Al Salam Bank Reports Strong Q2 2025 Performance with 31.4% Profit Growth
Al Salam Bank has released its financial results for the first half of 2025, showcasing significant growth in profitability and key financial metrics.
Summary
Al Salam Bank's latest financial report reveals a 31.4% increase in net profits for Q2 2025, driven by robust core banking operations. The bank's financial health is underscored by increased total assets and equity, alongside a strong capital adequacy ratio. The report highlights sustained growth and strategic advancements in digital innovation and regional capabilities.
Al Salam Bank Reports Strong Q2 2025 Performance with 31.4% Profit Growth
Al Salam Bank (Bahrain Bourse Trading Code “SALAM”, Dubai Financial Market Trading Code “SALAM_BAH”) has announced its financial results for the second quarter of 2025, reporting a significant increase in net profits attributable to shareholders. The bank achieved a net profit of BD 18.8 million (USD 49.8 million) in Q2 2025, compared to BD 14.3 million (USD 37.9 million) in the same quarter of 2024, reflecting a 31.4% increase.
This impressive growth was primarily driven by the strong performance of the bank's core banking operations. Earnings per share also rose to 5.4 fils (USD 14.3 cents) in Q2 2025 from 4.6 fils (USD 12.2 cents) in Q2 2024. Total comprehensive income attributable to the owners of the bank increased by 7.1% to BD 14.6 million (USD 38.7 million) from BD 13.6 million (USD 36.1 million) in the previous year.
For the first half of 2025 (H1 2025), the bank reported net profits attributable to shareholders of BD 37.4 million (USD 99.1 million), up 32.1% from BD 28.3 million (USD 75.0 million) in H1 2024. Earnings per share for the six-month period increased to 11.1 fils (USD 29.5 cents) from 9.3 fils (USD 24.7 cents) in H1 2024. Total comprehensive income for H1 2025 reached BD 41.6 million (USD 110.4 million), a 4.5% increase from BD 39.8 million (USD 105.7 million) in the same period of the previous year.
Al Salam Bank's total shareholders’ equity rose by 11.6% to BD 402.5 million (USD 1.07 billion) as of June 30, 2025, compared to BD 360.5 million (USD 956.2 million) at the end of 2024. The bank's total assets increased by 10.7% to BD 7.82 billion (USD 20.74 billion) from BD 7.06 billion (USD 18.73 billion) at the end of 2024. Financing assets grew by 8.3% during H1 2025, reaching BD 3.97 billion (USD 10.52 billion), while customer deposits increased to BD 5.30 billion (USD 14.07 billion), a 7.1% rise from BD 4.95 billion (USD 13.14 billion) at year-end 2024.
The bank maintains a strong capital adequacy ratio of 25.2% as of June 30, 2025, highlighting its financial resilience and capacity for sustainable growth.
| KPI | Q2 2025 | Q2 2024 | Change |
|---|---|---|---|
| Net Profit (BD million) | 18.8 | 14.3 | 31.4% |
| Earnings per Share (fils) | 5.4 | 4.6 | 17.4% |
| Total Comprehensive Income (BD million) | 14.6 | 13.6 | 7.1% |
| Total Assets (BD billion) | 7.82 | 7.06 | 10.7% |
| Capital Adequacy Ratio | 25.2% | - | - |
The bank's leadership attributes this growth to strategic advancements in digital innovation and regional capabilities, positioning Al Salam Bank as a resilient financial institution amidst global market volatility. Looking ahead, the bank plans to deepen client relationships and explore opportunities in banking and asset management to fuel long-term, diversified growth.
Source
Summary
The financial data for Al Salam Bank B.S.C. includes various types of financing and placements, both Sharia-compliant and non-Sharia-compliant. Key figures in Bahraini Dinar (BHD) thousands are as follows: Placements with financial institutions amount to 523,699 with Sharia income of 14,255. Murabaha financing totals 1,262,182 with Sharia income of 43,054. Mudaraba financing stands at 618,839 with Sharia income of 17,742. Finance lease assets are 1,598,678 with Sharia income of 49,283. Musharaka financing is 30,681 with Sharia income of 931. Salam financing is 304,742 with Sharia income of 9,020, and Istisna financing is 125,596 with Sharia income of 3,606. Credit card figures are 24,389 with no Sharia income. Placements from financial institutions and individuals amount to 148,490 with a negative Sharia income of 5,009. Customers' current accounts total 1,468,183, and Murabaha term financing is 960,000 with a negative Sharia income of 21,206. The equity of investment account holders is 4,302,316 with a negative Sharia income of 72,787. The balance sheet and income statement are as of 30 June 2025.
