Dubai: The Dubai bank Emirates NBD’s Q2-2022 net profit hit Dh3.5 billion – and its highest quarterly showing since 2019. The latest numbers are derived from a 42 per cent increase year-on-year.
For the first six months, Emirates NBD's net totalled a robust Dh5.3 billion (up 11 per cent), while gross income came to Dh14.2 billion. Impairment charges are down an impressive 28 per cent – “We are extremely well positioned for rising interest rates and will continue to invest in our international and digital capabilities to support further growth,” a statement said.
It was also another ‘record’ half-year for retail lending and customer transactions, while improving margins helped push income up 23 per cent y-o-y.
These strong results, along with the positive outlook for margins, enable us to accelerate our investment in our international network and digital capabilities, supporting our next stage of growth
Overseas operations represented 41 per cent of total income in H1-2022, including those from DenizBank in Turkey.
Progress on three scores
Through the period, Emirates NBD’s total assets were up 3 per cent at Dh711 billion, while customer loans inched 1 per cent higher to Dh425 billion with a ‘record half-year for retail financing and renewed demand for corporate lending’.
When it comes to the deposit mix, CASA (current account savings account) grew Dh10 billion in H1-22 reflecting ‘strong UAE liquidity, enabling the Group to benefit from further interest rates rises’. "We were delighted that Moody’s upgraded Emirates NBD’s short and long-term ratings, recognising the Group’s resilient post-pandemic financial fundamentals and increased diversification," said Hesham Abdulla Al Qassim, Vice-Chairman and Managing Director, in a statement. "Emirates NBD played a leading role in both the DEWA and Tecom IPOs, delivering customers a fully digital, straight through platform from on-boarding to payment."
In light of further expected rate rises, coupled with improving margins at DenizBank (in Turkey), we have raised our net interest margin guidance raised by 50bps
