KUWAIT: Emad Al-Thaqeb, Chairman of Warba Bank, announced that Warba has posted operating income of KD 3.8 million as at the end of the first quarter of 2014 vis-a-vis KD 2.2 million for the same period of 2013, with an increase of around 72.5 percent. He pointed out that the increase and growth achieved by Warba are attributable to focusing on customers’ requirements and the introduction of outstanding services amid a fierce competition. This achievement is a testament that the bank is on the right track, which will allow shareholders to reap the desired benefits sooner. During Q1 of 2014, many positive financial indicators came to the surface, most notably the growth of the total assets to KD 429 million as compared with KD 321 million as at the end of Q1 of 2013, with an increase of 34 percent. And to the increase of customers’ deposits to KD 240 million as compared with KD 120 million as at the end of Q1 of 2013, with a 100 percent increase, which marks customers’ increased confidence in Warba.
Indeed, Warba has realized pre-provision profit of KD 376 thousand as compared with a preprovision loss of KD 194 thousand for the same period of 2013. It is noteworthy that the provisions made during Q1 of 2014 are general and mandatory provisions requested by the regulatory bodies. Such provisions indicate the growth of the financing portfolio, as provisions are calculated at a fixed percentage of the indicated growth, with no defaulting finances against such provisions. In addition, Warba has incurred a total loss of KD 162,000 as at the end of Q1 of 2014 as compared with KD 1.5 million for the same period of 2013, indicating the improved operating performance. Warba’s financing portfolio is one of the most prominent positive indicators, as it increased to KD 273 million as at the end of Q1 of 2014 compared with KD 124 million as at the end of Q1 of 2013, with a 120 percent increase.
On the front of Risk Management, Warba has high quality assets, with 0.30 percent defaulting finances, which is one of the best percentages the globe over. Warba’s Capital Adequacy Ratio (CAR) exceeded the required limit imposed as per Basel instructions and CBK regulations, which indicates that Warba has a strong financial position that contributes to the future growth of the bank’s businesses. Al-Thaqeb stressed Warba’s keenness to extend its outreach with a view to fully access the local market and reach customers through the expansion of the branches network, and the introduction of electronic and direct channels of communication in a way that enhances the quality services provided to customers and keeps pace with the latest developments and changes in this industry. Optimistically, Al-Thaqeb highlighted the achievement of Warba’s objectives in line with the approved strategic plan. Relentlessly, Warba seeks to increase its customer base and provide unique banking and financing services that fulfill retail and corporate customers’ requirements.