Strong H1 with Net Profit at $121m, a growth of 72% YoY
Total Operating Income, $m
$611m, 18% growth on a YoY basis benefitting from underlying business growth propelled further by higher interest rates.
Revenues tracking higher on a YoY basis across almost all our units
+18%
520m
611m
H1 22
H1 23
T1 Capital Ratio, %
-0.5%
∕ Remains strong and well above the regulatory minimum of 10.5%
15.7%
15.2%
∕ CET 1 Ratio (13.6%) comprises the majority of Tier 1 Ratio
Dec 22
Jun 23
Net Profit, $m
+72%
∕ Net operating profit (before provisions and taxation) grew by +31%
121m
70m
∕ Net Profit of $121m, a strong 72% growth
H1 22
H1 23
3
Strong Revenue Growth Across the Franchise
TOI reached $611m during H1 23, 18% higher on a YoY basis, and was well diversified across our markets and business lines
TOI by business (H1 23), $m
15.6%
32.1%
8.3%
ABC Brasil
MENA Subsidiaries
International Wholesale Bank Group Treasury
Other**
Net interest income at $444m +20% year on year supported by strong loan volumes, higher interest rates and improving margins. NIM +20bps YoY
Other income also up 11% YoY reflecting good client cross sell and ancillary fee income
** Other includes activities of Arab Financial Services and ila and Equity income.
22.4%
21.6%
NII vs Other income, $m
+18%
611
520
167
150
370
444
H1 22
H1 23
NII
Other income*
4
Cost to Income ratio improved
The Group continues to enforce appropriate cost discipline without compromising on investments into the Group's digital transformation and strategic initiatives to build its "Bank of the Future".
+18% increase in TOI YoY +10% increase in costs YoY
+8% "positive jaws"
Cost to income ratio therefore improved 4% to 60% on a headline basis and 3% to 55% when adjusted for ongoing
ABC - Arab Banking Corporation BSC published this content on 03 September 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 03 September 2023 05:43:08 UTC.
Arab Banking Corporation BSC (ABC) is a Bahrain-based financial institution engaged in the banking sector. The Bank, together with its subsidiaries, provides trade finance, treasury, project and structured finance, corporate banking, financial institutions and syndications, as well as Islamic banking products. The Bank offers its services and products through four segments: the Universal Banking segment covers Retail and small and medium enterprises (SME) banking activities of the Bank in the Arab World; the International Wholesale Banking segment encompasses project and structured finance, trade finance and forfeiting, Islamic financial services, corporate banking & financial institutions, syndications and corporate finance; the Treasury segment comprises the activities of treasury, and the Others segment includes activities of the Bankâs subsidiaries include Banco ABC Brasil SA and Arab Financial Services Company BSCC.