Latest news with #Dh8.81
Al Etihad
3 days ago
- Business
- Al Etihad
ADX and DFM-listed companies post $15 billion in Q1 net profits: Kamco Invest
30 May 2025 19:48 REDDY (ABU DHABI)Companies listed on Abu Dhabi Securities Exchange (ADX) and Dubai Financial Market (DFM) recorded a combined net profit of $15 billion in the first quarter of 2025, representing a robust year-on-year (YoY) growth across key sectors, according to a report from Kamco ADX alone contributed $9 billion to the total, while companies on the DFM posted $6 billion in profits, driven largely by strong performances in the banking, telecom, and real estate Dhabi-listed companies witnessed a 9.8% increase in net profits, rising from $8.2 billion in Q1-2024 to $9.0 billion in Q1 2025. The growth was underpinned by strong earnings in the banking sector, which posted a total profit of $2.9 billion, up from $2.4 billion a year earlier. This performance was bolstered by higher earnings across almost all banks, most notably First Abu Dhabi Bank (FAB), which reported a 23.4% YoY increase in net profit to $1.4 billion.'FAB's revenue rose to Dh8.81 billion during the quarter, representing an 11% increase compared to Q1-2024,' the report noted, highlighting "solid business momentum and strong client activity across diversified income streams."Abu Dhabi Commercial Bank also posted solid results, with a 17.3% increase in net profit to $606.6 million, supported by diversified income and enhanced operational the telecom sector, net profits more than doubled, climbing to $1.5 billion in Q1-2025 from $634 million a year earlier. The gain was primarily attributed to Emirates Telecommunication Group (E&), which reported the entire $1.5 billion profit figure. Kamco noted the telco's 18.6% increase in revenue to Dh16.9 billion and 15.4% rise in EBITDA, underscoring efficiency in core energy sector in Abu Dhabi also saw healthy growth, with total earnings rising 7.4% YoY to $2.3 billion. Among top contributors were ADNOC Gas, which recorded a 6.9% rise in profit to $1.3 billion, and ADNOC Drilling, which posted a 24.1% increase to $341 firms saw their aggregate profits grow by 6.3% to $6 billion in Q1 2025, compared to $5.7 billion in the same quarter of 2024. The performance was mainly driven by real estate, transportation, and telecom sectors, while banking, utilities, and consumer services saw YoY declines.'Corporate profits during the period were largely concentrated in the Banking, Real Estate, and Transportation Services sectors, which together accounted for 84.3% of the total net profits in Q1-2025,' the report real estate sector saw one of the strongest growth trends, with total profits increasing by nearly a third to $1.7 billion, up from $1.3 billion in Q1 2024. Emaar Properties led the surge, posting a net profit of $1.01 billion, up 27% YoY, buoyed by sustained demand, successful project launches, and a 50% increase in revenue to Dh10.1 transportation sector reported an 18.4% jump in net profits to $246.7 million. Salik Co., which operates Dubai's toll gates, saw its profits climb 33.6% to $100.9 million, supported by the launch of new gates and the adoption of variable pricing. Banking sector earnings in Dubai slipped by 2.4% to $3.2 billion, largely due to Emirates NBD's profit falling 7.3% to $1.7 billion, driven by higher impairments. However, Dubai Islamic Bank bucked the trend, recording a 9.2% rise in profit to $473.7 million, supported by increased interest and non-interest income.
