Ahli United Bank No Comments

AHLI UNITED BANK REPORTS A 26% SURGE IN NET PROFITS TO US$ 164.3 MILLION FOR THE NINE MONTHS ENDED SEPTEMBER 2006

Ahli United Bank B.S.C. (AUB) has reported a net profit of US$ 164.3 million for the nine month period ended 30 September 2006, an increase of 26% over the same period in 2005 (US$ 130.4 million).

“We are encouraged by our third quarter results, as this positions the Bank to achieve its objectives for 2006. The results are a reflection of the success to date of the business strategies of the Bank and we are on track to surpass our previous achievements,” said Fahad Al-Rajaan, Chairman of Ahli United Bank.

Net interest and other income to 30 September 2006 was US$ 363.5 million (2005 – US$ 237.4 million), an increase of 53.1%. Basic earnings per ordinary share for the period ended 30 September 2006 was US cents 6.02, compared to US cents 4.78 for the corresponding period last year.

Dilutive earnings per ordinary share for the period ended 30 September 2006, adjusted for the impact of convertible Class A and Class B preference shares, was US cents 4.91 as against US cents 3.89.

The resultant ROAE was 15.8% as compared to 14.4% for the same period last year.

As of 30 September 2006, the Group’s total assets stood at US$ 19.1 billion, an increase of 37.4% over 31 December 2005, reflecting a robust growth. The growth was funded by an increase in customers’ deposits by US$ 3.6 billion (+54%) and inter-bank deposits by US$ 1.1 billion (+28%) compared to 31 December 2005.

Al Rajaan added, “The bank has been on the path of steady growth since its inception in 2000 and we have seen consistent year on year gains across the board. Our recent expansion into Egypt, an important market for us, through our investment in Delta nternational Bank was a significant milestone for us as a Group. Entering new markets through strategic, well-placed acquisitions, is in keeping with our goal to widen our regional profile and further our reach in the Gulf region.”

“Egypt’s banking industry has excellent growth prospects. With a large, educated population and increasing economic reforms, Egypt is placed to reap benefits from a potentially new growth phase. The substantial number of middle-income households represents excellent opportunities for retail banking by extending a range of innovative products and services.” Mr. Al-Rajaan added.