MUSCAT, 5 February 2013 — Bank Muscat, the flagship financial services provider in the Sultanate, is hosting an investor meet at Muscat Securities Market (MSM) today (Wednesday 6 February) to discuss the bank's 2012 results and business prospectus for the year 2013. The meeting to be addressed by senior Management Team is open for shareholders, investors, the media and analysts from brokerage and investment companies.The bank achieved a net profit of RO 139.2 million for the year ended 31 December 2012 compared to RO 117.5 million reported for the year 2011, an increase of 18.5 per cent. The bank's operating income grew by 9 per cent with the support of increase in net interest income and non-interest income. Increase in loans and advances, lower cost funding and increase in fee income helped the bank to achieve strong operating results.
The return on average assets marginally improved to 1.84 per cent in 2012 from 1.79 per cent in 2011. The return on average equity also improved to 15.42 per cent in 2012 from 15.37 in 2011 in spite of increase in capital during the year reflecting the improvement in profitability of the bank.
The Board of Directors has proposed 40 per cent dividend, 25 per cent in the form of cash and 15 per cent in the form of mandatory-convertible bonds.
Bank Muscat pursues a strategic investor relations policy which has significantly enhanced its value. The bank regularly conducts investor meets to discuss the financial results and business outlook. This helps in building a stronger corporate governance and investor relationship culture in Oman.