Bank of The Bahamas records $4.1 million net income in Q1 of its new fiscal year

Bank of The Bahamas records $4.1 million net income in Q1 of its new fiscal year

NASSAU, BAHAMAS — The Bank of The Bahamas saw a $4.1 million net income for the first quarter of its new fiscal year, a $1.6 million increase over the previous year.

Neil Strachan, the bank’s Managing Director commenting on BOB’s performance for the period ending September 30th  noted that the bank had recorded a net income of $4.1 million compared to the previous year’s first quarter net income of $2.5 million which he said depicts the bank’s continuous focus and progress.

“The bank’s total operating income grew by $2 million compared to the same period in the previous year. This improved performance is attributed to higher interest income derived from the Bank’s loan growth and investment of its excess liquidity. Furthermore, the Bank’s non-interest revenue contributed to the overall positive variance as the Bank recorded higher income from fees and commissions, merchant services, and prepaid cards,” Strachan noted.

“This first quarter financial performance was also positively impacted by the net impairment reversal of $0.4 million compared to a net impairment loss of $1.3 million for the same period in the prior year. Net impairment reversal is attributed to the note receivable balance where the Bank adjusted its provisions assumptions based on the interest payments performance, the economy, and its related positive indicators.”

Operating expenses increased by $2.2 million for the period, mostly due to employee and occupancy expenses, other administrative costs, banking and business licenses, and depreciation expenses. Regulatory and statutory license fees also increased along with additional building insurance and administrative expenses. 

Strachan reported that the bank’s financial position continues to be strong with total assets of $951.3 million, of which loans and advances, net accounted for $363.2 million as of September 30, 2023.