Kuwait: Burgan Bank’s nine-month revenue soars to $533mln

Kuwait: Burgan Bank’s nine-month revenue soars to $533mln

Burgan, a leading bank in Kuwait has announced that its revenue for the nine-month period ended September 30, 2022, rose to KD166 million ($533.2 million), driven mainly by a net interest income growth of 12.8% year-on-year.

The increase in net interest income came as a result of a 20bps improvement in the Net Interest Margins, which grew to 2.3%. Operating expenses came in marginally higher at KD75.5 million compared to the same period of 2021, due to the current inflationary environment.

On the other hand, Burgan’s provision charges decreased significantly from KD47.2 million over the first nine months in 2021, to KD13.4 million in the first nine months of 2022, marking an improvement of 71.6%.

Consequently, the cost of credit went down from 1.4% in the first nine months to 0.4% for the same period in 2022. As a result, Burgan’s net income improved to KD41.2 million for the nine-month period in 2022, as compared to KD40.3 million in the same period in 2021.

The bank’s asset quality remained steady with a 2.6% Non-Performing Loan (NPL) ratio and an NPL Coverage ratio of 233.2%. Burgan’s Capital Ratios for the first nine months of 2022 remained well above the required regulatory ratios.

The Common Equity Tier