MANAMA: Ithmaar Holding, a Bahrain-based holding company, reported profits for the first quarter of the year as it announced its financial results for the three-month period ended March 31, 2022.
The announcement, by Ithmaar Holding Chairman Prince Amr Al Faisal, follows the review and approval of the board of directors of the company’s consolidated financial results.
Ithmaar Holding reported a net profit attributable to equity holders for the three-month period ended March 31, 2022 of $1.14m, an 87.2 per cent decrease compared with the net profit of $8.86m reported for the same period in 2021. Total net profit for the three-month period ended March 31, 2022 was $6.47m compared with the net profit of $13.85m reported for the same period in 2021.
Earnings Per Share (EPS) for the three-month period ended March 31, 2022 were 0.04 cents, compared to 0.30 cents for the same period in 2021.
Operating income for the three-month period ended March 31, 2022 was $55.3m, a 14.7pc increase compared to the $48.23m reported for the same period in 2021.
Ithmaar Holding’s total owners’ equity stood at $29.22m as at March 31, 2022, a 22.6pc decrease compared to $37.76m as at December 31, 2021.
Accumulated losses, as at March 31, 2022, stood at $801.52m and amount to 106pc of the share capital. Total assets remained stable at $9.26bn as at March 31, 2022, 2.5pc higher than $9.03bn as at December 31, 2021.
At an extraordinary general meeting on March 17, 2022, Ithmaar Holding shareholders approved plans to sell some of the company’s key assets in Bahrain to Al Salam Bank. The assets include Ithmaar Holdings’ ownership stake in both BBK and Solidarity Group Holding as well as the consumer banking business of Ithmaar Bank, a Bahrain-based Islamic bank and a wholly-owned subsidiary of Ithmaar Holding.
As the plans were approved by Ithmaar Holding shareholders, the presentation of the underlying assets in the company’s consolidated financial statements have changed accordingly.
When the plans are implemented, Ithmaar Holding will retain a well-diversified portfolio of international and local financial and other assets, which include banking businesses in Bahrain and Pakistan.
Ithmaar Bank, which will remain a wholly-owned subsidiary of Ithmaar Holding, will continue as an Islamic bank that is licensed and regulated by the CBB and exclusively focused on corporate banking and related services, particularly the fast- growing SME, following approval of relevant authorities.
The assets and liabilities subject to the above transaction have been presented separately as ‘held-for-sale’ in the consolidated financial information in accordance with the relevant accounting standards.
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