Venture Capital Bank Hits US$ 9.3 Million Net Profit in 9 Months

10th November 2009

 

Venture Capital Bank (VCBank) announced positive total net profits for the third quarter at US$ 2.1 million, compared to US$ 7.5 for the same period last year. The total net profit for the period was US$ 9.3 million for the 9 months ending on 30th September 2009 compared to US$ 38.9 million for the same period in last year with total income for the period amounting to US$ 22 million while US$ 60 million were reported for the same period of last year. These results were announced following VCBank's Board Meeting held in its headquarters in Manama to endorse the financial result of the third quarter of current year.

Commenting on these results, VCBank Chairman Dr. Ghassan Ahmed Al Sulaiman said: 'Results of the 9 months of this year reflect the unshakeable stance of VCBank and its firm adherence towards our shareholders and investors in fostering our investment products which are capable of surmounting the economic crisis, thanks to the wise plan of VCBank Board in confronting this crisis and the internal corporate governance approved by the Board which has proven its effectiveness in handling such crisis.'

Dr. Sulaiman continued by saying: ' We should not forget that the whole world after laps of a year since the crisis has now gone through a primary economic recovery phase which leaves no other option than looking forward with caution while moving ahead with insight and sagacity in diversifying investment and studying various scenarios. Our goal is to safeguard the interests of shareholders and investors, as well as providing an ideal work climate for bolstering the growth of economies of our Arab Islamic communities by adding a new dimension on the Islamic work.'

From his side, VCBank Board Member and CEO, Mr. Abdullatif Mohammed Janahi commented by saying: 'In an atmosphere of speculation and conflict between optimism and pessimism, we have managed with Allah well to achieve total profits for the 9 months ending on 30th September 2009, amounting to US$ 22 million. VCBank s' assets reached US$ 263 million in September 2009, an increase of 12.9% compared to same period last year".

He added by saying: "The financial results have been achieved on basis of current market facts at a time in which global economy has witnessed the repercussions of the financial crisis and economic recession which have hit all countries of the world. We in, VCBank have adopted a policy of diversifying investments and exercised extreme caution in selecting ideal investment opportunities which bring high profits to shareholders and investors. On such basis, VCBank has pursued its unremitting efforts in building a solid investment base taking into account the professional controls and criteria applicable in this respect. We have deliberately applied the policy of reducing administrative and operational costs in harmony with requirements of the current situation".

The meeting was followed by a training workshop for VCBank members of the Board and Executive Management in risks management in implementation of Basel 2 Resolutions that members must be constantly aware of latest developments in risk management and current developments in global economic markets in light of the financial crisis. The workshop is part of the annual program of VCBank Board of Directors in organizing two workshops per annum to enable members to carry out their supervisory and controlling duties over bank activities.