Al Salam Bank posts financial results for 2025

TDT | Manama

Email: mail@newsofbahrain.com

Al Salam Bank announced its financial results for 2025, delivering record performance supported by expanded scale and the disciplined execution of strategic initiatives.

Q4 results

During the fourth quarter of 2025, net profit attributable to owners’ of the bank reached BD 18.6 million (USD 49.5 million), compared to BD 16.7 million (USD 44.3 million) in Q4 2024, reflecting an increase of 11.8%. The growth in profitability was driven by the improved performance of the group’s core banking operations, effective asset liability management, and the implementation of group-wide growth and optimization initiatives. Earnings per share for the quarter stood at 5.4 fils (1.4 US cents), compared to 5.3 fils (1.4 US cents) for the corresponding period in 2024. Total comprehensive income attributable to owners’ of the bank increased to BD 5.4 million (USD 14.2 million) in Q4 2025, compared to a loss of BD 4.0 million (loss of USD 10.5 million) in Q4 2024.

Full year results

For the financial year ended 31 December 2025, net profit attributable to owners’ of the bank increased by 30.2% to BD 76.8 million (USD 203.8 million), up from BD 59.0 million (USD 156.5 million) in 2024. Accordingly, earnings per share (EPS) increased to 22.7 fils (6.0 US cents) in 2025, compared to 19.2 fils (5.1 USD cents) in 2024. Total comprehensive income attributable to owners’ of the bank increased by 54.1% to BD 103.4 million (USD 274.3 million) in 2025, compared to BD 67.1 million (USD 178.0 million) in 2024.

Driven by the successful exe - cution of various capital-building initiatives during the year, equity attributable to owners’ of the Bank increased by 28.3% from BD 360.5 million (USD 956.2 million) in 2024 to BD 462.4 million (USD 1.23 billion), while group’s total owners’ equity increased by 26.3% to B D 74 9.7 million (USD 1 .9 9 billion), up from BD 593.4 million (USD 1.57 billion) in 2024. Accordingly, the consolidated capital adequacy ratio increased from 24.8% in 2024 to 27.2% in 2025.

The group’s balance sheet continued to expand with total assets closing 2025 at BD 8.05 billion (USD 21.36 billion), compared to BD 7.06 billion (USD 18.73 billion) in 2024, translating to an increase of 14.0%. In line with the group’s strategy to accelerate market share acquisition, financing assets increased by 11.1% to BD 4.10 billion (USD 10.79 billion) and customer deposits increased by 7.1% to close the year at BD 5.48 billion (USD 14.54 billion).

Dividend

The Board of Directors recommended a dividend distribution of 15% of the bank’s issued and paid-up share capital (8% cash dividends and 7% stock dividends), aggregating to BD 44.1 million (USD 117.0 million). This recommendation is subject to AGM and regulatory approvals.

Commenting on th e year-end results, His Excellency Shaikh Khalid bin Mustahail Al Mashani, Chairman of Al Salam Bank, said: “Our performance marks consecutive years of sustained growth in scale and profitability, positioning Al Salam Bank as a leading, diversified financial group in the region. Our focused strategy and consistent execution, underpinned by prudent financial management, accelerated transformat i o n initiatives, a n d strong governance, has positioned us to effectively capitalize on growth opportunities, reinforce our leading market positioning, and deliver longterm value to all our stakeholders”.

Rafik Nayed, Group Chief Executive Officer of Al Salam Bank, added: “Our results reflect the resilience of our operating model and the effectiveness of our strategic direction as we transition to a new phase of performance and growth. During the year, we remained focused on optimizing the balance sheet, expanding our funding base, and broadening our revenue drivers across key verticals including banking, asset management (ASB Capital), takaful (Solidarity Group), and our network of subsidiaries and associates. Collectively, our strategic initiatives are designed to shape a financial group that is diversified in structure, digital in execution, and disciplined in its pursuit of value”.