BLOM Bank published on 10/11/2023 its consolidated but un-audited financial results for Q3 2023. The results obtained were naturally affected by the impact of the still-ongoing financial and economic crisis that has struck Lebanon since October 2019. Net profits came to $4.143million, lower by 5.19% than the same period last year. In addition, BLOM booked negative $169.4 million in provisions for expected credit losses against positive $3.9 million booked in Q3 2022.
In terms of balance sheet items, assets stood at $18.59 billion, lower by 27.92% from end year 2022; deposits were $16.62 billion, lower by 18.68%; loans decreased to $1.07 billion, less by 37.68%; and shareholders’ equity stood at $1.27 billion, down by 59.53%.
BLOM Bank is required to comply by all BDL circulars as stipulated in the Code of Money and Credit, especially article 208. As a result, the Bank has complied by these circulars when calculating expected credit losses in accordance with the specified ratios listed in Appendix 6 of BDL circular number 44, and as amended by the intermediate circular number 543 issued by BDL on February 3rd, 2020. It is necessary to point out that the deteriorating economic and monetary situation in the markets, and the continued absence of agreement on an adequate financial rescue plan, makes it very difficult to estimate the negative effect of the current crisis on the Financial Statements according to the International Accounting Standards.
BLOM Financials:
| USD’000 | 30-Sep-22 | 30-Sep-23 | ||||
| Loans to Customers | 1,974,152 | 1,068,042 | ||||
| Customers’ Deposits* | 19,519,640 | 16,615,146 | ||||
| Total Equity | 3,123,953 | 1,266,807 | ||||
| Total Asset | 25,240,675 | 18,589,722 | ||||
| Net Income | 4,370 | 4,143 | ||||
| Loans / Deposits ratio | 10.11% | 6.43% |
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*Includes Debt issued and Other Borrowed Funds