Dubai PR Network, Online Press Release from Dubai and Middle East
 
Banking & Insurance(Banking & Investments)
Filter PR by
  
Dubai Islamic Bank 1st Quarter 2017 Net Profit reaches AED 1.042 Billion
 
  • Net profit up by 4% compared to same period in 2016
  • Financing assets up by 6% to AED 121.4 billion
  • Deposits up by 12% to AED 137.2 billion

Dubai, April 11, 2017
Dubai Islamic Bank (DFM: DIB), the first Islamic bank in the world and the largest Islamic bank in the UAE by total assets, today announced its first quarter results for the period ended March 31, 2017.

1st Quarter Results Highlights:

Sustained profitability and growth

  • Group Net Profit increased to AED 1,042 million, up 4% compared with AED 1,001 million for the same period in 2016.
  • Total income increased to AED 2,378 million, up 13% compared with AED 2,102 million for the same period in 2016.
  • Net Operating Revenue increased to AED 1,804 million, up 7% compared with AED 1,690 million for the same period in 2016.
  • Impairment losses stood at AED 169 million compared with AED 118 million for the same period in 2016.
  • Cost to income ratio declined to 32.8% compared with 33.7% for the same period in 2016.
  • Net funded income margin stood at 3.16% compared with 3.26% for the same period in 2016.

Asset growth remains robust

  • Net financing assets rose to AED 121.4 billion up by 6%, compared to AED 114.9 billion at the end of 2016.
  • Sukuk investments increased to AED 24.2 billion, a growth of 4%, compared to AED 23.4 billion at the end of 2016.
  • Total Assets stood at AED 186.9 billion, an increase of 7%, compared to AED 174.9 billion at the end of 2016.

Resilient Asset Quality

  • NPA ratio continues its downward trajectory improving to 3.7%, compared to 3.9% at the end of 2016.
  • Provision coverage ratio improved to 118%, compared to 117% at the end of 2016.
  • Overall coverage including collateral at discounted value now stands at 160%, compared to 158% at the end of 2016.

Liquidity position remains strong

  • Customer deposits stood at AED 137.2 billion compared to AED 122.3 at the end of 2016, up by 12%.
  • CASA constituted 37% of total deposit base.
  • Financing to deposit ratio stood at 88%.

Robust Capitalization

  • Capital adequacy ratio remained strong standing at 16.5%, as against 12% minimum required.
  • Tier 1 CAR stood at 16.1%, against minimum requirement of 8%.

Shareholders’ return remains robust – in line with guidance for the year

  • Earnings per share stood at AED 0.16 in Q1 2017.
  • Return on assets steady at 2.34% in Q1 2017.
  • Return on equity stood at 18.0% in Q1 2017.

Management’s comments on the financial performance for period ended March 31, 2017

His Excellency Mohammed Ibrahim Al Shaibani, Director-General of His Highness The Ruler’s Court of Dubai and Chairman of Dubai Islamic Bank, said: 

  • The UAE economy saw a strong start to 2017 following the stabilization of commodity prices and continuation of infrastructure spending around all key areas.
  • Capitalizing on a strong beginning, all key metrics for the bank have shown robust growth, a performance that once again, puts the bank at the top end of the market.
  • Whilst the UAE market continues be the biggest contributor by far, the bank’s international expansion strategy has progressed very well with the official launch of our operations in Indonesia and the recent positive developments with the regulators for our Eastern Africa ambitions.

Dubai Islamic Bank Managing Director, Abdulla Al Hamli, said:

  • Over the last few years, we have focused on not only growing our business, but also on solidifying our position in the market.
  • Today, the bank is clearly recognized as not just a leader in Islamic finance but a prominent and leading franchise within the entire banking sector in UAE.
  • The bank continues to demonstrate its commitment to shareholders with solid and healthy returns emanating from growing profitability in a challenging global environment.

