Monday, Oct 17, 2011
Gulf News
Dubai Commercial Bank of Dubai’s (CBD) net profit after allowances for non-performing loans amounted to Dh777 million for the first nine months of 2011 compared to Dh771 million a year earlier.
The bank’s fees and non-interest income for the first nine months of 2011 grew by 7.2 per cent compared to the same period last year.
“CBD has continued to perform well and the bank has sustained its strong financial returns, as evidenced by the high return on assets and equity ratios. Our continued focus on liquidity and capital management has enabled us to further strengthen our balance sheet and to focus on growing our portfolio,” said Peter Baltussen, Chief Executive Officer.
The bank’s total assets reached Dh37.7 billion as of September 30, up 1 per cent from the Dh37.4 billion in the same period last year. Loans and advances stood at Dh26.3 billion as at the end of September 2011, while customers’ deposits were at Dh27.9 billion. Consequently, the bank maintained a sound liquidity position, resulting in an advances to stable resources ratio of 82.2 per cent far below the prescribed maximum of 100 per cent stipulated by regulator.
“In order to maintain adequate liquidity and a diversified funding base, the bank renewed its medium term facility in the third quarter, which was initially launched at $400 million. The facility was oversubscribed and attracted $450 million in commitments highlighting investors’ confidence in the bank’s strength and performance,” said Baltussen. The bank continued to build its provisioning levels with an impairment allowance of Dh227 million for the first nine months of the year.
Staff Report
Gulf News 2011. All rights reserved.
