Bank Audi Publishes its Non-audited Consolidated Financial Results for H1 2021

Bank Audi published on 17/9/2021 its non-audited financial results for H1 2021. In its statement, Bank Audi said that “persisting excessive uncertainties arising from a lasting financial crisis since 2019, amid continuing absence of a clear national recovery plan, prevented Management to estimate in a true and fair manner, and as per IFRS, the adverse impact of those matters on the Bank’s financial position and equity, which it anticipates to be material”. The Bank added that “a number of measures have been taken to reinforce the Bank’s financial standing, of which most importantly the capital increase completed in 2020 and the sale of the operations in Jordan, Iraq and Egypt, and the investment in Syria. As a result, the Bank is in compliance with the regulatory requirement to increase its shareholders’ equity by 20%, as requested by the Central Bank of Lebanon”. Also, the “generation of an operating surplus that was fully allocated to loan loss allowances and to cover one-off losses tied to the crisis, within an adopted policy of allocation of all recurrent profits to provisions and to cover exceptional losses until the dissipation of uncertainties”.

After booking $6.73M in net impairment losses on financial assets, Bank Audi made losses of $106.67M at end June 2021, noting that $52.31M were made in net profits from the Bank’s discontinued operations. In terms of the balance sheet, assets stood at $28B at H1 2021, after registering $35.43B at end 2020. In the same period, deposits decreased from $21.42B to 20.57B; loans declined from $6.06B to $5.52B; and shareholders’ equity dropped from $2.95B to $2.75B

Bank Audi’s Financials

USD’000                         30-June-21     31-Dec-20

Loans to Customers     5,516,547      6,064,578

Customers’ Deposits   20,576,166    21,420,030

Total Equity                   2,751,195      2,950,859

Total Assets                  28,005,053    35,431,066

Net Income                   (106,677)                     0

Loan to Deposits %      26.8              28.3


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