Sohar International has reported strong growth in review of its annual financial report, noting 15.9 per cent growth in net profit, achieving RO29.366mn by the close of business on December 31, 2018, a rise from RO25.331mn in 2017. The bank’s board of directors recommended a cash dividend of 6 per cent for the year, corresponding to 6 baisas per share.

Furthermore, net interest income during the year increased by 18.7 per cent to RO56.651mn, compared to RO47.721mn in 2017. Operating income for the year increased to RO94.438mn, an increase of 23.6 per cent as compared to RO76.416mn in 2017. The operating profit also rose by 31.1 per cent to RO54.55mn from RO41.62mn in the previous year. Net loans and advances amounted to RO2.25bn as of December 31, 2018, an increase of 7.3 per cent compared to 2017. Customer deposits further increased to RO1.81bn in 2018, a rise of 10.7 per cent from RO1.64bn in 2017. The bank’s share of private sector credit increased to 10.3 per cent as at November 2018 from 10.1 per cent in December 2017, while its share of private sector Deposit was 7.98 per cent in November 2018 compared to 8.45 per cent as at December 2017.

Commenting on the bank’s performance, Mohammed Mahfoudh Al Ardhi, chairman of Sohar International, said, “I am very pleased and honoured to announce that despite the challenges and the changes we witnessed during 2018, we successfully implemented our planned transformation and concluded the year with remarkable financial achievements. Last fiscal year was pivotal in the history of Sohar International, as we embarked on a new journey with a fresh vision to enable new avenues to continue growing as a world-leading Omani service company whilst delivering a robust contribution to the national economy.”

Successfully navigating business challenges throughout 2018 and retaining market confidence, the impressive financial performance of the organisation is a testament to its strong capabilities to continue capitalising on market opportunities and deliver on its promise to offer responsive banking services to the customer’s ever changing world.

Ahmed Al Musalmi, CEO of Sohar International, said, “We remain highly committed to moving forward with plans that will raise the bar on customer centricity and excellence in accordance with our ambitious five-year strategic agenda. The business continues to grow with laser sharp focus on our objectives aligned with Oman’s socioeconomic development plan. Our globalising culture precipitates that our workforce will be sharp, human, and unstoppable in everything that we do, guided by principles that truly convey more velocity, more vision, and more value to all stakeholders. On behalf of the executive management team, I express my most sincere thanks and appreciation to our board for their continued support, our shareholders for their trust, our customers for their loyalty, our employees for their unparalleled dedication and to the regulators and authorities for their continued guidance and support.”

The bank’s fiscal achievements build on its well-established strong market position that has earned it the accolade of the fastest growing bank in the Sultanate, as well as on many strategic changes that were introduced in 2018 to address short term priorities and lay the foundation for bigger transformational changes in 2019 and beyond.