Ahli Bank

Ahli Bank’s net profit after tax soars 44% in 2009 to RO 8.5 million
(Customer Deposits growth of 46% and Growth in Total Assets of 35%)

Ahli Bank, Oman’s fastest growing bank, has released its end of year results for 2009, subject to the Central Bank of Oman’s approval, which demonstrate that the bank is on a strong growth trajectory with a very satisfactory business and performance oriented Financial Year 2009.

H.E. Sayyid Khalid Hamad Hamood Al Busaidi, Chairman of Ahli Bank, said, “On behalf of the Board of Directors of Ahli Bank S.A.O.G., it gives me great pleasure to present the 2009 annual report and financial statement of Ahli Bank. In a very challenging year, the bank has – through prudence, foresight and proactive financial management – delivered remarkable results.”

The financial highlights of the results show that the bank’s customer deposits have grown since 2008 by a staggering 46%, underlining the bank’s strategy to build a stable low cost deposit base. Total assets grew by 35% under a new business model which has been managed with prudent risk management, undertaken in view of the prevailing global financial crisis. The loan book of the bank has also grown by 18% and continues to be of a very high quality – reflected in the non-performing loans (NPL) ratio of 0.32% in 2009 .

Net Operating Income has increased year over year by over 26% to RO 17.90 million and the Operating Expenses have increased by over 3% to RO 7.92 million. The bank was also delighted to report an increase of 44% in its net profits after tax to RO 8.54 million.

The bank also reported a rise in its Earning Per Share (EPS) for 2009 to Baizas 12.6 up from Baizas 8.7 during 2008. The bank’s Board of Directors recommended a prudent 7% cash dividend and 5% bonus shares for the year 2009 in view of the current market condition and the early stage of the bank’s development. Ahli Bank reported that its commitment to shareholders and the confidence it has in its ability to grow and enhance shareholders value remains stronger than ever.

Mr. Abdul Aziz Al Balushi, CEO of Ahli Bank commented, “Despite the impact of the international financial crisis, we expect the Omani economy to remain in positive territory for 2010 and at Ahli Bank we see potential banking opportunities arising for which a clear and wide-ranging strategy is being developed for the singular purpose of maximizing shareholder value. We expect Ahli Bank to emerge as a strong participant in the banking sector in Oman.”

Ahli Bank has evolved year over year in an effective manner and the same is reflected in the strong performance in Fiscal 2009. The bank’s business and financial model promotes leveraging established relationships; developing new ones with a sustainable revenue generation capacity and at the same time ensuring very high credit quality and service standards.

After thanking His Majesty Sultan Qaboos Bin Said and the government for creating such favourable conditions for the bank, the Chairman also expressed his gratitude to the Central Bank of Oman, Capital Market Authority and other regulatory authorities for their strong support and guidance.

Mr. Abdul Aziz Al Balushi went on to say, “The current growth and unparalleled success is a direct outcome of the efforts of all Ahli Bank employees and I thank them for their hard work, solidarity and support. I am confident that the skills and expertise of Ahli Bank’s talented staff will, once again, endeavour to deliver a robust performance during 2010 and that Ahli Bank will emerge as the “preferred” bank in Oman.”