Gulf Bank Posts 41.9 Million Dinars in 9 Months, Up 9.1%

Gulf Bank announced its financial results for the nine months ended September 30, 2026. The bank recorded a net profit of KD 41.9 million, an increase of KD 3.5 million, or 9.1%, compared to a net profit of KD 38.4 million during the same period in 2025. The bank also reported operating revenues of KD 143.1 million for the first nine months of 2026, representing a 1.8% increase compared to the same period last year.

Regarding the results for the third quarter ended September 30, 2026, Gulf Bank achieved a net profit of KD 14.4 million and operating revenues of KD 48.8 million, broadly in line with levels recorded during the same period of the previous year.

The improvement in net profit for the first nine months of 2026 was driven by a KD 3 million (2.7%) increase in net interest income, alongside an improvement in total provisions and impairment losses, which decreased by KD 6.9 million, or 24%, compared to 2025. This improvement was partially offset by a KD 5.7 million rise in operating expenses, as well as a slight decline in non-interest income.

Regarding asset quality, the non-performing loans (NPL) ratio stood at 1.2% as of September 30, 2026, down from 1.4% in the previous year. The bank maintained a high coverage ratio for NPLs at 334%, inclusive of total provisions and collateral. Total credit provisions amounted to KD 252 million as of September 30, 2026. Under the requirements of International Financial Reporting Standard 9 (Expected Credit Losses), the bank’s provisions stood at KD 163 million, indicating a surplus of additional provisions amounting to KD 89 million, which significantly exceeds the IFRS 9 requirements.

Compared to December 31, 2025, total assets increased by 2.4% to reach KD 7.9 billion, while net loans and advances rose by 7.0% to KD 6.3 billion. Total deposits remained stable at KD 5.7 billion. Total shareholders’ equity stood at KD 860 million. The bank’s Tier 1 capital ratio was 13.7%, which is 270 basis points above the minimum regulatory requirement of 11%. The total capital adequacy ratio was 15.7%, also exceeding the minimum regulatory requirement of 13% by 269 basis points.

Commenting on the financial results for the first nine months of 2026, Ahmed Mohammed Al-Bahar, Chairman of the Board of Directors of Gulf Bank, stated: “Gulf Bank delivered positive performance during the first nine months of 2026, with net profit reaching KD 41.9 million, an increase of 9.1% compared to the same period in 2025. These results highlight the strength of our operations, our ability to navigate changes in the business environment, and our commitment to implementing the bank’s strategic direction.”

Al-Bahar added: “During the third quarter, Kuwait continued its firm focus on driving the economic reform agenda and achieving its long-term national priorities, despite uncertainties associated with regional conflicts. We are optimistic about the momentum achieved during this period, particularly the progress in developing the regulatory framework for the mortgage financing law and the qualification of 22 consortia under the Real Estate Developer Program. These initiatives represent a significant step toward meeting housing needs in Kuwait, stimulating market activity, and creating new opportunities for the banking sector in the coming years.”

He concluded his statement by saying: “As we approach the end of 2026, we look forward to building on the progress achieved during the year and moving forward with the implementation of the Bank’s key strategic initiatives. The robustness of our public budget, alongside significant achievements across several priorities, forms a solid foundation for the next phase of Gulf Bank’s growth journey.”

For his part, Acting CEO Sami Mahfouz stated: “Our performance reflects the success of implementing our strategy and the strength of Gulf Bank’s core business in achieving sustainable and tangible growth. The Bank has maintained business momentum, driven by strong growth in corporate lending, while continuing to enhance the customer experience and develop our digital services. These efforts have contributed to supporting the continuous growth of our public budget during the first nine months of 2026. Net loans and advances rose by 7.0% to KD 6.3 billion, while total assets increased by 2.4% to KD 7.9 billion. This expansion was achieved while maintaining asset quality strength and credit discipline.”

Mahfouz added: “The third quarter marked an important milestone in Gulf Bank’s strategic transformation journey. Following the completion of necessary regulatory and operational preparations, the Bank submitted its application to the Central Bank of Kuwait to proceed to the next phase of its transformation into a Sharia-compliant bank. This achievement reflects significant progress across various business lines and represents a pivotal step toward expanding our product offerings and delivering greater value to all our partners. In the coming phase, we look forward to continuing the next steps of the transformation process, alongside supporting business growth in the Bank’s key sectors.”

Leading global credit rating agencies renewed their recognition of Gulf Bank’s strong financial position and operational resilience. Fitch Ratings affirmed the Bank’s long-term issuer default rating at ‘A’ with a stable outlook. Moody’s Investors Service affirmed the Bank’s long-term deposit rating at ‘A3’ with a stable outlook. Capital Intelligence also affirmed the Bank’s long-term foreign currency rating at ‘+A’ with a stable outlook. These ratings underscore the Bank’s stability and sound risk management practices.

During the third quarter of 2026, Gulf Bank continued to receive prestigious awards in recognition of its commitment to innovation and excellence in customer service. It won several regional awards from Asian Banking & Finance, including the ‘Best Loyalty and Rewards Programme’ award, the ‘Branch Innovation’ award, and the ‘Best Product for Gen Z’ award, reflecting the Bank’s ongoing dedication to enhancing the customer experience and delivering innovative banking solutions.