Rakbank first-half net profit climbs 71% to Dh311.62m

Dubai: Rakbank yesterday reported a net profit of Dh311.62 million for the six months ending June 30, up 71 per cent over the same period in 2007.

Net interest income of Dh402 million was up 60 per cent compared with the first half of last year.

Gross loans and advances at the end of the quarter were at Dh9.92 billion, an increase of 17 per cent from the close of last year. The personal banking portfolio continued to grow during the quarter in line with targeted expansion. The mortgage loan portfolio saw an increase of 18 per cent since the end of 2007.

Equity

The bank's total equity increased to Dh1.82 billion while the annualised return on equity increased to 37 per cent.

Fee, commission and other income increased 42 per cent in the first half to Dh241 million.

At the close of the first half total assets were at Dh13.1 billion, up 19 per cent over December 31, 2007 (Dh10.97 billion). This resulted mainly from the growth in net loans and advances by Dh1.5 billion

The growth in the asset book was supported by a combination of increases in customer deposits and shareholders' equity. Customer deposits were up by Dh1.6 billion from December 31, the bank said in a statement.