The UAE’s First Abu Dhabi Bank (FAB) has reported a net profit of Dh12.9 billion for the period between January and September 2024, marking a 4% increase compared to the same period in 2023.
The group achieved a 16% revenue rise year-on-year (YoY) to Dh23.9 billion, reaching a net profit before tax of Dh15.3 billion, according to a financial disclosure to the Abu Dhabi Securities Exchange (ADX), where its shares are traded.
The disclosure included FAB’s Q3 2024 results, which saw the bank achieve a quarterly net profit of Dh4.46 billion, 5% higher than Q3 2023. The increase in revenue was said to have offset a 50% jump in impairment charges, which reached Dh909 million.
Operating income for the period was Dh8.20 billion, up 18% versus the prior-year period.
“FAB’s consistent growth and profitability demonstrate our unwavering commitment to delivering exceptional value to our clients and shareholders,” said Hana Al Rostamani, Group CEO of FAB. “Our commitment to enhancing customer engagement and broadening relationships across wholesale banking and personal banking and wealth management segments has driven momentum in the Group’s performance in the first nine months of the year, resulting in a double-digit growth both locally and across FAB’s international franchise.”
The group’s net interest margin (NIM) was 1.89% for the quarter, as the “pricing was offset by the impact of higher cash reserve requirements, increased central bank placements, and the 50bps benchmark rate cut over the period”.
Lars Kramer, Group CFO of FAB, added “Strong business momentum supported by robust economic conditions were reflected in volume growth, rising revenues and diversified income streams, as we continue to leverage our diversified franchise to deepen client relationships.”
Total assets grew 5% year-to-date and 4% YoY, reaching Dh1.2 trillion at the end of September 2024, with loans and advances up 9% to Dh528 billion and deposits rising 8% to Dh820 billion over the same period.
