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APICORP posts H1 net income of $52mn

MUSCAT: The Arab Petroleum Investments Corporation (APICORP), a multilateral
financial institution, announced on Tuesday its financial results for the first six
months of the year ending on June 30, 2022.

APICORP continued its post-pandemic growth with major financial and
operational achievements against a backdrop of market volatility and inflation
concerns that have sparked significant rates hikes and asset pricing fluctuations
globally. At the end of the first half of 2022, APICORP recorded a net income of
$52mn, a 67 per cent y-o-y increase. The Corporation’s balance sheet marginally
grew by 3 per cent y-o-y to USD8.26bn. Net income from operations grew
significantly to $97.9 million in H1 2022 from $40.7mn in H1 2021

APICORP’s Treasury assets reached $2.9bn, representing an increase of $712mn
or 32 per cent y-o-y rise. This was attributed to good opportunity available in
money market placements and lower cost of funding for short-term borrowings.

Moreover, Treasury income grew by $31.6mn mainly due to restructuring of
Treasury investment book and higher gross interest earnings and capital gains
from sale of fixed income securities as average price of LIBOR reached 100 bps
compared to 18 bps in H1 2021.

Dr Aabed al Saadoun, Chairman of the APICORP Board, said: “APICORP has
continued to deliver robust and consistent results in the first half of 2022, despite
growing market volatility and inflation concerns. Our structural and strategic
resilience has facilitated exceptional performance in all our business segments as

we continue to showcase our economic and community impact and cement our
legacy of financing for impact.”

Khalid Ali al Ruwaigh, Chief Executive Officer of APICORP, said: “Even as the global
and regional financial markets are facing economic headwinds, APICORP recorded
an increase in balance sheet and income y-o-y during the first six months of 2022.
All business units continued to deliver growth showcasing alignment with our
growth strategy. The Treasury business unit in particular showcased growth led by
better money market performance of our investments. Our goals continue to
define our ongoing operational and financial performance as we work towards
achieving a balanced energy transition and providing financial services and
solutions for the energy of tomorrow.”


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