ADCB Posts Dhs802m Q1 Profit

Abu Dhabi Commercial Bank (ADCB) reported that net profit during the first quarter of the year reached Dhs802 million, a 38 per cent increase compared to the Dhs583 million it made during the first quarter of 2011, and a 56 per cent quarter on quarter increase.

The Q1 ADCB results beat the estimation from Reuters of Dhs641.25 million average net profit.

Total operating income during the period reached Dhs1.58 billion, an increase of 19 per cent over the same period in 2011 and a decline of two per cent quarter on quarter, the bank said in a statement.

ADCB operating expenses rose 18 per cent compared to first quarter of last year to reach Dhs506 million in Q1 2012.

Total net interest income and Islamic financing income stood at Dhs1.19 billion, while non-interest income fell three per cent year-on-year to Dhs384 million during the first quarter of the year.

Earlier on Tuesday, Moody’s Investors Service said that it had changed its outlook on the ratings of ADCB to stable from negative.

Moody’s attributed the change to the continued improvement in the bank’s financial fundamentals since 2009, its improved risk management framework and a better funding profile.