Khaleej Times
29-04-2025
- Business
- Khaleej Times
First Abu Dhabi Bank's Q1 profit jumps 23% to Dh5.13b
First Abu Dhabi Bank (FAB), the UAE's largest bank, announced a 23 per cent increase in its first-quarter net profit, reaching Dh5.13 billion compared to the same period last year. The bank's profit before tax also climbed 22 per cent to Dh6.13 billion, driven by strong client activity and diversified income streams, according to a statement released on Tuesday. FAB's group revenue for Q1 2025 rose 11 per cent year-on-year to Dh8.81 billion, fuelled by double-digit growth across all business segments. Non-interest income, which surged 22 per cent, accounted for 43 per cent of total revenue, highlighting the bank's successful diversification strategy. Loans and deposits grew by 8 per cent and 4 per cent, respectively, while total assets increased 6.0 per cent to surpass Dh1.3 trillion for the first time. The bank's net interest margin improved by 4 basis points quarter-on-quarter to 1.97 per cent, and its cost-to-income ratio tightened to 22.3 per cent from 24 per cent in Q1 2024. The bank's return on tangible equity (RoTE) rose to 20.4 per cent, up from 17.4 per cent in Q1 2024, aligning with FAB's medium-term target of exceeding 16 per cent. Supported by an AA- credit rating, the highest in the Mena region, FAB's solid balance sheet underscores its position as a leading financial institution in the region and a key driver of the UAE's economic growth. Hana Al Rostamani, FAB 's group chief executive officer, attributed the strong performance to sustained growth across the bank's business segments and its expanding international presence. 'We continue to capitalise on the UAE's economic growth and our global footprint, expanding in investment banking, wholesale banking, personal, business, wealth, and privileged client banking,' she said. Al Rostamani added that FAB's focus on innovation and customer experience, supported by advanced technology and AI, which has bolstered its wealth and private banking franchise, with assets under management soaring 57 per cent year-on-year. Lars Kramer, FAB's group chief financial officer, noted that operating income grew 11 per cent to Dh8.81 billion, offsetting the impact of increased UAE corporate tax. 'Strong commercial momentum, resilient margins, and robust fee and trading performances contributed to these results,' Kramer said. He highlighted FAB's disciplined strategy, operational efficiencies, and prudent risk management as key factors in navigating evolving market dynamics. Investment banking FAB's investment banking and markets division delivered a standout performance, with revenue up 15 per cent year-on-year and 22 per cent quarter-on-quarter. The bank's equity and debt capital markets franchises facilitated $29 billion in client fundraising, a 56 per cent increase from Q1 2024. Wholesale banking revenue grew 12 per cent, supported by 13 per cent growth in loans and 18 per cent in deposits. The personal, business, wealth, and privileged client banking segment saw an 11 per cent revenue increase year-on-year, driven by strong retail momentum and customer acquisitions. Customer deposits rose 4 per cent year-on-year and 7 per cent year-to-date to Dh839 billion, reflecting robust inflows from both wholesale and retail clients. Current and savings account (Casa) balances grew 5 per cent year-to-date and 10 per cent year-on-year to Dh376 billion, representing 45 per cent of total deposits. FAB also raised Dh5.3 billion in senior wholesale funding, including a $600 million five-year Sukuk at a record-tight spread for a Mena bank and a $750 million five-year Formosa FRN bond at the lowest pricing ever achieved by a Mena bank in that market. The bank said its Q1 2025 results position it for sustained growth, with a focus on leveraging its strong capital base, liquidity, and diversified business model to drive long-term value for shareholders and stakeholders while remaining committed to innovation and delivering consistent returns in a dynamic global
Al Etihad
29-04-2025
- Business
- Al Etihad
FAB reports record net profit of Dh5.13b in Q1 2025
29 Apr 2025 09:54 A. SREENIVASA REDDY (ABU DHABI) First Abu Dhabi Bank (FAB) has delivered a record-breaking first quarter performance, achieving strong growth across key financial to detailed results posted on the Abu Dhabi Securities Exchange (ADX) website, FAB reported a net profit of Dh5.13 billion for the first quarter ended March 31, 2025, representing a 23% year-on-year (YoY) increase, despite the introduction of new UAE corporate tax requirements at the beginning of the income rose 11% year-on-year to Dh8.81 billion, supported by a balanced contribution from both interest and non-interest income streams.'Our performance in the first quarter of 2025 reflects strong business momentum in our UAE operations and across the international franchise,' said Hana Al Rostamani, Group Chief Executive Officer of FAB. 