Tuesday, Jul 24, 2012
DUBAI (Zawya Dow Jones)--Abu Dhabi Commercial Bank (ADCB.AD), the third-largest lender in the United Arab Emirates, on Tuesday said second-quarter net profit fell 45% on the year despite a decline in provisions, but last year's figure was boosted by the gain on an asset sale.
The bank's second-quarter net profit fell to 733 million U.A.E. dirhams ($199.6 million) from AED1.34 billion in the corresponding quarter last year, according to an emailed statement. ADCB's second-quarter net profit in 2011 was boosted by a AED1.31 billion gain on the sale of its stake in Malaysia's RHB Capital Berhad.
ADCB's latest quarterly result was below the forecasts of analysts at Bahrain's SICO who had predicted AED772 million, but above those of EFG Hermes and Deutsche Bank who had forecast AED643 million and AED631 million, respectively.
ADCB's second-quarter impairment allowances nearly halved to AED492 million, from AED935 million in the same period of 2011. Lending in the second quarter was down 1%, while deposits edged 2% higher.
The bank's second-quarter net interest and Islamic financing income rose 34% to AED1.38 billion.
Cross-town rival National Bank of Abu Dhabi (NBAD.AD) earlier Tuesday reported a 2% rise in second-quarter net profit as provisions fell.
-By Nicolas Parasie, Dow Jones Newswires, +9714 446 1681, nicolas.parasie@dowjones.com; Twitter: @ZDJnews
Copyright (c) 2012 Dow Jones & Co.
(END) Dow Jones Newswires
24-07-12 1223GMT
