The financial industry in Kuwait has witnessed the remarkable success and robust operational performance of Gulf Bank K.S.C.P during the first half of 2024. With a strong focus on growth, financial discipline, and customer-centric initiatives, Gulf Bank has reported a net profit of KD 28.2 million for the first six months of the year.
Let’s delve deeper into Gulf Bank’s financial results and strategic outlook for the future.
Bader Nasser Al-Kharafi: Upholding Operational Excellence
Under the leadership of Mr. Bader Nasser Al-Kharafi, Gulf Bank continues to exhibit robust operational performance, reinforced by strong top-line growth and sound financial position metrics. Despite facing higher than usual credit costs, the Bank remains confident in its future potential.
The significant loan book expansion during the first half reflects the success of strategic initiatives aimed at meeting clients’ evolving needs. Operational profitability has seen enhancements, emphasizing Gulf Bank’s dedication to strategic expansion and fiscal stability.
Waleed Khaled Mandani: Focus on Customer Centricity
The effective conclusion of Phase II of the core banking system is cited by Mr. Waleed Khaled Mandani, Acting CEO of Gulf Bank, as a critical turning point in the advancement of customer-centricity.
The transformation of branches into relationship and experience centers aims to provide personalized and seamless banking experiences for clients. Gulf Bank’s role in Kuwait’s economic development, through direct funding and partnerships with financial institutions, underscores its commitment to social responsibility and workplace diversity.
Initial Half of 2024 Financial Outcomes
Gulf Bank reported a net profit of KD 28.2 million for the first half of 2024, representing a decline of KD 7.6 million compared to the same period in 2023. Despite this decline, the Bank recorded an operating income of KD 96.9 million, with operating profit before provisions and impairments increasing by 6.6% year-on-year.
The increase in total provisions and impairments impacted short-term results, but Gulf Bank’s implementation of sound risk management strategies ensures long-term sustainable growth.
The Bank’s non-performing loans (NPL) ratio was 1.2% as of June 30, 2024, with a non-performing loans coverage ratio of 390%. Total assets, net loans and advances, customer deposits, and shareholders’ equity all saw positive growth compared to the previous year.
Gulf Bank’s regulatory Tier 1 ratio and Capital Adequacy Ratio (CAR) remain well above the regulatory minimum requirements, reflecting its strong financial position.
Strategic Initiatives and Future Outlook
Gulf Bank’s commitment to customer excellence is evident through the introduction of revamped mobile applications, advanced payment solutions for SME customers, and digital financial market trading platforms.
The Bank’s readiness to support Kuwait’s developmental projects aligns with principles of transparency, achievement, and sustainability. Moreover, Gulf Bank’s pursuit of Islamic Sharia’a compliance and its 2030 ESG strategy underscore its dedication to responsible governance, fair work environment, community engagement, and banking responsibility.