Dubai Islamic Bank Group Chief Executive Officer, Dr. Adnan Chilwan, said:

  • Earlier this year, we unveiled the new Growth 2.0 strategy, effectively focused on two key areas – one, safeguard and protect the franchise we established in the first phase of growth and two, capitalize on the capacity created within the balance sheet to deliver the next stage of growth for the bank.
  • Clearly our strategy built around business sustainability and growth has once again yielded strong results with core businesses providing the major impetus to robust bottom line growth.
  • Liquidity continues to be a key factor in driving growth and the last quarter has once again witnessed DIB’s ability to generate and mobilize deposits as needed. Though pressure may continue on cost of funding, it is expected to be relatively muted in 2017.
  • With a 6 % rise in core financing assets, liquidity ratio of 88% and constantly improving asset quality, DIB is very well positioned to further penetrate and increase the share of wallet in its existing operative segments whilst simultaneously capturing new businesses and acquiring new clientele from across the entire banking sector in UAE.   

 

Posted by : Dubai PR Network Editorial Team
Viewed 6936 times
PR Category : Banking & Investments
Posted on : Tuesday, April 11, 2017  5:12:00 PM UAE local time (GMT+4)
Replication or redistribution in whole or in part is expressly prohibited without the prior written consent of DubaiPRNetwork.com.
Previous Story : Changing dynamics make financial markets more volatile, says...
Next Story : Intesa Sanpaolo expands corporate & investment banking in th...
Email this article Print this article

Share this article with your friends and followers
NewsVine
Back to Section Home

Related Stories



 
 
Most Viewed Press Release posted in the last 7 days
LG DUALCOOL Air Conditioner Builds a Tower of Chocolate [11926-Views]
Dune London: The Autumn/Winter17 campaign [9132-Views]
Contour, Highlight and Bronze your Body with Ease with Madame LA LA [7363-Views]
Max Mara: Iconic Coats - Manuela & Teddy. [7350-Views]
DS Podium GMT Chronometer: Because time knows no borders [7253-Views]
Vintage is the rage for new Chronofighter range [7186-Views]
India's famous fashion designer Suneet Varma brings his collections to Dubai [6997-Views]
Italian Trade Agency Kicks Off F&B Promotional Activities in the UAE [6875-Views]
SAINT HONORE Charisma “Twist” for elegant lady [6417-Views]
Ferrari Portofino: the Italian Grand Tourer par excellence [5990-Views]
CITIZEN opens refurbished boutique at Sharjah City Centre [5923-Views]
LG Robots to Connect People for A Better Tomorrow [5844-Views]
Panasonic announces robust plans for Middle East under new leadership [5655-Views]
Exhilarating new Roger Dubuis pop-up boutique in the US [5618-Views]
Mango Fall/Winter17 - Denim Special [5582-Views]
Michael Kors Collection Spring 2018 Fashion Show [5569-Views]
Marina Rinaldi : Ashley Graham continues her role as the face of the brand for the Fall/W... [5490-Views]
Aster DM Healthcare bags Gulf Business Awards-2017 for the “Healthcare Company of the Year... [5386-Views]
TAG Heuer's Globetrotter Exhibition Opens in Dubai Mall on September 15, As Part of an Amb... [5154-Views]
Ulysse Nardin Presents Classico Zheng He [5148-Views]
'COÉGA'S Got You Covered' in New AW17 SPF50 Family Swimwear Collection [4898-Views]
Dubai Culture Takes ‘Dubai Next' to London Design Festival [4837-Views]
The Longines Avigation BigEye: Aesthetics and tradition in a pilot's watch [4782-Views]
Kate Upton, Ashley Graham, Andreea Diaconu, Skai Jackson and more in Michael Kors to a Par... [4776-Views]
New Balance Introduces the 574 Sport in Celebration of the Dubai Mall Store Opening [4538-Views]
 
RSS Facebook Twitter LinkedDin
 
Top Sections
 
Top Stories