in first-quarter net profit on Saturday, according to Reuters calculations, as Kuwait’s third-largest lender by assets secured less income from foreign exchange.

A unit of Kuwait Projects Co (KIPCO), Burgan made a net profit of 14.3 million Kuwaiti dinars (Dh174.9 million, $47.66 million) in the three months to the end of March, it said in a statement.

Burgan did not provide a comparable figure for the corresponding period of last year. However, the bank previously reported it made 17.54 million dinars.

HSBC forecast the Kuwaiti lender would make a quarterly net profit of 12.68 million dinars.

Burgan’s earnings were hit by a 77.9 per cent reduction in non-interest income, which fell to 1.7 million dinars. The bank said the decline was due to the reduction of net gains from foreign exchange.

The fall offset a 7.4 per cent increase in net interest income, which rose to 40.6 million dinars, according to the statement.

Burgan announced on March 10 that it had issued local currency bonds valued at 100 million dinars after receiving regulatory approval.