1.2 million dinars in profits of Commercial Bank of Kuwait for the first half

Commercial Bank of Kuwait profits declined 88% in the first half of this year compared to the same period in 2019.

According to the bank's results for the Kuwaiti Stock Exchange today, Monday, profits for the period amounted to 1.2 million dinars, compared to profits of 9.81 million dinars for the first half of last year.

The bank said in a statement to the stock exchange that the decline in profits during the comparison periods was mainly due to the decrease in net interest income, fees and commissions, and net profit from foreign currency transactions and other operating revenues that were made. Partially offset by lower operating expenses, lower allowances for impairment and other provisions.

The bank recorded profits of 853 thousand dinars in the first quarter of this year, compared to a profit of 952 thousand dinars for the same period in 2019, a decrease of 10.4%. < / p>

The bank’s profits in the second quarter of this year amounted to 343 thousand dinars, a decrease of 96.1% from the same period last year which amounted to 8.857 million dinars. < / p>

On the impact of the Coronavirus pandemic on the financial results of previous periods, the bank said that the net decrease in the fair value of investments of 34 million dinars was recognized through other comprehensive income during The first six months of 2020.

He explained that the decrease in the fair value is mainly due to the combined effect of the emerging corona virus (Covid 19) and other factors related to market conditions.

With regard to the impact on debit balances, the bank clarified that the group has postponed the collection of consumer and installment loan installments as well as credit card installments due from April 1, 2020 until September 30, 2020, With the extension of the final term of loan maturity for a period of 6 months.

According to the statement, the delay in installments resulted in a loss of 13 million dinars as a result of modifications and changes to the original contractual cash flows, and this loss was recognized in the retained earnings.

net interest income also declined during the first half of the current year, as a result of the decline in basic interest rates in light of dealing with the Corona pandemic.

and fees and commission income declined during the period due to the decrease in the volume of business.

the bank said it had taken some ...