First quarter net profit up by 171% to reach AED 12.3 million from same period 2012
Balance sheet growth of 3.3% to AED 5.6b from December 2012.
Ajman, UAE; May 9, 2013: Ajman Bank, the award-winning financial services institution committed to transforming the experience of Islamic banking, announced today its financial results for the three months ended March 31st, 2012, demonstrating continued positive momentum.
Ajman Bank declares a profit of AED 12.3 million for the first quarter of 2013. The profit compared to the first quarter 2012 profit of AED. 4.5 million is higher by 171%.
His Highness Sheikh Ammar Bin Humaid Al Nuaimi, Crown Prince of Ajman and Chairman of Ajman Bank, commented on the results, saying: "The outstanding results Ajman Bank has achieved demonstrate our clear vision and strategy and the efficiency of our business model. Risk management is embedded at the centre of our business strategy and it has enabled the Bank to position itself appropriately for any upcoming challenges. As the economic recovery in the UAE banking market gathers momentum in 2013 and beyond, we continue to maintain a favorable and solid position against growth expectations in the years to come."
Mohamed Zaqout, Chief Executive Officer, Ajman Bank, said: "Ajman Bank's first quarter results are a testimony of the consistent positive performance that we have been able to achieve. With a deep understanding of the domestic market financial needs, we are very well placed to support both our individuals and commercial customers." He also added: "Our objective is to build, maintain, and grow a stable Islamic banking franchise with a strategic focus on core businesses and a prudent approach to financing, to generate acceptable returns to our shareholders over the longer term".
The balance sheet of the bank touched 5.6 b compared with 5.4 b at year end 2012 a growth of 3.3%. Islamic financing of AED. 4.7 b grew by 2.8% compared with December 2012 while customer deposits grew by approximately 1%. The total deposits of the bank stood at 4.3 b at the quarter end.
The increased portfolio has had an exponential effect on the income compared with the first quarter of 2012. Income from Islamic financing products registered a growth of 21.9% from AED 49.2 m in 2012 to AED 60 m . Investment income similarly has seen a very impressive growth from AED 7.4 m during the first quarter 2012 to AED 12.2 m in 2013, a growth of approximately 65%. Fee income at AED 12.5 compared to AED 6.8 in first quarter 2012 in comparison grew by 84%.
Expenses for the comparative quarter grew by 3% whereas provisions for impairment increased by 34% from AED.6.5 m in 2012 to AED. 8.7 m, about 35% of the increase emanating from regulatory general provisions.
Ajman Bank started its operations in 2009. In a challenging financial environment, Ajman Bank maintained earnings momentum recording a breakthrough performance with record growth rate of 382% in 2012 year end compared to 2011 year end.
About Ajman Bank:
Ajman Bank is a young, agile Islamic commercial bank built on the values of integrity, trust and transparency. The bank provides a wide range of value-driven banking services in the UAE for individual, business and government clients, all in compliance with Shariah principles. Ajman Bank seeks out the market's best products, people and technology in order to deliver what customers want, how they want it, delivering real value and recreating that human touch lost in modern banking.
Headquartered in Ajman and strongly supported by its government, Ajman Bank is the keystone of the emirate's economic development strategy and is in a position to benefit from its growth and potential like no other. Ajman Bank is committed to becoming a sustainable organisation in its truest sense, balancing care for the community and employees with the business of delivering value to its shareholders and customers.
© Press Release 2013
