KuwaitPR.com, Online Press Release from Kuwait
Banking & Insurance(Banking & Investments)
Filter PR by
Burgan Bank Reports Net Income of KD 52.1 million for FY 2022
Burgan Bank Reports Net Income of KD 52.1 million for FY 2022

Net Income growth of 15% year-on-year Dividend per share 8 fils and 5% bonus shares

Kuwait, 8 February 2023:  Burgan Bank announced its financial results for the fiscal year ending December 31, 2022, reporting Revenues of KD 232 million and Operating Profit of KD 125 million.

Revenue levels remained stable, backed by a growth of Net Interest Income by 15% year-on- year, due to improvement in its Net Interest Margins by 30 bps, reaching 2.4% for 2022. This improvement was driven by rate hikes in Kuwait and improved margins in Burgan Bank Turkey.
Moreover, the Bank’s provision charges saw a significant improvement of 70% for the fiscal year 2022 compared to the performance in fiscal year 2021. This improvement underlines Burgan’s prudent risk practices across the Group and consequently, its credit costs for the year improved to 60 bps (as compared to 190 bps in 2021).

The strong growth in Net Interest Income and significant reduction in credit costs ensured that Burgan Bank produced a growth of 15% to deliver Net Income of KD 52.1 million.

Burgan’s asset quality continues to be stable with an NPL ratio of 1.9% for 2022. Capital Ratios for 2022 continued to be well above minimum regulatory ratios. The Bank’s Capital Adequacy Ratio (CAR) of 16.8% is well above the regulatory minimum of 12.5%.
Burgan’s Board of Directors recommended distribution of cash dividend of 8 fils per share, in addition to 5% bonus shares for fiscal year 2022, subject to shareholder approval at the Annual General Meeting.

The recent approval of the sale of the Group’s Bank of Baghdad will avoid an increase in the bank’s NPL ratio and further strengthen the bank’s capital ratios. Moreover, the Group’s active measures to mitigate risks in Turkey have led to an overall improvement in the performance of Burgan Bank Turkey, including much higher Net Income and improved asset quality.

A forward-looking strategy and a growing momentum for development

Burgan Bank continues to focus on delivering sustainable, long-term growth and operational resilience, according to the Bank’s Chairman, Sheikh Abdullah Nasser Sabah Al Ahmad Al- Sabah. “This year saw us make tremendous strides towards our strategic goals, whilst successfully delivering strong financial performance and solid returns to our shareholders. We are carrying substantial momentum into 2023, with clear development paths for our three core pillars of focus: sustainability, digitalization, and human capital development.”

“With an ambitious strategy in place, it is vital that we strike the right balance between mitigating risk and accelerating the pace of development.” added Sheikh Abdullah.

Taking the lead with a proactive ESG commitment

Commenting on the bank’s ESG commitment, Sheikh Abdullah added: “Burgan has adopted a proactive and comprehensive approach to sustainability as well as environmental, social and governance (ESG) management, since its earliest day. At the core of our ‘driven by you’ philosophy is a commitment to deliver greater value to our people and our communities – beyond simply our role as financial providers. The goal remains simple: amplify our positive impact and minimize any negative environmental impact we may have. This year, we further expanded the scope and mandate of our ESG framework, and reaffirmed our commitment to creating better solutions for a more sustainable future.”


A year of evolution and digital success

According to Vice Chairman and Group CEO of Burgan Bank, Mr. Masoud M.J. Hayat, the retail evolution for the Bank, with its central theme of digitalization – saw tremendous progress in 2022.

“This comes as a result of our commitment to implement our long-term digital transformation strategy, which aims to focus on providing the best, safest and most convenient banking experience for our customers. In 2022, Burgan Bank launched several features and service upgrades on its mobile application, which currently stands as the highest rated banking app in Kuwait. This included the introduction of its Electronic Know Your Customer (eKYC) form, the “Apply Now” feature for products, as well as strategic design and function upgrades, to deliver convenient and advanced virtual banking experience to our customers. Additionally, Burgan’s digital innovations were also rolled out to our corporate clients as the Bank further enhanced its innovative cash management digital platform.

