Abu Dhabi
The net profits after Zakat and tax of Abu Dhabi Islamic Bank (ADIB) retreated 39.4% to AED 1.12 billion during the first nine months of 2020 from AED 1.85 billion in the year-ago period.
The bank generated net revenues of AED 3.93 billion in the January-September period of 2020, down 10.4% from AED 4.39 billion in the year-ago period, according to a press release.
The bank’s credit provisions and impairments increased by 72.7% to AED 954.1 million in the first nine months from AED 552.5 million in the corresponding period of 2019.
During the third quarter (Q3) of 2020, the lender’s net profits lowered by 13.9% to AED 533.8 million from AED 620 million in the corresponding quarter of 2019.
On a quarterly basis, the bank recorded a 68% growth in net profits during Q3-20, compared to AED 317 million in the second quarter (Q2) of 2020.
The Chairman of ADIB, Jawaan Awaidah Al Khaili, commented: “Although the macro-economic environment remains uncertain, we have seen positive signs of recovery resulting from the decisive actions taken by the UAE Government.”
Al Khaili added: “Our cost of credit has started to stabilize and our levels of capital and liquidity continue to remain strong, with both our common equity Tier-1 ratio and advances to deposits ratio increasing from the end of the previous quarter.”
It is noteworthy to mention that in the first half (H1) of 2020, the bank’s net profits after zakat and tax of ADIB dropped by 52.2% to AED 587.6 million from AED 1.23 billion in the year ago period.—Zawya
