*** Arab Bank Group achieves record net profit of USD 1 billion for 2024, announces 40% cash dividends | THE DAILY TRIBUNE | KINGDOM OF BAHRAIN

Arab Bank Group achieves record net profit of USD 1 billion for 2024, announces 40% cash dividends

TDT | Manama
Email : editor@newsofbahrain.com

Arab Bank Group achieved strong results for the financial year ending December 31, 2024, with a record net profit of USD 1 billion, reflecting a robust 21% growth in net income after tax, amounting to USD 1,007.1 million compared to USD 829.6 million in 2023. Based on this record performance, the Board of Directors has recommended to the shareholders the distribution of 40% cash dividends.

The results were driven by growth across various business segments and geographic markets. Operating profit increased by 7% to reach approximately USD 2 billion. The Group’s equity position also remained strong, standing at USD 12.1 billion at year-end, further underscoring its financial stability and resilience.

Mr. Sabih Masri, Chairman of Arab Bank, commented that the bank’s record net operating profit is a clear testament to its strong growth momentum across several markets, especially in the GCC region and international markets.

Regarding the Group's expansion and growth strategy, Mr. Masri mentioned that the bank was recently granted a final banking license to operate in the Republic of Iraq through its subsidiary, Arab Bank Iraq, which will commence operations at the beginning of 2025. Mr. Masri also underscored the Group’s constant focus on enhancing wealth management and private banking services, highlighting the expected merger between Gonet – part of Arab Bank Switzerland – with Swiss ONE Bank.

Ms. Randa Sadik, Chief Executive Officer, stated that the Group achieved sustainable growth in net operating profit driven by both interest and non-interest income contribution as a result of revenue diversification, growth in lending, and efficient management of liquidity and funding sources, benefiting from its presence in the GCC and international markets.

Ms. Sadik added that the Group’s liquidity and asset quality remain solid, where the loan-to-deposit ratio stood at 73% and credit provisions held against non-performing loans continue to exceed 100%. Arab Bank Group maintains a strong capital base that is predominantly composed of common equity, with a capital adequacy ratio of 17.2%.