Manama I 11 August 2022
Al Baraka Group BSC (ABG), Bahrain Bourse trading code "BARKA" announced today a net income attributable to shareholders of the parent company of US$ 45 million in the second quarter of 2022, compared to US$ 20 million in the second quarter of 2021 (restated), marking an increase of 126%.
The basic and diluted earnings per share for the second quarter of 2022 was US$ 2.42 Cents compared to US$ 0.35 Cents in the second quarter of 2021 (restated).
The Group’s total net income increased by 128% to US$ 74 million in the second quarter of 2022 compared to US$ 33 million in the same period in 2021 (restated).
The net operating income increased by 110% to US$ 227 million in the second quarter of 2022, compared to US$ 108 million in the same period last year (restated). The increase in net operating income was largely broad-based with contributions from investment and financing income.
Total equity increased by 1% to reach US$ 2.03 billion by end of June 2022, compared to US$ 2 billion by end of December 2021 (restated) due to an increase in non-controlling interest.
It is to note that, during the quarter ended 30 June 2022, the Group re-assessed, in terms of the requirements of FAS 23 – Consolidation, its relationship with Al Baraka Bank Syria (“ABS”), in which it holds directly and indirectly 29% of the ordinary share capital. Based on the reassessment, the Group concluded that it does not have control over the ABS. As a result, the management has restated the comparative figures to correct the consolidation error in the interim condensed financial statements for the period ended 30 June 2022 as prior year restatements.
Semi-Annual Results
Al Baraka Group’s net income attributable to the shareholders of the Group rose 86% to US$ 85 million, compared to US$ 46 million for the same period in 2021 (restated).
The Group has reported basic and diluted earnings per share of US Cents 5.68 for the first half of 2022 compared to US Cents 2.46 for the same period of 2021 (restated).
The equity attributable to the parent's shareholders and Sukuk holders amounted to US$ 1.31 billion by end of June 2022, compared to US$ 1.36 billion by end of December 2021 (restated). This reflected a decline of 4% due to the impact of foreign currency translation.
Foreign currency translation has led to a 6% reduction in total assets to reach US$ 26 billion at the end of June 2022, compared to US$ 28 billion as of end of December 2021 (restated).
As for the total operating income, it increased by 44% to reach US$ 669 million during the first half of 2022 compared to US$ 465 million for the same period in 2021 (restated).
Total net income grew 92% to US$ 137 million during the first six months of 2022, compared to US$ 72 million for the same period of 2021 (restated).
Commentary
Chairman of the Board of Directors of ABG, Shaikh Abdullah Saleh Kamel stated: “The global economic operating environment and current geo- political situation in some parts of the world still pose challenges, especially in a number of markets in which we operate. However, our results have been very good so far, and we plan to continue our focus on achieving even better results throughout the Group and its subsidiaries. We also look forward to achieving better efficiencies under our new license”.
Acting Group Chief Executive Officer of Al Baraka Group, Mr. Houssem Ben Haj Amor said: "Our new strategic approach towards our investments and our swift decision making have contributed to our solid results for this quarter. Currently, we are finalizing implementation of the last internal organizational steps related to the conversion of our license to a Category 1 Investment Firm license, and we look forward in the coming period to a more efficient and resourceful Group structure that will benefit all stakeholders”.
This press release in addition to the ABG financial statements are available on the Bahrain Bourse and Group website at: www.albaraka.com
About Al Baraka Group (ABG):
Al Baraka Group B.S.C is licensed as an Investment Business Firm – Category 1 (Islamic Principles) by the Central Bank of Bahrain and is listed on Bahrain Bourse, with its headquarters in the Kingdom of Bahrain.
ABG is a leading international Islamic financial group providing financial services through its banking subsidiaries in 16 countries, which in turn offer their services in retail, corporate, treasury and investment banking, strictly in accordance with the principles of Islamic Shari'a through more than 650 branches. The authorized capital of ABG is US$ 2.5 billion.
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The basic and diluted earnings per share for the second quarter of 2022 was US$ 2.42 Cents compared to US$ 0.35 Cents in the second quarter of 2021 (restated).
The Group’s total net income increased by 128% to US$ 74 million in the second quarter of 2022 compared to US$ 33 million in the same period in 2021 (restated).
The net operating income increased by 110% to US$ 227 million in the second quarter of 2022, compared to US$ 108 million in the same period last year (restated). The increase in net operating income was largely broad-based with contributions from investment and financing income.
Total equity increased by 1% to reach US$ 2.03 billion by end of June 2022, compared to US$ 2 billion by end of December 2021 (restated) due to an increase in non-controlling interest.
It is to note that, during the quarter ended 30 June 2022, the Group re-assessed, in terms of the requirements of FAS 23 – Consolidation, its relationship with Al Baraka Bank Syria (“ABS”), in which it holds directly and indirectly 29% of the ordinary share capital. Based on the reassessment, the Group concluded that it does not have control over the ABS. As a result, the management has restated the comparative figures to correct the consolidation error in the interim condensed financial statements for the period ended 30 June 2022 as prior year restatements.
Semi-Annual Results
Al Baraka Group’s net income attributable to the shareholders of the Group rose 86% to US$ 85 million, compared to US$ 46 million for the same period in 2021 (restated).
The Group has reported basic and diluted earnings per share of US Cents 5.68 for the first half of 2022 compared to US Cents 2.46 for the same period of 2021 (restated).
The equity attributable to the parent's shareholders and Sukuk holders amounted to US$ 1.31 billion by end of June 2022, compared to US$ 1.36 billion by end of December 2021 (restated). This reflected a decline of 4% due to the impact of foreign currency translation.
Foreign currency translation has led to a 6% reduction in total assets to reach US$ 26 billion at the end of June 2022, compared to US$ 28 billion as of end of December 2021 (restated).
As for the total operating income, it increased by 44% to reach US$ 669 million during the first half of 2022 compared to US$ 465 million for the same period in 2021 (restated).
Total net income grew 92% to US$ 137 million during the first six months of 2022, compared to US$ 72 million for the same period of 2021 (restated).
Commentary
Chairman of the Board of Directors of ABG, Shaikh Abdullah Saleh Kamel stated: “The global economic operating environment and current geo- political situation in some parts of the world still pose challenges, especially in a number of markets in which we operate. However, our results have been very good so far, and we plan to continue our focus on achieving even better results throughout the Group and its subsidiaries. We also look forward to achieving better efficiencies under our new license”.
Acting Group Chief Executive Officer of Al Baraka Group, Mr. Houssem Ben Haj Amor said: "Our new strategic approach towards our investments and our swift decision making have contributed to our solid results for this quarter. Currently, we are finalizing implementation of the last internal organizational steps related to the conversion of our license to a Category 1 Investment Firm license, and we look forward in the coming period to a more efficient and resourceful Group structure that will benefit all stakeholders”.
This press release in addition to the ABG financial statements are available on the Bahrain Bourse and Group website at: www.albaraka.com
About Al Baraka Group (ABG):
Al Baraka Group B.S.C is licensed as an Investment Business Firm – Category 1 (Islamic Principles) by the Central Bank of Bahrain and is listed on Bahrain Bourse, with its headquarters in the Kingdom of Bahrain.
ABG is a leading international Islamic financial group providing financial services through its banking subsidiaries in 16 countries, which in turn offer their services in retail, corporate, treasury and investment banking, strictly in accordance with the principles of Islamic Shari'a through more than 650 branches. The authorized capital of ABG is US$ 2.5 billion.
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