Muscat – Mubasher: NBK Capital, the investment arm of Kuwait’s NBK, said in a report issued Wednesday it placed a ‘Hold’ recommendation on National Bank of Oman. It also set the stock’s fair value at OMR 0.310, with a downside potential of 8%.

NBO reported a net profit of OMR 15.4 million in the second quarter of 2015, up 21% year-on-year and 22% quarter-on-quarter, driven by higher operating income.

The bank’s operating income came 5% higher than NBK Capital’s forecasts, driven by non-interest income. Operating income came in at OMR 32.9 million in Q2 (+18% year-on-year and +5% QoQ).

Meanwhile, loans were up 2% q-o-q, taking the YTD growth to 6%. Deposits were broadly flat (+0.8% q-o-q) following a 12% surge in the first quarter of 2015.