A people-centric strategy at every level

On the human capital front, Burgan Bank’s investment in its people is holistic and long-term, according to Mr. Hayat, who added: “Our people are integral to our strategy, as we seek to drive our financial performance. Burgan’s service evolution and digitalization journey require high- skilled, empowered and technically trained workforce. Therefore, we have dedicated considerable resources to upskill our employees and endow them with the agility needed to be able to face that transformation.'
As part of its talent development efforts, Burgan offers flagship programs internally and in partnership with renowned universities such as Harvard, Berkeley, Columbia Business school and INSEAD to enhance the knowledge and capability of its talent. Burgan Bank has also broadened its approach to learning with the introduction of its flagship Ro2ya program. The strategic talent program is designed to be an industry-leading national talent development platform, aiming to empower and foster the future leaders of Kuwait’s banking sector. Moreover, the Bank’s Entelaqah program, which comes under the umbrella of its Retail Academy, enables new joiners moving to the branches to be fully immersed in the retail culture and work dynamics. The Bank also supports its undergraduates and diploma holders to pursue their academic degrees through its Burgan Cares initiative.

It serves to note the consolidated financials for Burgan Bank include the results of the Group’s operations in Kuwait, as well as its share of results from its subsidiaries, namely: Burgan Bank Turkey, Gulf Bank Algeria, Bank of Baghdad and Tunis International Bank. Through this regional reach, Burgan Bank has one of the largest regional branch networks across Kuwait, Turkey, Algeria, Iraq, Tunisia, Lebanon and a representative office in the United Arab Emirates.

Posted by : Kuwait PR Network Editorial Team
Viewed 3886 times
PR Category : Banking & Investments
Posted on : Wednesday, February 8, 2023  4:03:00 PM UAE local time (GMT+4)
Replication or redistribution in whole or in part is expressly prohibited without the prior written consent of KuwaitPR.com.
Previous Story : Burgan Bank Concludes Another Successful Sponsorship of the ...
Next Story : ABK Announces Hebah Barrak Al Tukhaim as Winner of Weekly Dr...
Email this article Print this article

Share this article with your friends and followers
Back to Section Home

Related Stories

Most Viewed Press Release posted in the last 7 days
Catrice Launches Limited Edition About Tonight Collection for Ramadan 2024 [21864-Views]
IATA and The Weather Company Collaborate to Provide Enhanced Turbulence-Related Weather Data to Airl... [20501-Views]
SHEGLAM Unveils Exclusive Ramadan ‘Lunar & Stellar Box Set', across GCC countries. [19830-Views]
2023 Safest Year for Flying By Several Parameters [19526-Views]
Progress Report: Sustainability, Digitalization and Safety in Air Cargo [17809-Views]
F-16 Block 70 Jets Set Off on Historic Ferry Flight to Bahrain: A New Era in Air Defense [17756-Views]
Eid Gift Guide – Fragrance Edition [15923-Views]
Watches & Wonders 2024 Unico: Hublot's Manufacture Calibre [8196-Views]
Bremont introduces a new generation of its Supermarine diving watch series [6969-Views]
Al Babtain Unveils JAECOO's Off-Road Revolution: J7 and J8 at the Kuwait Auto Land, Redefining SUV E... [5432-Views]
Huawei Charts a New Course and Showcases High-end Fashion-forward Product Lineup at MWC 2024 [5249-Views]
In the Spirit of National Pride: Ooredoo Kuwait Sponsored Kuwait University's National Day Celebrati... [5052-Views]
Ooredoo Kuwait Champions Innovation by Sponsoring Kuwait University's SABS Team [5042-Views]
Ooredoo Kuwait Sponsored Bugsha Market, Attracting Approximately 200,000 Visitors During the Nationa... [4474-Views]
GoPaint Global Campaign Ignites Creativity: Huawei Inspires Digital Artists Worldwide [4420-Views]
Ooredoo Kuwait Champions Local Sports Talent with Junior Football Tournament Sponsorship [3933-Views]
Ooredoo Clinches Double Victory at Asian Telecom Awards [3875-Views]
The Ultimate Eid Gift Guide: Best Tech Gifts for Your Loved Ones [3761-Views]
Burgan Bank Sponsors National and Liberation Day Celebrations at AUS [3508-Views]
RSS Facebook Twitter LinkedDin KuwaitPR.com on Instagram
Top Sections
Top Stories