Jun 2010 Financial News

FirstCaribbean International Bank records lacklustre results

Jun 04, 2010

The effects of the global financial crisis continues to wear on the revenues of financial institutions across the Caribbean. Continuing a sustained period of flat performance for the overall sector, First Caribbean International Bank (FCIB), which compiles its results in US dollars is reporting a one per cent or US$8 million ($705 million) increase in revenue over 2009.

Net income increased 9 per cent for the quarter ended April 30, 2010, to US$57.4 million. The day to day running of the bank resulted in a 27 per cent increase in income over the corresponding quarter last year spurred by lower mark to market losses and higher fee income. Net interest income fell predictably due to lower interest rates and average volumes, by almost 8 per cent but was offset by a 9 per cent drop in operating expenses.

A more cautious approach was taken to loans and advances to customers for the 2010 quarter with advances decreasing to US$6.6 billion ($583.8 billion) from US$6.88 billion ($606.4 billion) in the corresponding quarter of 2009. As a result there was a decrease in the provision for loan losses of 18 per cent which contributed to the company's net income before taxation of US$61.85 million or $5.45 billion.

"The bank continues to be well capitalised and remains poised to take advantage of future opportunities," said Chairman Michael Mansoor in a statement to shareholders.

FCIB bank operates in 17 regional markets and is headquartered in Barbados. It is the largest, regionally-listed bank in the English-speaking Caribbean, with assets of over US$10.9 billion and market capitalisation of US$2.5 billion.


Source:
Jamaica Observer
Friday June 04, 2010

http://www.jamaicaobserver.com/business/FirstCaribbean-International-Bank-records-lacklustre-results_7674932