Burgan Bank posts net income of KD 52.1 mn for FY 2022

Burgan Bank announced its financial results for the fiscal year ending December 31, 2022, reporting Revenues of KD 232 million and Operating Profit of KD 125 million.

The strong growth in Net Interest Income and significant reduction in credit costs ensured that Burgan Bank produced a growth of 15% to deliver Net Income of KD 52.1 million.

Revenue levels remained stable, backed by a growth of Net Interest Income by 15% year-on- year, due to improvement in its Net Interest Margins by 30 bps, reaching 2.4% for 2022. This improvement was driven by rate hikes in Kuwait and improved margins in Burgan Bank Turkey.

Moreover, the Bank’s provision charges saw a significant improvement of 70% for the fiscal year 2022 compared to the performance in fiscal year 2021. This improvement underlines Burgan’s prudent risk practices across the Group and consequently, its credit costs for the year improved to 60 bps (as compared to 190 bps in 2021).

Burgan Bank continues to focus on delivering sustainable, long-term growth and operational resilience, according to the Bank’s Chairman, Sheikh Abdullah Nasser Sabah Al Ahmad Al- Sabah. “This year saw us make tremendous strides towards our strategic goals, whilst successfully delivering strong financial performance and solid returns to our shareholders. We are carrying substantial momentum into 2023, with clear development paths for our three core pillars of focus: sustainability, digitalization, and human capital development.”

“With an ambitious strategy in place, it is vital that we strike the right balance between mitigating risk and accelerating the pace of development.” added Sheikh Abdulla.