27 Feb 2018
The Bank achieved a net profit of USD 1.01 million, total revenues of USD 17 million and operating income of USD 2.9 million for fiscal year 2017. These encouraging results are attributable to successful exits from assets, operational revenues from real estate products, and internal streamlining and restructuring.
Commenting on the results, Ibdar Bank Chairman, Mr. Tareq Sadeq said: “I am pleased to report that 2017 saw Ibdar Bank return to profitability. The Bank has a clear business strategy and an experienced team, and I am confident that the new partnerships and business lines formed during 2017 are set to further positively impact the bottom line in 2018 and beyond.”
Chief Executive Officer, Mr. Ayman Sejiny, said: “It is the beginning of a new era for Ibdar Bank. We have implemented a turnaround strategy and are laying the foundation to become an Islamic finance leader based on digitisation and the use of the latest Fintech, and as such the Bank has set out a comprehensive plan to engage FinTech and cater to the needs of a Global Islamic Digital Economy (GIDE).”
In 2017 the Bank acquired the Headquarters of Amazon Robotics, a wholly owned subsidiary of Amazon Inc., sold a further three Q400 aircraft, marking the fourth aviation exit by the Bank within the last two years totaling 9 planes, monetized non-performing assets, and laid the foundation for the offering of Shari’ah compliant products and services for family offices and Awqaf entities.
Sejiny added: “While 2017 was a challenging year for the GCC economies, Ibdar Bank managed to recognise a profit of USD 1.01 million, marking the first million profits since the Bank’s merger, which is testament to the success of our turn-around strategy and a first reward for the team’s relentless effort. Our ultimate goal is to generate maximum value and annual profit for our shareholders guided by the Board of Directors and CBB regulations.”
Mr. Sadeq concluded: “2018 will see the Bank continue to enhance operating profitability by building on Ibdar’s track record and execution platform, and I am confident that the Bank is well placed to deliver the right opportunities to our investors, and build its reputation as one of the regions’ most ethical, innovative and results-driven Islamic financial institutions.”
Born out of the merger of three Bahrain-based Islamic investment banks (Elaf Bank, Capivest and Capital Management House), Ibdar Bank has since evolved into one of the largest Shari’a compliant investment banks in Bahrain. The Bank’s largest shareholder is Kuwait Finance House with a significant 30.08% interest. Ibdar Bank is engaged in Capital Markets, Treasury, Aviation, Real Estate, Asset Management, and Investment Advisory services.