Al Ahli Bank of Kuwait – Egypt Records EGP 3.185 Billion Net Profit in Q1 2024

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Kuwait / Egypt, June 1: Al Ahli Bank of Kuwait – Egypt (ABK-Egypt) recorded breakthrough financial results for Q1 2024, achieving a significant increase in Net Profit by 189%, which stood at EGP 3.185 billion compared to EGP 1.102 billion over the same period in 2023. Net Interest Income increased by 71% to reach EGP 1.439 billion compared to EGP 841 million in March 2023, while Net Fees and Commissions income grew by 165% to reach EGP 477 million compared to EGP 180 million over the same period last year.

Furthermore, the Bank’s Total Assets grew by 18% to reach EGP 115.159 billion compared to EGP 97.606 billion in December 2023. Total Customers Deposits increased by 15% to reach EGP 95.865 billion compared to EGP 83.064 billion at the end of 2023 and Total Gross Loans Portfolio increased by 22% to reach EGP 60.385 billion compared to EGP 49.494 billion at the end of 2023. In addition, the Non-Performing Loans (NPL) ratio was 1.65% at the end of March 2024.

Commenting on the results, Ali Marafi, Chairman of ABK-Egypt, stated, “The Bank’s outstanding results over Q1 2024 reflect the remarkable success in delivering our growth strategy. It also confirms the strength of the Bank’s financial position, balance sheet, quality of credit services, sustainable finance, and liquidity growth ratios while maintaining steady growth in business volume and profitability, all paving the way to achieving further success in 2024.”

Marafi added that ABK-Egypt continues to actively carry out its digital transformation plan in its operations. The Bank remains committed to staying abreast of changes and developments in the banking industry, catering to all customer needs through innovative banking solutions, products, and services.

He elaborated that ABK-Egypt is also expanding its presence across various Egyptian governorates. The Bank is focused on modernizing its branches with the latest technologies to enhance customer satisfaction and attract them, with the aim of becoming their preferred banking partner in Egypt. Emphasizing customer-centricity, the Bank prioritizes customer needs and consistently strives to deliver exceptional services 24/7.

Marafi attributed this success to the Executive Management for leading the implementation of ABK-Egypt’s strategic plans and ensuring the agility of its business model in the face of changing local and global economic environments. He said, “These efforts have ensured that we are well equipped and able to build on our growth momentum to achieve exceptional results on all financial indicators.”

Marafi added that he is confident that the Bank will continue to achieve remarkable progress and that the team will spare no effort in achieving aspired growth across all business lines and upholding its strong position in the Egyptian market. He continued, “We will remain committed to our vigilant approach in facing prevailing challenges and will continue to upgrade our digital infrastructure to gain market share in a highly competitive sector and a vastly changing technological landscape.”

He also stated that ABK-Egypt is ready to engage in financing development projects in the country. The Bank aims to support small and medium enterprises, entrepreneurs, and other institutions as part of its strategic plans and its role as a responsible financial and banking institution.

Marafi stated that the Bank is working on forming partnerships with local entities to conduct training courses aimed at enhancing the skills and productivity of its employees. The Bank is also focused on attracting top talents to join its divisions, thereby boosting its innovative capabilities.

He elaborated that the Bank is also developing plans to address the current economic challenges in Egypt. Furthermore, ABK-Egypt remains committed to supporting the relevant authorities in the country to meet the needs of citizens and residents, acknowledging the dedicated efforts of all parties involved in elevating economic activity to greater heights in the upcoming period.

At the end of his statement, Marafi expressed his gratitude to all regulatory authorities in Egypt, led by the Central Bank of Egypt, for their ongoing support and relentless efforts to enhance the banking sector’s performance and achievements over time.

Strongly Positioned

Reaffirming the strength of the Bank’s financial results, Khaled El Salawy, CEO & Managing Director of ABK-Egypt, said, “We are delighted to start the year with outstanding growth rates on all financial indicators, which reinforces our strong position and sets us on the right path. We were able to achieve operational excellence on all business fronts, which led to realizing outstanding financial results as Profit Before Tax shows a notable increase of 185% to reach EGP 3.558 billion by the end of March 2024, compared to EGP 1.249 billion over the same period in 2023. Our strong performance in Q1 grants us confidence in the capability of our team to deliver even stronger results in the future.”

El Salawy further acknowledged the efforts of all employees for their hard work and perseverance that allowed the Bank to consistently deliver added value to customers whilst adhering to an astute risk management framework to adapt to market changes. He said, “The Executive Management remains committed to implementing our ambitious growth strategy that is pillared upon resilience and innovation and look forward to achieving more accomplishments to make 2024 another successful year for ABK-Egypt.”

El Salawy also stated that the upcoming period will witness further focus on leveraging performance across all business lines as well as higher proficiency in serving the the needs of all customer segments and speed in adapting to market changes. He clarified, “We intend to focus on achieving our strategic priorities that enable us to achieve rapid growth and an increase in our market share.”

Furthermore, El Salawy mentioned that the Bank provides a range of offers and promotional campaigns throughout the year to reward customers for their trust and to entice them to utilize its diverse solutions for their ongoing financial and banking transactions.

Corporate Social Responsibility

El Salawy highlighted that ABK-Egypt is actively strengthening its social responsibility program by sponsoring various health, educational, sports, cultural, and other events and initiatives in collaboration with diverse entities and institutions across sectors. These initiatives reinforce the Bank’s presence and uphold its prominent position among all segments of society.

Ambition and Awards

In continuation of ABK-Egypt’s journey of success throughout the past eight years, the Bank will continue to set ambitious goals for 2024 and beyond to boost performance, expedite growth, and maximize profitability whilst maintaining governance standards and applying best banking practices.

ABK-Egypt’s strong performance and noticeable growth rates have been recognized over the years through prestigious awards from various reputable entities. The most recent of which is MEED’s MENA Banking Excellence Awards where ABK-Egypt was recognized as ‘Best Retail Bank – Egypt’ as well as ‘Fastest Growing Bank in Egypt’ by International Business Magazine.

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