FAB reports 23% rise in net profit to AED5.13 billion in Q1

ABU DHABI / WAM

First Abu Dhabi Bank (FAB) delivered record results for the first quarter of 2025, with a Group net profit of AED5.13 billion, up 23 percent year on year (yoy), and Group profit before tax reaching AED6.13 billion, up 22 percent yoy. This outstanding financial performance reflects FAB’s solid business momentum and strong client activity across diversified income streams, with FAB well-positioned to deliver sustained shareholder value.
Group revenue increased to AED8.81 billion, an 11 percent rise compared to Q1’24, with double-digit growth in all segments and supported by 22 percent growth in non-interest income, contributing 43 percent to Group revenue, underscoring the bank’s diversification strategy. Loans and deposits grew 8 percent and 4 percent, respectively yoy, with total assets growing 6 percent yoy crossing the AED1.3 trillion milestone for the first time. Net Interest Margin grew 4 bps qoq to 1.97 percent. Cost-to-income ratio improved to 22.3 percent, from 24.0 percent in Q1’ 24.
Return on Tangible Equity (RoTE) stood at 20.4 percent, up from 17.4 percent in Q1’24, and is in line with FAB’s medium-term target of greater than 16 percent.
Hana Al Rostamani, Group Chief Executive Officer of FAB, said, “We continue to execute on our strategic priorities capitalising on the growth of the UAE economy and across the international footprint. We expanded our business in Investment Banking & Markets, Wholesale Banking, Personal, Business, Wealth and Privileged Client Banking, as well as in our international branches. FAB maintains its leading position as the UAE’s global bank with a robust balance sheet and total assets now over AED1.3 trillion.
“Our return on tangible equity increased to 20.4 percent and remains consistently focused on value creation across the cycle. The bank remains well-capitalised, with a strong liquidity and asset quality supporting our long-term resilience.” She added that the bank continues to leverage innovation and AI technology to enhance productivity, predictive analysis and customer experience and service. In the first quarter of this year, FAB has taken further steps to embed AI in the board engagement, by introducing an AI agent to the first board meeting of the year.
Al Rostamani continued, “Investment Banking and Markets delivered a strong performance, with revenue growing 15 percent yoy and 22 percent qoq. Wholesale Banking revenue grew 12 percent yoy underlining strong activity and business momentum across our client franchise, with loans and deposits up 13 percent and 18 percent yoy,
respectively.”
Moreover, Personal, Business, Wealth and Privileged Client Banking Group revenue was up 11 percent yoy and 7 percent qoq, driven by strong retail momentum, customer acquisitions, and enhanced customer experience leveraging advanced technology and AI. Also, the international franchise saw significant balance sheet growth, with loans and deposits up 19 percent and 13 percent yoy, respectively from broad-based geographies.