Kuwait Finance House Reports KWD 523.4 Million Net Profit

End of Q3 with 6.2% growth... Highest profits across the banking sector

Hamad Al-Marzouq:

The Group’s strong performance reflects the success of its strategy in achieving sustainable growth

Flexibility in dealing with economic and geopolitical changes and efficiency in risk management

Economic legislation and the business environment in Kuwait are positive factors for enhancing growth

Khaled Al-Shamlan:

Achieved profits confirm operational efficiency and flexibility in dealing with market changes

Revenue diversification and the Group’s geographic spread support growth and performance distinction

The Bank continues to develop its financing and credit capabilities and meet customer needs

The Board of Directors Chairman at Kuwait Finance House (KFH), Hamad Abdul Mohsin Al-Marzouq, announced that net profits attributable to shareholders reached KD 523.4 million by the end of the third quarter of 2026, representing a growth rate of 6.2% compared to the same period last year, marking the highest profits in the Kuwaiti banking sector.

Earnings per share amounted to 27.56 fils by the end of Q3 2026, up 5.4% compared to the same period last year.

Net financing revenues rose to KD 989.5 million by the end of Q3 2026, reflecting a growth rate of 4.8% compared to the corresponding period last year.

Total operating revenues also increased by the end of Q3 2026, supported by growth across all main activities, reaching KD 1,452.2 million, a growth rate of 6.7% compared to the same period last year.

As a result of expense control and cost rationalization, total operating expenses decreased by 3.0% compared to the same period last year.

Consequently, net operating revenues reached KD 1,004.7 million by the end of Q3 2026, achieving an 11.7% growth rate.

Due to the increase in total operating revenues and the decrease in total operating expenses, the cost-to-income ratio improved to 30.8% by the end of Q3 2026, compared to 33.9% during the corresponding period last year.

Financing receivables stood at approximately KD 23.4 billion by the end of Q3 2026, up 7.5% compared to the end of the previous year, while total assets reached KD 43.8 billion by the end of Q3 2026, representing a 2.4% growth compared to the end of the previous year.

Total shareholders’ equity reached KD 5.7 billion by the end of Q3 this year.

Customer deposits stood at approximately KD 22.7 billion by the end of Q3 2026, up 7.8% compared to the end of the previous year.

The capital adequacy ratio stood at 17.22%, exceeding regulatory requirements, reflecting the strength of the Bank’s capital base.

Al-Marzouq stated that KFH’s continued strong performance through the end of Q3 2026 confirms the success of its established strategy and its ability to achieve sustainable and balanced growth, enhance performance efficiency, and make optimal use of resources and assets, thereby consolidating the financial position and strengthening the Bank’s standing in the banking sector.

He added that the continued strong performance confirms the robustness of KFH’s business model, its flexibility in dealing with economic and geopolitical changes, alongside efficient risk management and adherence to the highest governance standards, noting that the results reflect a clear strategic approach based on responsible growth and maximizing value for shareholders and customers.

Al-Marzouq clarified that the group’s strategy takes a long-term perspective on the future, aiming to build sustainable value and enhance the bank’s competitiveness and capacity for continued growth. This is achieved through investing in business and service development, accelerating digital transformation, improving operational efficiency, and developing human capital.

He affirmed that Kuwait Finance House (KFH) will continue to steadily implement its strategic plans, relying on the strength of its financial position, the diversification of its business activities, and its accumulated expertise, while maintaining a responsible growth approach and reinforcing its role in supporting the national economy, thereby consolidating the trust the bank enjoys among its shareholders, clients, and the community.

Al-Marzouq pointed out that developments in Kuwait’s business environment, along with supportive legislative and regulatory steps for economic and financial activity—such as the Real Estate Financing Law, the Sukuk Law, and previously, the law on borrowing from the Future Generations Reserve and the Financing and Liquidity Law—represent positive factors for enhancing the capacity of the private sector and financial institutions to grow and contribute to economic development. He highlighted the importance of the Sukuk Law, as it enables the addition of a Sharia-compliant sovereign financing instrument, helps expand the investor base locally and internationally, and builds an Islamic sovereign yield curve that will support future corporate and financial institution issuances.

He emphasized KFH’s commitment to continuing its support for national initiatives and projects with strategic impact, which enhance integration between state institutions and the private sector, contribute to serving the national interest, and support the path of sustainable development in Kuwait. He noted the implementation of several strategic community and national initiatives, such as supporting the national initiative launched by the Kuwait Fund for Arab Economic Development to establish the “Kuwait Emergency Response Fund,” through a financial contribution of $13 million, as well as an additional contribution of $6 million to repair damaged power stations.

For his part, Khaled Yousef Al-Shamlan, CEO of the Kuwait Finance House Group, stated that the strong performance achieved by the bank through the end of the third quarter of 2026, accompanied by continued profit growth, confirms the group’s operational efficiency and the robustness of its business model and its ability to deliver strong and sustainable results, despite the economic and geopolitical conditions facing the region and Kuwait. This performance is supported by high operational efficiency and flexibility in dealing with market changes.

He added that the diversification of revenue sources and the geographic distribution of the group’s business, which extends to 10 countries worldwide through a network of more than 600 branches, represents one of the factors supporting performance stability and revenue enhancement, alongside the bank’s continued development of its financing and credit capabilities to meet the needs of individual and corporate clients.

He affirmed that Kuwait Finance House continues to achieve qualitative milestones in digital banking services, noting that the bank has provided an integrated digital transformation model based on a clear strategic vision focused on the customer and delivering tangible operational results. He pointed out the execution of more than 600 million digital transactions in one year and the provision of more than 200 integrated digital services via KFHonline, which has strengthened the position of digital services as a primary banking option for customers.

He noted that the bank’s outstanding performance was also reflected in its continued accumulation of international accolades and awards, most notably its ranking as the best-performing bank in Kuwait in the “Top 100 Arab Banks” list for 2026, published by The Banker magazine. In addition, the group received Euromoney awards in the areas of wealth management, environmental, social and governance (ESG) practices, and digital banking, alongside Global Finance’s award for “Best Islamic Bank in the World” and MEED’s award for “Best Digital Bank in Kuwait,” along with numerous other global recognitions that underscore the bank’s leading international standing.