Follow us on
muscatdaily socialmedia muscatdaily socialmedia muscatdaily socialmedia muscatdaily on tumblr muscatdaily on delicious

Al Omaniya net profit up 17% to RO5.65mn

Muscat - 

Al Omaniya Financial Services, Oman’s largest nonbanking financial company, said net profit after tax and provision came in at RO5.65mn for the year ended December 31, 2012, an increase of 17.08 per cent over the previous year. Announcing its audited results, the company said total revenues stood at RO17.05mn.

The company provided RO2.13mn as provision, with cumulative provisions at RO6.75mn. Al Omaniya posted earnings per share of 32bz, the highest in the industry. A press release said its loan book stands at RO205mn. The loan book grew 32 per cent for another industry record. On the basis of its performance, the board recommended a dividend of 25 per cent, comprising 20 per cent cash and five per cent compulsorily convertible bonus stock bonds, on the paidup capital for 2012.

Chief executive Aftab Patel said that the company has maintained its track record of paying uninterrupted dividend since its inception and the cumulative percentage of dividend paid so far is 303 per cent. The dividend is also the highest amongst all NBFCs in Oman. The book value of its shares is 232bz, another industry record. The company has a well-diversified portfolio of assets with the lowest non-performing asset ratio in the industry.

The company said it aims to strengthen its position as a specialised financial institution meeting corporate needs besides continuing the retail and micro-finance business. The company has been posting higher earnings and profitability over the years. The company has assets in excess of RO205mn and its nonperforming loan ratio, at 0.8 per cent, is the lowest in Oman's banking and non-banking sectors, reflecting the quality of its loan book, Patel added.

The audited results and dividend are subject to the approval of the CBO and the AGM. Moody’s Investors Service reaffirmed the company's global scale Ba3 local and foreign currency corporate family rating (CFR) with stable outlook.

Patel said this affirmation is not only gratifying but also a testimony to the fact of Al Omaniya being the largest NBFC in the sultanate. The company is expected to improve its performance and profitability in 2013 and maintain its No 1 position, Patel added.

muscatdaily columnists