Mashreq’s nine-month profit up 5% to AED1.7bn

DUBAI / Emirates Business

Mashreq, one of the leading financial institutions in the UAE, reported its financial results for the first nine months ending September 30, 2018. The net profit of the lender for the first nine months stood at AED1.7 billion, a 5% increase YoY, while its operating income rose by 3.6% and reached AED4.6 billion. Mashreq’s best-
in-class non-interest income to operating income ratio remained high at 39.2%, and insurance, FX & other income was up by 47.6% year-on-year.
Total assets of the bank increased by 9.8% in the year to AED137.4 billion, whereas loans and advances increased by 10.6% to AED69.3 billion, as compared to December 2017. Customer deposits increased 8.1% YTD and are at AED 82.2 billion. Loan-to-deposit ratio remained robust at 84.3% at the end of September 2018.
HE Abdul Aziz Al Ghurair, Mashreq CEO said: “With a firm focus on fostering innovation in each aspect of our business, Mashreq’s third quarter results are testament to the continuing success of our transformation. We achieved solid growth in our balance sheet with a deposit growth of 8.1% year-to-date, well above market norms. This was complemented by our strong liquidity position with high liquid assets to total assets ratio of 28.4%.”
“As one of the most innovative bank in the region, we remain committed to investing in state-of-the-art technology including robotics, artificial intelligence and machine learning, ensuring our customers benefit from a modern, simplified and intuitive banking experience. We have already accomplished several major milestones in transforming both our front and back-end processes, and will continue to showcase our agility and our thirst for disruption in our goal to be the region’s preferred banking partner.” added Al Ghurair.
Mashreq’s non-performing loans to gross loans ratio remained stable at 2.9% at the end of September 2018, while total provisions for loans and advances reached AED 4.3 billion, constituting 183.4% coverage for non-performing loans.

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