Kuwait's NBK Q2 net profit falls 4.5%; misses estimates

Country's biggest bank posts KD65.9m ($240.2m) net profit as against KD69m for same period last year
Kuwait's NBK Q2 net profit falls 4.5%; misses estimates
NBKs Chief Executive Ibrahim Dabdoub
By Reuters
Tue 12 Jul 2011 05:57 PM

National Bank of Kuwait (NBK), the country's biggest bank, posted a 4.5 percent drop in second-quarter net profit, missing analysts forecasts.

The lender reported net profit of KD65.9m ($240.2m) for the second quarter, compared with a net profit of KD69m for the same period last year, it said in a bourse statement on Tuesday.

Analysts polled by Reuters expected NBK to post a net profit of KD79.9m for the second-quarter.

The bank's total assets for the six-month period ending June 30 was KD13.7bn , compared with KD12.5bn in the same period last year, it said.

Goldman Sachs, started coverage of NBK earlier this year with "neutral" ratings, adding that government spending in the Gulf state is likely to drive loan growth in Kuwait.

In March, NBK's Chief Executive Ibrahim Dabdoub said the bank was delaying expansion plans due to regional unrest but said the company was eyeing loan growth of between 10 and 15 percent in 2011.

NBK shares ended flat on Tuesday prior to the announcement of results. They have lost 12.9 percent of their value so far this year.

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