Dubai Islamic Bank Q1 profit hits AED1.042bn

Dubai / Emirates Business

Dubai Islamic Bank (DFM: DIB), the first Islamic bank in the world and the largest Islamic bank in the UAE by total assets, announced its first quarter results for the period ended March 31, 2017. Group Net Profit increased to AED 1,042 million, up 4% compared with AED 1,001 million for the same period in 2016. The total income increased to AED 2,378 million, up 13% compared with AED 2,102 million for the same period in 2016.
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,” he added. The Net Operating Revenue increased to AED1,804mn, up 7% compared with AED1,690 million for the same period in 2016, while impairment losses stood at AED 169 million compared with AED 118 million for same period in 2016.
The 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 same period in 2016.
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,” he added.
The net financing assets rose to AED 121.4 billion up by 6%, compared to AED 114.9 billion at the end of 2016, while sukuk investments increased to AED 24.2 billion, a growth of 4%, compared to AED 23.4 billion at the end of 2016. The total Assets stood at AED 186.9 billion, an increase of 7%, compared to AED 174.9
billion at the end of 2016.