Emirates Islamic has posted a net profit of AED701 million ($193 million) for the first half of 2022, up 23% on higher funded and non-funded income with a significant reduction in the cost of risk reflecting improved business sentiment.
The bank’s total income reached AED1,370 million, up 16% year-on-year (y-o-y) while expenses reached AED594 million over investments for future growth.
Impairment allowances reduced 12% y-o-y reflecting improved business sentiment and operating profit improved 19% y-o-y.
The bank reported net profit margin at 2.92% reflecting the increase in profit rates in the first half of 2022, while strong capital and liquidity combined with a healthy deposit mix enabled the Bank to support customers.
Hesham Abdulla Al Qassim, Chairman said: “Our solid performance was based on higher funded and non-funded income, and higher customer financing reflecting the UAE’s positive economic sentiment. We have also benefitted from a significant reduction in the cost of risk supported by a strong economy.”
“We were pleased to support the TECOM and DEWA IPOs on the Dubai Financial Market (DFM) by enabling key clients to participate and benefit from these landmark listings in our role as Receiving Bank. Being a leading UAE bank and a prominent long-term player in the region’s banking sector, we were delighted to support the UAE leadership’s plans to list state-owned entities on the DFM, further boosting UAE capital markets.
“We play a pivotal role in the UAE’s growing Islamic banking sector and remain committed to supporting the vision of His Highness Sheikh Mohammed Bin Rashid Al Maktoum, Vice-President and Prime Minister of UAE and Ruler of Dubai, to make Dubai the global capital of Islamic economy.
“The Emirates Islamic Charity Fund continues to support various humanitarian causes in the UAE through charitable contributions,” he added.
Salah Mohammed Amin, Chief Executive Officer said: “Emirates Islamic’s total assets grew by 14% to AED74 billion during the first half of 2022, demonstrating our support for a strong UAE economy. Emirates Islamic was among the first Islamic banks to integrate digital innovation and our digital focus continues to reap us rich rewards in terms of customer loyalty and market share. In the first half of 2022, we further enhanced our digital channels and offerings across multiple fronts, including ATM / CDM transformation and added features on our WhatsApp Banking.”
“A superior customer experience is at the heart of everything we do. We proudly uphold the highest levels of customer excellence as we set new benchmarks for innovation-driven Islamic banking in the region.
“We expanded our product offerings with the launch of the Emarati Family Savings account, Emarati Business Account and Super Savings Etihad Guest Account. We continue to invest in new technologies and strengthen our offerings to expand our appeal across the wider UAE population,” he added. – TradeArabia News Service
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