'We will continue to leverage our strengths to drive innovation and customer experience and remain focused on delivering consistent value to our clients and strong, sustainable returns to our shareholders.'FAB's robust earnings translated into a Return on Tangible Equity (RoTE) of 20.4%, up from 17.4% in the first quarter of 2024, positioning the bank firmly on track with its medium-term target of maintaining RoTE above 16%.The bank's total assets reached Dh1.31 trillion, up 6% year-on-year, driven by strong growth across loans, investments, and customer deposits. Net loans and advances grew 8% year-on-year to Dh548 billion, reflecting healthy origination across diversified sectors and geographies. Customer deposits increased by 4% year-on-year to Dh 839 billion, with current and savings accounts (CASA) balances expanding by 10% to Dh376 billion, accounting for 45% of total asset quality remained solid with a non-performing loan (NPL) ratio of 3.3%, improving by 40 basis points from a year earlier. Provision coverage also strengthened to 98%, underscoring the bank's prudent risk management income was a highlight, rising 22% year-on-year to Dh3.8 billion, reflecting strong growth in fees, commissions, and trading activities. The bank's cost-to-income ratio improved to 22.3%, highlighting continued operating efficiencies despite ongoing investments in digital transformation and AI-driven initiatives.'We achieved an outstanding set of results this quarter on the back of strong commercial momentum, resilient margins, robust fee and trading performances, and enhanced revenue from flow products," said Lars Kramer, Group Chief Financial Officer. 'With the strongest combined credit rating among any other bank in MENA, FAB continues to operate from a relative position of strength. This is supported by a robust capital base, ample liquidity, high- quality portfolios, and a diversified business model.'The report highlighted FAB's commitment to innovation, with the bank becoming the first in the region to introduce an AI Agent Board Observer at its board meetings. The adoption of artificial intelligence, coupled with continued growth in digital platforms like the Payit mobile wallet, is enhancing customer experience and operational efficiency. On the sustainability front, FAB made significant strides, facilitating Dh284 billion in sustainable and transition financing to date —57% of its 2030 target. It also became the first bank in the MENA region to issue a nature-related financial disclosure aligned with the TNFD framework.
Gulf News
29-04-2025
- Business
- Gulf News
UAE's biggest bank FAB scores high in Q1-2025 profit, makes more gains from overseas ops
Dubai: The UAE's biggest bank – FAB – rang up a 23% gain in Q1-2025 net profit from a year ago, to total Dh5.13 billion. The operating income for the first three months was Dh8.81 billion, higher by 11%. The Abu Dhabi bank have other reasons to be pleased about its performance, with its international operations contributing 30% of group-wide assets of Dh1.31 trillion. 'FAB's performance in the first quarter of 2025 reflects strong business momentum in its operations in the UAE and across the international franchise,' said Hana Al Rostamani, Group CEO at FAB. The UAE's banking sector will have no complaints from their numbers in Q1-25, and FAB's results are the latest to reinforce that. "We expanded our business in investment banking and markets, in wholesale banking, in personal, business, wealth and privileged client banking group, as well as in our international branches," said Hana. (The overseas operations recorded loan and deposit gains of 19% and 13% year-on-year.) Good uptake on loans Loans, advances and Islamic financing (net) were 8% higher year-on-year - and 4% on a year-to-date basis - to Dh548 billion. The growth in the loan books so far this year will be particularly encouraging, and a theme that UAE's other leading banks had noted in their own Q1-25 financials. FAB's net interest income was Dh5 billion, up 3% yoy and 1% quarter-on-quarter, led by 'healthy origination across divisions and geographies, driven by diversified sectors and retail lending'. The net interest margin (NIM) was 1.97%. The operating income growing 11% to Dh8.81 billion meant FAB ended Q1 'largely offsetting the impact of the increase in UAE corporate tax during the period', said Lars Kramer, Group CFO. "FAB continues to operate from a relative position of strength. This is supported by a robust capital base, ample liquidity, high-quality portfolios, and a diversified business model – all of which reinforce our resilient profile amid evolving market dynamics and heightened uncertainties.' Impairment charges FAB trimmed its net impairment charges to Dh700 million, which is lower by 29% year-on-year and 34% on a quarter-on-quarter basis.
