Business
ZAWYA: Gulf Bank records KD 9.4 million in Net Profit
ZAWYA: Gulf Bank records KD 9.4 million in Net Profit
About this update from Gulf Bank K.s.c.
Ahmad Mohammad Al-Bahar:Gulf Bank continues to demonstrate financial resilience, supported by its solid financial position.Kuwait’s institutional strength and coordinated policy response have supported the continuity of economic activity during an exceptionally challenging environment.The Banking sector continues to operate from a position of strength, with comfortable liquidity and capital levels.We monitor local and regional developments closely, while focusing on executing our strategic priorities with discipline.Sami Mahfouz:We have activated our business continuity protocols in response to the evolving operating environment.Gulf Bank launched its new SME and Corporate banking mobile application during the first quarter of 2026.We achieved healthy balance sheet growth, with the Bank’s total assets surpassing KD 8.0 billion.We emphasis on employee wellbeing and operational readiness to effectively support customers under all circumstances.Kuwait, Gulf Bank K.S.C.P. announced its financial results for the first three months ending 31 March 2026. The Bank reported a net profit of KD 9.4 million, in line with its 2025 first three months net profit of KD 9.4 million.In addition, Gulf Bank recorded an operating income of KD 45.1 million for the first three months of 2026, representing an increase of 2.6% compared to the same period of last year. Moreover, operating profit before total provisions and impairments was KD 21.7 million, representing an increase of 4.0% compared to the first quarter of 2025.Financial PerformanceThe first quarter of 2026 financial results were primarily driven by a stable, yet slightly improved, net interest income of KD 35.3 million, alongside an increase in net fees and commissions of 15.5% to reach KD 6.7 million. This was partially offset by a marginal increase in operating expenses by 1.3%, alongside an increase in total provisions and impairments of 6.4%.As for asset quality, the non-performing loans (NPL) ratio was 1.3% as of 31 March 2026, compared to the prior year level of 1.5%. Additionally, the Bank continues to have significant non-performing loans coverage ratio of 312% including total provisions and collaterals.Total credit provisions as of 31 March 2026 reached KD 260 million whereas IFRS 9 accounting requirements (i.e., ECL or expected credit losses) were KD 187 million. As a result, the Bank has a healthy ex...