Manama I 9 November 2022
Al Baraka Group BSC (“ABG” or “Group”) Bahrain Bourse trading code "BARKA" announced its financial results for the third quarter of 2022.
The Group announced a net income attributable to shareholders of the parent company of US$ 41 million in the third quarter of 2022, compared to US$ 34 million for the same period of 2021 (restated), marking an increase of 22%.
The basic and diluted earnings per share for the third quarter of 2022 was US Cents 3.41 compared to US Cents 2.8 in the third quarter of 2021 (restated).
The Group’s total net income increased by 50% to US$ 70 million in the third quarter of 2022 compared to US$ 46 million in the same period in 2021 (restated).
The total operating income recorded during the third quarter of 2022 was US$ 305 million, compared to US$ 220 million for the same period in 2021 (restated), registering an increase of 39%.
Financial Results for the Nine Months Ended September 30, 2022:
As for the financial results for the first nine months ending September 30, 2022, the Group achieved a net income attributable to equity holders of the parent company of US$ 126 million up from US$ 79 million for the same period in 2021 (restated), registering a growth of 59%. This was due to a better performance of the Group’s Units and significant contribution of income from financing and investment.
The basic and diluted Earnings per Share for the first nine months of 2022 was US Cents 9.09 compared to US Cents 5.26 for the same period of 2021 (restated). Meanwhile, the Group’s total net income was US$ 207 million during the first nine months of 2022, up from US$ 118 million in the same period of 2021 (restated), registering a growth of 75%. The increase in total net income was predominantly driven by higher revenue generation across most of the Group’s Units coupled with expense discipline.
The total operating income recorded during the first nine months ending September 30 2022 was US$ 974 million, compared to US$ 685 million for the same period in 2021 (restated), registering an increase of 42%. This was due to a better performance of the Group’s Units which led to an increase in income.
The equity attributable to the parent's shareholders and Sukuk holders amounted to US$ 1.31 billion by end of September 2022, compared to US$ 1.36 billion by end of December 2021 (restated). This reflected a decline of 4% due to the impact of negative foreign currency translation reserves. Meanwhile, the total equity increased by 1% to reach US$ 2.02 billion by end of September 2022, compared to US$ 2 billion by end of December 2021 (restated) due to an increase in non-controlling interest.
Local currencies’ devaluation against the US Dollar in many of the countries that the Group operates in has led to a 7% reduction in total assets to reach US$ 26 billion at the end of September 2022, compared to US$ 28 billion as of end of December 2021 (restated).
Commentary
Shaikh Abdullah Saleh Kamel, Chairman of the Board of Directors of ABG, stated: “We have continued to achieve solid results during the period, and we are pleased with our Units’ strong performance despite the challenges we have been facing in a number of markets in which we operate, with increasing geopolitical risks, rising inflation and higher cost of funding. Our strategy will continue to focus on markets that achieve higher returns for the Group”.
Mr. Houssem Ben Haj Amor, Group Chief Executive Officer and Board Executive Member of Al Baraka Group, said: "Our strong results reflect the efficient and successful operating model that we have, as demonstrated by the reduction of operating expenses to US$ 382 million in the first nine months of this year from US$ 391 million in the same period in 2021 (restated), despite the high inflationary pressures. We will continue to fulfill the financial needs of our customers by leveraging the full potential of Digitalization and adapting to the fast-changing behavior and financial needs of customers in a dynamic and challenging environment, and we look forward to even stronger results in the future”.
The Group announced a net income attributable to shareholders of the parent company of US$ 41 million in the third quarter of 2022, compared to US$ 34 million for the same period of 2021 (restated), marking an increase of 22%.
The basic and diluted earnings per share for the third quarter of 2022 was US Cents 3.41 compared to US Cents 2.8 in the third quarter of 2021 (restated).
The Group’s total net income increased by 50% to US$ 70 million in the third quarter of 2022 compared to US$ 46 million in the same period in 2021 (restated).
The total operating income recorded during the third quarter of 2022 was US$ 305 million, compared to US$ 220 million for the same period in 2021 (restated), registering an increase of 39%.
Financial Results for the Nine Months Ended September 30, 2022:
As for the financial results for the first nine months ending September 30, 2022, the Group achieved a net income attributable to equity holders of the parent company of US$ 126 million up from US$ 79 million for the same period in 2021 (restated), registering a growth of 59%. This was due to a better performance of the Group’s Units and significant contribution of income from financing and investment.
The basic and diluted Earnings per Share for the first nine months of 2022 was US Cents 9.09 compared to US Cents 5.26 for the same period of 2021 (restated). Meanwhile, the Group’s total net income was US$ 207 million during the first nine months of 2022, up from US$ 118 million in the same period of 2021 (restated), registering a growth of 75%. The increase in total net income was predominantly driven by higher revenue generation across most of the Group’s Units coupled with expense discipline.
The total operating income recorded during the first nine months ending September 30 2022 was US$ 974 million, compared to US$ 685 million for the same period in 2021 (restated), registering an increase of 42%. This was due to a better performance of the Group’s Units which led to an increase in income.
The equity attributable to the parent's shareholders and Sukuk holders amounted to US$ 1.31 billion by end of September 2022, compared to US$ 1.36 billion by end of December 2021 (restated). This reflected a decline of 4% due to the impact of negative foreign currency translation reserves. Meanwhile, the total equity increased by 1% to reach US$ 2.02 billion by end of September 2022, compared to US$ 2 billion by end of December 2021 (restated) due to an increase in non-controlling interest.
Local currencies’ devaluation against the US Dollar in many of the countries that the Group operates in has led to a 7% reduction in total assets to reach US$ 26 billion at the end of September 2022, compared to US$ 28 billion as of end of December 2021 (restated).
Commentary
Shaikh Abdullah Saleh Kamel, Chairman of the Board of Directors of ABG, stated: “We have continued to achieve solid results during the period, and we are pleased with our Units’ strong performance despite the challenges we have been facing in a number of markets in which we operate, with increasing geopolitical risks, rising inflation and higher cost of funding. Our strategy will continue to focus on markets that achieve higher returns for the Group”.
Mr. Houssem Ben Haj Amor, Group Chief Executive Officer and Board Executive Member of Al Baraka Group, said: "Our strong results reflect the efficient and successful operating model that we have, as demonstrated by the reduction of operating expenses to US$ 382 million in the first nine months of this year from US$ 391 million in the same period in 2021 (restated), despite the high inflationary pressures. We will continue to fulfill the financial needs of our customers by leveraging the full potential of Digitalization and adapting to the fast-changing behavior and financial needs of customers in a dynamic and challenging environment, and we look forward to even stronger results in the future”.