Al Salam Bank Grows Net Profit 20.4% in First Nine Months of 2026, Backed by Sustainable Earnings and Strong Liquidity

MANAMA, Bahrain, November 10th, 2026, FinanceWire

MANAMA, Bahrain, November 10, 2026 (EZ Newswire) -- Al Salam Bank (Bahrain Bourse: SALAM; Dubai Financial Market: SALAM_BAH) announced record profitability for the nine months ended Sept. 30, 2026, built on sustainable earnings, a strong liquidity position, and a consistently growing capital base.

Net profit attributable to owners of the bank increased 20.4% to $185.8 million for the first nine months of 2026, from $154.3 million for the same period of 2025. Reflecting the group's consistent focus on the quality of its earnings, diversified revenue streams from core banking activities and regional operations continued to drive growth in net finance income, net fees and commissions, and share of profit from associates. Income from sukuk also increased by 19.1% to $232.3 million, and net fee and commission income grew 16.6% to $63.2 million, further supporting net profit growth.

The nine-month results extend a consistent upward trajectory in the group's profitability, with nine-month net profit increasing in each of the past six years. Delivered through shifting monetary policy cycles and regional market conditions, the record performance underscores the resilience of the group's earnings base and the scalability of its business model. Net profit attributable to owners of the bank for the first nine months has increased more than eightfold from $21.4 million in the same period of 2020, reflecting a compound annual growth rate of 43.4%. Higher earnings translated into stronger returns for shareholders, with return on average equity (ROAE) rising to a record 17.2% from 16.4% in the first nine months of 2025, and return on average assets improving to 1.3% from 1.1%. Over a longer horizon, ROAE has increased more than fourfold from 3.5% in 2020, reflecting the transformation of the Group's scale, efficiency, and sustainable earnings capacity over that period.

Revenue diversification across the group advanced during the period through ASB Capital, the group's investment and asset management platform. ASB Capital broadened its product offering with the launch of the ASB Liquidity Fund, the ASB Principal Multi-Asset Fund, and the ASB StepStone Private Financing Fund. It also strengthened its debt capital markets franchise, participating in seven transactions across Saudi Arabia and Kuwait with an aggregate issuance size of $6.3 billion.

Total assets closed the quarter at $21.47 billion, reflecting the group's continued focus on optimizing balance sheet allocation and asset quality. Financing assets stood at $10.65 billion, while customer deposits increased to $14.58 billion, backed by a stable and diversified funding base.

The group's capital base continued to grow, while liquidity remained strong. Equity attributable to owners of the bank increased 5.9% to $1.30 billion as of Sept. 30, 2026, from $1.23 billion at year-end 2025. Reflecting consistent internal capital generation, equity attributable to owners of the bank has expanded 74.4% from $744.7 million in 2020. The consolidated capital adequacy ratio closed the quarter at 24.9%, providing ample capacity to support the group's future growth initiatives. The average three-month liquidity coverage ratio stood at 269.3% and the net stable funding ratio stood at 124.1% as of Sept. 30, 2026, both well above the regulatory minimum.

Commenting on the results, His Excellency Shaikh Khalid bin Mustahail Al Mashani, Chairman of Al Salam Bank, said: "Al Salam Bank's record performance over the first nine months of 2026 reinforces its standing as a leading regional financial group, a position earned through results rather than aspiration. By leveraging its established strengths and deploying capital where it creates the most value, the group has improved the quality of its earnings and strengthened its strategic direction. As the year draws to a close, we remain committed to maintaining our financial strength and to delivering sustainable returns for our shareholders."

Rafik Nayed, group CEO of Al Salam Bank, added: "Al Salam Bank has made steady progress amid shifting regional conditions. Our priorities remain to optimize the balance sheet and broaden our revenue drivers across banking, asset management, takaful, and our regional exposures. We remain focused on execution and efficient capital allocation as we continue to develop the group's diversified operating model."

The full set of condensed consolidated interim financial information for the nine-month period ended Sept. 30, 2026, reviewed by external auditor KPMG, is available on the Bahrain Bourse and Dubai Financial Market websites.

Forward-Looking Statements

Certain statements in this press release constitute forward-looking statements regarding Al Salam Bank's future business prospects, financial performance, strategic growth, balance sheet optimization, and operating model development. Words such as "anticipates," "believes," "expects," "remains committed," "priorities," and similar expressions identify forward-looking statements. These forward-looking statements reflect management's expectations, assumptions, and projections as of the date hereof and are subject to risks, uncertainties, and economic changes — including market conditions, regional regulatory shifts, interest rate fluctuations, and monetary policies — that could cause actual operational and financial results to differ materially from those expressed or implied. The bank undertakes no obligation to publicly update or revise any forward-looking statements to reflect subsequent events, new information, or future developments, except as required by applicable securities laws.

Important Disclosures

This document is published solely for informational purposes and does not constitute, form part of, or contain an offer, solicitation, invitation, or recommendation to buy, sell, subscribe to, or underwrite any securities, investment funds, sukuk, or other financial and banking instruments in any jurisdiction. It does not provide, nor should it be construed as, financial, investment, legal, or tax advice. Prospective investors should consult independent professional advisers and review relevant offering documentation before making any investment decision regarding securities or funds referenced herein, including products managed by ASB Capital.

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SOURCE: Al Salam Bank

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