Barclays Bank Egypt announced its Q3-2013 financial results where Profit after stood at EGP 325 M, 49% ahead of same period last year. Despite the challenging economic and political situation, profits increased, driven by robust performance across all lines and segments. "The largest contributor to our improved profitability is growth of 12% on net interest income which reached EGP 756 M versus EGP 677 M in 2012, in addition to an increase in the net commission income by 26% and a drop in impairment charges of LE 48M to reach EGP 31 M, 60% less than 2012, in spite of the negative effects of the credit rating downgrade. Furthermore, Barclays Bank Egypt continued its focus on improving efficiency and cost control which was reflected in achieving a cost–income ratio of 41% vs 48% FY 2012, with continuing to apply salary increase, investment in systems, infrastructure and people" said Mohamed Sherif, Barclays Bank Egypt's Board member, and Finance Director. With the aspiration to be one of the top financial institutions in Egypt, Barclays is achieving accelerated progress towards delivering sustainable performance and reaching aspired goals. This is evidenced by an increase in net profit after tax growth in corporate closing Q3 2013 with EGP 93M versus a loss of EGP 16M in Q3 2012, and treasury closing in Q3 2013 with EGP 213M versus EGP 173M in Q3 2012. BBE achieved a Return on Equity of 16% vs 12% FY 2012, and maintained the Return on Assets of 2%, Return on Risk Weighted assets reached 5% vs 3% over the same period last year which reflects improvement in risk management. On the efficiency front, BBE has improved operating leverage which showed a growth of 8% from 7% in Sep 12 to reach 15%. This is an indication(need to be reviewed against the Arabic version) of the efficiency in managing revenues growth vs increase in cost On the governance & capital adequacy front, BBE is sufficiently capitalized with a capital adequacy ratio sufficiently in excess of the regulatory requirement. Loans to deposit ratio came at 41%. BBE is committed to enhance the LDR (please illustrate more) and grow the Balance Sheet through syndications, medium and long term loans. New retail liability accounts increased by 19% where BBE offered the new unlimited account providing a large variety of benefits to the customers. A mega campaign took place and is expected to grow customer deposits in the near future after it has been reduced temporarily throughout the year. "At Barclays Egypt, we believe that the best way to support the wide range of our stakeholders is by running a strong, profitable and growing business, which creates jobs and contributes to our communities. In our view, that is the basis for being a force for good. We are not solely interested in contributing to growth today, but we also want to help individuals, businesses and economies progress in ways that will contribute to sustainable growth tomorrow." said Marks- Barclays Bank Egypt Managing Director. "It is likely that the challenging environment will continue, and we know that we have a lot more work to do. But as we adjust and respond to the changes in our markets and workplace, we must remain focused on the foundations of our future strategic priorities by creating synergies between our main segments; retail and corporate business", Marks concluded.
