ADCB's 2017 net profit surges to $1.16bn

30/01/2018 05:16 AST

Abu Dhabi Commercial Bank (ADCB) has registered a full year net profit of Dh4.28 billion ($1.16 billion) for 2017, up three per cent over the same period the year before.

Announcing the financial results for the year ended December 31, 2017, ADCB said the Net profit for the fourth quarter surged seven per cent to hit Dh1.072 billion over the same period in 2016.

Impressed by the results, the Emirati bank has recommended a dividend of Dh0.42 per share, equivalent to 51 percent of net profit.

Over the year, total net interest income and Islamic financing income of Dh6.701 billion was up eight per cent, operating income was Dh8.895 billion was up five per cent and operating expenses, at Dh2.948 billion, were also up five per cent, resulting in a stable cost to income ratio of 33.1 percent compared to 32.9 percent in 2016, according to a bank statement.

Operating profit before impairment allowances of Dh5.948 billion was up four per cent, non-interest income of Dh2.194 billion was down four percent whilst net fee and commission income of Dh1.507 billion was up two per cent.

Total assets grew three per cent to Dh265 billion and net loans to customers increased by three per cent to Dh163 billion. Deposits from customers increased five percent to Dh163 billion.

On the performance, ADCB Chairman Eissa Mohamed Al Suwaidi said: "2017 was a year of solid growth in a testing environment and the bank achieved this by remaining true to its strengths; focusing on the UAE, putting the customer first, fostering a healthy culture, focusing on operational excellency and providing world-class standards of corporate governance and risk management practices."

"We remain focused on the bank’s proven strategy that has been tested relentlessly since the financial crisis in 2009. Our strategic pillars continue to yield strong results, driving sustainable growth and long-term value for shareholders," stated Al Suwaidi.

"During 2017, the board reviewed and reaffirmed the Bank’s strategy and added a new pillar on digitisation," he added.

Group CEO Ala’a Eraiqat said: "We enter 2018 with confidence as ADCB has a strong momentum and continues to gain market share. With our focus on enhancing customer journeys and drive for sustainable growth, we continue to deliver greater value for all our stakeholders."

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