Financial statements of Bank of Maldives (BML) have revealed that in the first six months of 2012, the bank made a net profit of MVR40 million.
Financial statements for the second quarter of this year published yesterday show that MVR224 million was deducted as loan provision from operating profit of MVR263 million, resulting in MVR40 million net profit.
Loan provision is an expense set aside for loans which have no guarantee of repayment.
This is the first time since BML commenced setting aside loan provisions in February 2011, that the bank made a net profit.
Compared with the corresponding period of last year, this year’s second quarter net profit has increased by 15 percent. Also, interest income has increased from MVR223 million to MVR247 million, which is an increase of 11 percent.
CEO of BML Peter Horton said that their efforts to make BML profitable have been successful, and that the bank is now headed in the right direction.
With a net profit of MVR40 million, the bank’s earnings per share is at MVR14.89.