Al Baraka Bank Egypt’s Profits Rise to EGP 4,295 Million by December 2024

In its financial report for the year ending December 31, 2024, Al Baraka Bank Egypt announced outstanding financial performance across all indicators, according to its standalone financial statements. This performance underscores the bank’s resilience and ability to implement effective strategies in response to market and customer demands. The bank continues to offer a wide range of Sharia-compliant products and services, reinforcing its position among Egypt’s leading banks.

On the financial front, the bank reported a net profit before tax of EGP 4,295 million, and a net profit of EGP 3,012 million after tax, reflecting a 35% growth compared to 2023. This strong performance is attributed to a significant increase in net interest income, which reached EGP 5,977 million, marking a YOY growth rate of 36.7%. Additionally, the total commissions and other revenues recorded EGP 1.1 billion, reflecting a growth rate of 78%, accounting for 15.8% of total operating income. This highlights the bank’s success in expanding its financial services and income streams.

As for the bank’s independent financial indicators, the Return on Average Assets (ROAA) reached 2.5%, and the Return on Average Equity (ROAE) stood at 27%. Total assets increased to EGP 127.8 billion, reflecting a growth rate of 27.2% compared to the end of 2023, while total equity reached EGP 12.6 billion, achieving a growth of 29%.

On the other hand, the portfolio of finances and facilities provided to clients continues to grow, reaching EGP 60.6 billion by the end of December 2024, an increase of EGP 16.9 billion, with a YoY growth rate of 38.6%, compared to the end of 2023. Meanwhile, total customer deposits amounted to EGP 106.6 billion, an increase of EGP 21.6 billion, reflecting a YoY growth rate of 25.4% compared to the end of 2023. This growth contributed to a financing-to-deposits ratio of 57%.

As part of the bank’s strategy to strengthen its portfolio of financing and credit facilities provided to clients, the total portfolio of financing and facilities granted to institutions reached EGP 48.1 billion, an increase of EGP 12 billion, with a YoY growth rate of 33% compared to the end of 2023. The portfolio of financing for large and joint companies saw an increase of EGP 10 billion, reflecting a YoY growth rate of 33%, reaching EGP 39.8 billion by the end of December 2024.

In the same context, the total portfolio of financing provided to individuals saw a notable increase during the year, reaching EGP 12.5 billion, an increase of EGP 5 billion compared to the end of 2023, with a YoY growth rate of 65%. The portfolio of credit cards provided to individuals amounted to EGP 243 million, reflecting a YoY growth rate of 305% compared to the end of 2023. Meanwhile, the portfolio of financing for small and medium-sized enterprises (SMEs) reached EGP 8.3 billion, an increase of EGP 2.1 billion, with a YoY growth rate of 33%.

Regarding the individual deposit portfolio, it witnessed a significant growth, recording EGP 62.7 billion by the end of December 2024, an increase of EGP 21 billion, with a YoY growth rate of 50.4%, representing 58.9% of the bank’s total customer deposits. Meanwhile, corporate deposits grew by EGP 551 million, with a YoY growth rate of 1.3%, reaching EGP 43.9 billion by the end of December 2024.

Commenting on this achievement Mr. Hazem Hegazy, CEO and Vice Chairman of Al Baraka Bank Egypt, stated: “The results of the 2024 fiscal year mark the culmination of a full year of sustainable achievements and carefully planned growth across various banking activities, reflecting the success of our strategy in expanding and enhancing operational efficiency, which contributed to achieving notable growth rates. We have focused on diversifying our Sharia-compliant banking services to meet the needs of all customer segments, while strengthening the bank’s position in the banking sector. As we enter 2025, we continue to work on developing our business and enhancing our competitive capabilities to ensure sustainable value for our customers and partners. We will also continue to invest in the development of our human resources and provide financial solutions that meet the aspirations of the banking market.”