Bank Audi’s Egyptian Subsidiary Registered Drop in Net Profit in 2017

According to financial statements released by Bank Audi, the bank’s Egyptian subsidiary recorded a 45.79% drop in net profits to $57.92 million. The statement of income reveals that the most notable decline came from “other operating income” which fell by an annual 95.31% to $3.89 million in 2016.

In fact, 2016 was an exceptional year and foreign exchange differences were responsible for elevating the bank’s other operating income and therefore the bank’s net profit; the latter however slid again after the Central Bank of Egypt devalued the Egyptian Pound in November 2016.

Administrative expenses also grew substantially by an annual 30.14% to reach $46.43 million in 2017.

The drop in profits did not come directly from the bank’s operations since both the net interest income and the net income from fees and commissions grew over the past year; net interest income grew by 27.64% to $107.99 million and net income from fees and commissions rose by a yearly 11.71% to $27.37 million.

As for the subsidiary’s balance sheet, it revealed a 1.41% annual uptick in total assets to $3.18 billion despite the 1.97% yearly slide in loans and facilities to customers to $1.67 billion. In fact, the bank’s subscription to treasury bills and governmental notes surged from $112.78 million in 2016 to $357.73 million in 2017.

As for total equity, it registered a 19.67% annual increase to $315.62 million in 2017.

Bank Audi Egypt – Financial Highlights

Total Assets            3,175,516,341            3,131,404,6671.41%
Loans and facilities to customers            1,667,798,771            1,701,236,620-1.97%
Customers’ Deposits            2,687,729,744            2,583,611,0574.03%
Total Equity               315,623,477               263,735,71419.67%
Net Interest Income         107,989,383.40                  84,604,52527.64%
Net Income from Fees and Commissions                  27,366,326                  24,498,02811.71%
Net Profit for the Year                  57,919,509               106,850,079-45.79%
Other Operating Income                    3,891,984                  82,941,327-95.31%
Administrative Expenses               (46,432,074)               (35,677,969)30.14%

Source: Bank Audi

Figures converted to USD based on 1 USD = 17.6258 EGP

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