Dubai: United Arab Bank (UAB) on Wednesday reported a net profit of Dh498 million the first nine months of 2014, an increase of 20 per cent over the same period in 2013.

For the third quarter of the year, the bank reported a net profit of Dh169.24 million compared to Dh154.25 million in the third quarter of last year.

“United Arab Bank continues to impress, with Q3 2014 results reconfirming the solid foundations of the bank’s business model. At UAB, we strive to continually grow in this highly competitive market, as evidenced through our recent recognition as the fastest growing bank in the Middle East,” said Shaikh Faisal Bin Sultan Bin Salem Al Qasimi, Chairman of the Board of Directors.

For the nine months ended September 30, 2014, UAB generated an operating profit of Dh735 million, a 40 per cent increase over the same period in 2013. Total Income increased at an equally significant rate of 37 per cent to Dh1.03 billion, with solid performance across both net interest income and Non-interest income, up 33 per cent and 51 per cent respectively versus the first nine months of 2013.

The bank’s non-interest income expanded strongly in the first three quarters of 2014 to Dh282million driven primarily by Dh93 million net fees & commissions.

“UAB’s growth trajectory remains on track, whilst adhering to our customer centric-strategy. Our strong momentum is driven from sustained improvement in business mix and efficiency of our funding which has ultimately led to significant increases in our customer deposits and loans & advances portfolios,” said Paul Trowbridge, Chief Executive Officer of UAB.

Provision charges year to date 2014 were Dh237million, compared to Dh110 million for the same period in 2013. The bank reported a non-performing loan ratio 2.2 per cent and coverage ratio of 106 per cent as at 30 September 2014.

The bank continued to report strong asset growth with total loans & advances surging 21 per cent to Dh18 billion compared to the first nine-month period of Q3 2013. On the liability side customer deposits increased by 31 per cent in the same period to Dh18 billion.