UAB reports Dh330m net profit in 2011

Dubai: The United Arab Bank (UAB) on Wednesday reported Dh330 million net profit for the year 2011, marking a 7.1 per cent increase compared to Dh308 million reported in 2010. 

UAB's total assets reached Dh10.8 billion, a 40 per cent increase over the Dh7.7 billion reported in the previous year. This growth in assets was supported by a by 72 per cent growth in customer deposits in 2011 to reach Dh7.3 billion, compared to Dh4.3 billion in 2010.

The bank reported a 46 per cent increase in loans and advances from Dh5.5 billion in 2010 to Dh8.1 billion at the end of last year. UAB's capital adequacy ratio as at December 2011 exceeded 20 per cent. In terms of liquidity, UAB's advances to stable resources ratio was 87 per cent at the end of 2011, compared to 86 per cent in 2010.

UAB's operating profit before loan loss provisions exceeded Dh400 million. The bank said at the end of 2011 its non-performing loans constituted only 1.6 per cent of total loans and advances compared to 3.2 per cent in 2010.

"UAB remains committed to a prudent policy of provisioning in accordance with the guidelines issued by the Central Bank of the UAE. Consequently, UAB's management ensured that its specific and collective provisions meet all regulatory requirements," said Paul Trowbridge, the bank's Chief Executive Officer.