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Abu Dhabi Commercial Bank (ADCB), the UAE's third-biggest lender, posted a Q4 2023 net profit of 2.45 billion dirhams ($667 million), 38% higher year-on-year (YoY).
For the full-year, the lender posted a 28% jump in net profit to AED8.20 billion.
The effort far exceeded analysts’ mean estimates for both the quarter and the full year. For Q4 they had pencilled in AED1.97 billion, while for FY, the estimate was AED7.55 billion, according to LSEG data.
Net interest income rose 17% to AED3.41 billion on loan growth and the higher rate environment, the lender said in a regulatory disclosure on the Abu Dhabi Securities Exchange on Wednesday. Net interest margin was 2.83%.
Non-interest income was, however, 16% lower YoY due to gains from sale of NPLs in the previous period, and lower fee and commission income.
Operating profit before impairment rose 2% YoY to AED3.17 billion. Impairment charges fell 3% YoY to AED1.16 billion.
Total assets rose 14% YoY to AED567 billion.
The lender has recommended a dividend of AED0.56 per share, representing a total payout of AED4.09 billion.
(Writing by Brinda Darasha; editing by Seban Scaria)
