Adoption of the Final Financial Statements for 2015 and Distribution of Dividends by 32% 

Marto: Pretax Profits were JD 177 million in 2015 and performance indicators confirm the solvency of the Bank

The General assembly of the Housing Bank's shareholders approved in its ordinary meeting on 21/4/2016 on the report of the board of directors and adopted the financial statements for 2015 and the future plan for 2016. The general assembly approved the Board's recommendation to distribute dividends to shareholders by 32% of the share nominal value.

Michel Marto, the meeting's chairman, gave a speech about the Bank's achievements in 2015, stating that the Bank Group achieved during 2015 profits exceeded those achieved during the last year, despite the continuing difficult challenges that accompanied political and economic conditions that took place in most of the countries in the region.  Pretax profits were JD 177 million (highest since establishment) compared to JD 162.1 million in 2014; with an increase of 9.2% and net post-tax profits were JD 124.7.9 million compared to JD 123.9 million last year. The reason behind the increase of post-tax profits is basically for the increase of income tax by 16%, with an increase from 30% in 2014 to 35% as of the beginning of 2015. With these results, equity reached JD 1039 million.

Marto added that the Bank Group achieved growth in most items of the balance sheet, where the assets' balance amounted to JD 7.9 billion; with an increase of 4.3% compared with the end of 2014. Client deposit balances amounted to JD 5.8 billion; with an increase of 6.4% and total credit facilities portfolio balance was JD 3.8 billion; with an increase of 26.8%.

These results were positively reflected on a number of key performance indicators of the Bank, thus strengthening the financial solvency and capital base, and the safety and quality of credit and investment portfolios. The percentage of capital adequacy was 17%, and the liquidity ratio amounted to 145%, which is higher than the ratios required by the Central Bank of Jordan. Post-tax return on assets and post-tax return on equity were 1.6% and 12% respectively. Non-working debts decreased to 4.8%, and provision coverage of non-working debts increased to reach 112% compared with 107% in 2014. The loan-to-client deposit ratio was 60% approximately.

In the area of foreign bank activity, the Bank's external branches in Palestine and Bahrain, and subordinate banks in Algeria and Britain showed good performance. International Bank for Trade and Finance, a subordinate bank in Syria, kept a good and balanced financial position, noting that all profits achieved at the Bank were taken for provisions for more hedges. Representation offices in Iraq, UAE, and Libya continued to play a distinct role in the marketing of the Bank's services through the promotion of relations with customers "individuals and companies" in these countries.

Marto gave a speech before the general assembly saying that with prudent policies that are applied, the Bank continued to maintain advanced positions in the Jordanian banking sector, with the first rank in volume of saving deposits. The Bank acquired a good share of total assets with a percentage of 15%, and a share of 15.5% of client deposits, and 13.6% of direct credit facilities. The market capitalization of the Bank's shares amounted to JD 2.4 billion by the end of 2015 constituting 13.2% of the total market amount of companies' shares listed on the Amman Stock Exchange.

In internal and external expansion, the Bank is keen to continue the improvement of quality level through the improvement of different distribution channels. Operating branches in Jordan are currently 129 branches with the support of 215 ATMs, thus maintaining a lead in the banking sector with these two indicators. Local and foreign branches of the Bank's Group reached 181 branches, as well as representative offices in Iraq, UAE, and Libya.

On the other hand, Marto appreciated that the Bank continues its social responsibilities in a planned and purposeful manner. The Bank during 2015 provided many initiatives to support activities of humanitarian and social nature. Sponsorship, support, and donations were provided for many institutions that target the service and development of CSOs in various activities and objectives.

At the end of the speech, Marto directed thanks and appreciation to the Central Bank of Jordan and the Jordan Securities Commission. He also made special thanks to the Bank's shareholders, clients, executive management, and employees. Marto stated before the general assembly of shareholders after the meeting of the assembly that he resigned from the directorship with effect from 21/4/2016, as a response to the instructions for corporate governance issued by the Central Bank of Jordan and in order for the Board to provide a number of independent members.  Finally, Marto wished continued success and prosperity of the Bank to serve Jordan under the leadership of His Majesty King Abdullah II Ibn Al-Hussein, patron of the construction and modernization process, may Allah protect and bless him.