The National Commercial Bank (NCB) achieved net income of SR1,785 million for the first quarter of 2008, up 4.9 percent compared to the first quarter of 2007, the bank's Chairman Abdullah Salim Bahamdan said on Wednesday. The bank's operating income grew by SR353 million, an increase of 14.7 percent. Bahamdan said the bank has recorded a significant increase in its income from core activities. Net special commission income increased by SR183 million (11.6 percent), and fees from banking services increased by SR77 million (16.7 percent). He further said total assets increased by 28.6 percent to reach SR215,719 million by the end of 31 March 2008 compared to the end of 31 March 2007. Net loans and advances reached SR88,967 million, an increase of SR10,240 million (13 percent). Customers' deposits increased to SR143,950 million, an increase of 17.9 percent. He also pointed out that the bank's total shareholders' equity grew by 14.4 percent to reach SR28,880 million and the ratio of equity-to-assets stood at 13.4 percent, reflecting the bank's robust capital adequacy. Moreover, the bank maintained high profitability ratios as return on average assets (ROA) was 3.4 percent and return on average equity (ROE) was 25 percent, while earnings per share reached SR 1.18. In addition, operating efficiency improved which was reflected in the revenue-to-expense ratio (excluding provisions) that increased to 3.8 times. “The foundation of these excellent results is the strong level of trust that NCB has earned from its valued customers, the bank's broad range of products and services, and the deep commitment of the bank's management and staff,” he said. __
