Egypt's CIB reports 17 pct rise in Q1 net profit

Revenue rose 4 percent to 2.63 billion pounds while standalone deposits increased by 9 percent to 169 billion pounds.

People and vehicles are seen in front of the National Bank of Egypt (NBE), also known as the Al Ahli Bank, in the Fifth Settlement districts of New Cairo March 30, 2013. 

Commercial International Bank (CIB), Egypt's largest-listed company, reported a 17-percent rise in first-quarter net profit helped by improved interest margins.

Net profit rose to 1.29 billion Egyptian pounds for the three months to March 31 from 1.1 billion a year earlier, it said in a statement to the bourse on Sunday.

Revenue rose 4 percent to 2.63 billion pounds while standalone deposits increased by 9 percent to 169 billion pounds.

“Key business metrics improved in the face of large moves in interest and currency exchange rates," the bank said, noting a year-end 50-basis-point rate hike had helped raise EGP net interest margins to over 7.3 percent.

CIB is in the process of selling investment banking arm CI Capital to Beltone Financial and has approved a further two-week extension for the offer. The offer will now expire on May 26, it said in a statement on Sunday.

In February, CIB signed a deal to sell CI Capital to Beltone, a unit of billionaire Naguib Sawiris' Orascom Telecom, for 924 million pounds but the deal has stalled pending regulator approvals.

CIB said its standalone net interest margin was 5.81 percent, generating income of 2.27 billion pounds.

Its standalone gross loan portfolio was 67.3 billion pounds, up 4.4 billion.

Standalone non-performing loans represented 4.68 percent of the gross loan portfolio.