FAB reports Group Net Profit of AED 9.4 Billion in the first nine months of 2019
9M’19 Group Net Profit is up 4% year-on-year
First Abu Dhabi Bank (FAB), the UAE’s largest bank and one of the world’s largest and safest financial institutions, reported its financial results today for the first half ended 30 September 2019.
A solid set of results driven by core revenue momentum
- Group Net Profit at AED 9.4 Billion, up 4% year-on-year; annualised Earnings per Share (EPS) at AED 1.10, compared to AED 1.07 in the first nine months of 2018
- Third quarter net profit of AED 3.1 Billion, up 3% year-on-year, driven by a 5% increase in operating income
- 9M’19 Group Revenue at AED 15.2 Billion, up 4% year-on-year
- Cost-to-income ratio (ex-integration costs) at industry-leading level of 26.5%
- Cost of risk (CoR) was 49bps compared to 51bps in 9M’18
Strong balance sheet growth reflecting sustained business activity and risk discipline
- Total Assets at AED 788 Billion, up 6% year-to-date, while Risk Weighted Assets (RWA) grew marginally by 1% over the same period
- Loans and advances at AED 378 Billion, up 3% sequentially and 7% from December-end 2018, led by government and public sector lending
- Stable asset quality with Non-performing loans ratio at 3.1% and provision coverage of 109%
- Customer deposits at AED 477 Billion, up 3% sequentially and a 2% increase from December-end 2018
- Strong liquidity ratios and funding profile with September-end 2019 Liquidity Coverage Ratio (LCR) at 146%
Robust capital generation, enhanced risk-adjusted returns
- Common Equity Tier-1 (CET1) ratio strengthened to 14.2%, up from 13.6%, both as of June-end 2019 and September-end 2018
- Annualised Return on Tangible Equity (RoTE) and Return on Risk Weighed Assets (RoRWA) improved year-on-year to 16.7% and 2.55% respectively