Home UAE Dubai Dubai Islamic Bank posts 58% rise in net profit for Q1 2022 The bank’s total income reached Dhs3.01bn, recording growth of 6 per cent year-on-year compared to Dhs2.84bn achieved in Q1 2021 by Zainab Mansoor April 28, 2022 Dubai Islamic Bank posted a group net profit of Dhs1.345bn for the first three months, ending March 31, 2022, growing 58 compared to Dhs853m recorded during an year-earlier period. The bank’s total income reached to Dhs 3.01bn, demonstrating a growth of 6 per cent year-on-year compared to Dhs2.84bn in same period of last year. Net operating revenue had a solid growth of 11 per cent year-on-year to reach to Dhs2.46bn compared to Dhs2.226bn last year. Dubai Islamic Bank 1st Quarter 2022 Group Financial Results, read more https://t.co/VCaB4iDxdC pic.twitter.com/djzpYaHMRI — Dubai Islamic Bank (@DIBtoday) April 27, 2022 Pre-impairment profit during the year increased by 10 per cent year-on-year to equal Dhs1.77bn compared to Dhs1.614bn. Operating expenses, however, totalled Dhs698m vs Dhs612m, with cost to income ratio now at 28.3 per cent, Net financing and sukuk investments for Q1 2022 grew by 3 per cent to Dhs235.1bn compared to Dhs228.5bn in 2021. Gross new financing of nearly Dhs16bn YTD driven by strong growth of wholesale bookings on the back of improved economic outlook. Net operating profit reached Dhs1.77bn, recording an increase of 10 per cent compared to Dhs1.61bn in same period of last year. Customer deposits remained steady at Dhs204.5bn with CASA increasing by 3.2 per cent to Dhs92bn. Total equity now stands at Dhs40.8bn. Mohammed Ibrahim Al Shaibani, director-general of His Highness The Ruler’s Court of Dubai and chairman of Dubai Islamic Bank said: “Living in a rapidly evolving world and amidst ongoing international headwinds with a slower growth outlook, the UAE remains resilient growing from strength to strength with a forecast of over 4 per cent for the year as per IMF. “Despite on-going unpredictable economic and international market conditions that are impeding progress, the bank’s total income of more than Dhs3bn reflects a 6 per cent YoY growth and the balance sheet rising by 3 per cen YTD reflecting its alignment towards the expansionary agenda of the UAE’s economy. DIB continues to transform into a more digital-focused and sustainable financial institution to future proof its business and unlock further growth opportunities in the market that will deliver stronger shareholder value in the years to come.” Dr. Adnan Chilwan, group chief executive officer: “DIB’s strong set of first quarter results with net profit growing by 58 per cent YoY to reach to Dhs1.3bn is a demonstration of the bank’s ability to navigate through economic headwinds. I am pleased to state that we have successfully redefined our priorities in the post Covid world with the launch of our new 5-year strategy at the beginning of the year. Supported by stronger operating revenue growth of 11 per cent YoY and significant decline in impairments of -44 per cent YoY, the bank’s financial position clearly denotes the resilience of the franchise and its inherent capability of withstanding market challenges. “Persistent efforts on proactively managing credit underwriting and asset quality trends have led to NPF improving by 10bps YTD to reach 6.7 per cent. We will continue to grow coverage over the period in the coming quarters to align with our guidance for the year. With a strong balance sheet and P&L growth during the period, our profitability ratios demonstrated healthy improvements with ROA now at 1.9 per cent (+35bps YTD) and ROTE at 16.2 per cent (+320bps YTD). The improving macro environment with higher oil prices coupled with rising rates will continue to benefit DIB where the majority of earning assets are in a floating rate book, aiding the bank in reaching its targeted margin guidance for the year.” Dominating performance by @DIBtoday delivering AED1.3bln in net profit in Q1 2022, a 58% YOY increase. This underscores the bank’s ability to successfully navigate the economic headwinds with robust growth & profitability being a constant on the horizonhttps://t.co/Var8IHMdNU pic.twitter.com/OlkDLQ3JsU — Dr. Adnan Chilwan (@AdnanChilwan) April 27, 2022 Earlier this year, DIB listed a $750m sukuk on Nasdaq Dubai. Read: Dubai Islamic Bank lists $750m sukuk on Nasdaq Dubai The 5-year new sukuk issuance is part of DIB’s $7.5bn Sukuk Programme. Tags assets Dubai Islamic Bank Financing income net profit UAE 0 Comments You might also like US-UAE climate-friendly farming partnership grows to $29bn From humble beginnings to global heights: Sheikh Mohammed’s journey unveiled in new biography Gold prices in UAE fall as global trends weigh on bullion FAB’s EOSB funds secure initial approval from MOHRE, SCA