Compelo Banking is using cookies

We use them to give you the best experience. If you continue using our website, we'll assume that you are happy to receive all cookies on this website.

ContinueLearn More
Close
Dismiss

Gulf Finance House Fourth annual net profit down 14%

GFH has reported a net profit of $291 million for 2008

Bahrain-based investment bank Gulf Finance House (GFH) has reported a net profit of $291 million for 2008, a decrease of 14%, compared to $340 million for 2007.

Earnings per share for 2008 were 37.01 cents, compared to 42.79 cents for 2007. Return on equity of 2008 stood at 31.62% and return on assets stood at 10.19%.

Gulf Finance House reported a loss of $10 million in the fourth quarter of 2008 primarily due to conservative provisions on investments. While annual profits have technically fallen, $84 million of the $340 million profits in 2007 were accounted for by the sale of 60% of GFH’s holding in Khaleeji Commercial Bank, a non-recurring exceptional item.

Khaleeji Commercial Bank, a wholly owned subsidiary of Gulf Finance House, has reported a net profit of BHD27.3 million or BHD27.58 per diluted share for 2008, an increase of 31%, compared to BHD20.8 million or BHD25.44 per diluted share for 2007.

Esam Janahi, chairman of GFH, said: While the fourth quarter proved challenging, it is important to view our results in the context of the global economic crisis. We’ve recorded a serious and competitive profit for the year in a difficult market. As a Sharia’a compliant bank we are not directly exposed to CDOs and similar asset classes and we continue to offer visionary investment opportunities in some of the world’s fastest emerging economies.