ADIB in Dubai.
There was a 100 per cent plus increase in third-quarter profit tally from a year ago. Image Credit: Ahmed Ramzan/ Gulf News

Dubai: Abu Dhabi Islamic Bank has had its highest quarterly net profit, of Dh1 billion, from a 105 per cent increase from the year ago tally of Dh493 million. Net profit for the first nine months of 2022 swelled to Dh2.45 billion, as ADIB marked gains from its heavy push into retail banking and digital-led services.

Revenue for the period came to Dh4.51 billion, up 10 per cent year-on-year, helped immensely by a 22 per cent increase in fees and commissions and 10 per cent growth in funded income to Dh2.80 billion, ‘achieved from the growth in customer financing and higher rates’.

ADIB also reported improvements in its cost structure. “The cost-to-income ratio was managed down to cross the 40 per cent mark for the first nine months with an improvement of 4.6 percentage points to 37.6 per cent,” said a statement. “This was helped by higher revenues and cost initiatives driven by the ongoing investment in digital that brought expenses down by 2 per cent year-on-year to Dh1.69 billion.

“Our initiatives to diversify our income, expand into new segments while managing asset quality and improving our costs served us well to deliver a record RoE (Return on Equity) of 19.6 per cent,” said Jawaan Awaidah Al Khaili, Chairman.

“We were particularly pleased this quarter to be recognized as the safest islamic bank globally, a testament to our solid fundamentals and financial strengths. Our capital ratios and liquidity metrics are robust and we operate in a healthy economic environment backed by a strong and supportive government.

“These strong results will enable us to accelerate our investments supporting our next stage of growth. We are confident in the economic outlook for the UAE and the region, and will look to accelerate our progress for both customers and shareholders alike.”

Total assets at the end of September were 10 per cent higher year-on-year to Dh147 billion.