ADCB earns Dh3.2 billion profit

359

Staff Report

Staff Report
Abu Dhabi – Abu Dhabi Commercial Bank (ADCB) on Sunday declared a net profit of Dh3.21 billion for the nine-month period ending September 30, 2017.
The bank reported a net profit of Dh1.092 billion for the third quarter of the year, up nine per cent year on year. Total net interest income and Islamic financing income of Dh4.983 billion was up eight per cent, while the operating income of Dh6.585 billion was up four per cent.
Total assets grew one per cent to Dh260 billion and net loans and advances to customers increased five per cent to Dh166 billion over December 31, 2016. Deposits from customers increased five per cent to Dh163 billion over December 31, 2016.
Ala’a Eraiqat, member of the board and group chief executive officer, noted that he was pleased with the bank’s performance, saying: “Net profit for the quarter was up nine per cent, while year to date net profit was up two per cent over the prior year, with a solid return on equity of 15 per cent. Our balance sheet registered healthy growth, continuing to outpace industry wide growth, with five per cent increase in net loans and five per cent increase in customer deposits over the year end. The bank’s loan portfolio remains well-diversified by business segment and economic sector, while the liability base offers stable and diversified sources of funding.”
Deepak Khullar, group chief financial officer, added: “For the nine months period of 2017, operating income of Dh6.585 billion was up four per cent, and operating profit before impairment allowances of Dh4.437 billion was up four per cent year on year. The bank’s disciplined approach to cost management resulted in stable and solid key metrics for the bank. Cost to income ratio for the nine months period was unchanged over the prior year. Despite the rising benchmark rates, cost of funds has remained stable over the last three quarters, and cost of risk has consistently remained in the 80 basis points range amidst the challenging operating environment and the economic headwinds.” – abdulbasit@theuaenews.com