Emirates Islamic swings to $218mln net profit on lower impairment costs

Bank says it has achieved 'strong capital and liquidity'

  
Emirates Islamic Head Office.

Emirates Islamic Head Office.

Emirates Islamic/Handout via Thomson Reuters Zawya

Emirates Islamic’s earnings have rebounded on the back of higher non-funded income and lower impairment allowances. 

The Islamic lender reported on Wednesday a net profit of 804 million dirhams ($218.8 million) for the first nine months of the year, up 358 percent from a year ago, when net losses reached 311 million dirhams. 

Total income also grew 14 percent year-on-year to 1.798 billion dirhams during the same period, while expenses fell one percent year-on-year to 808 million dirhams. 

In a statement to the Dubai Financial Market (DFM), the bank said it has achieved “strong capital and liquidity”, combined with a “healthy deposit mix”.  

It said total assets have remained “robust” at 66 billion dirhams, while customer financing went up 4 percent to 42.4 billion dirhams. Total customer deposits also rose 4 percent to 48.9 billion dirhams. 

“As a key contributor to the development of the overall Islamic finance sector, Emirates Islamic has asserted its position as a leading financial institution in the UAE, and this is reflected in our financial performance,” said Salah Mohammed Amin, the bank’s CEO. 

(Writing by Cleofe Maceda; editing by Seban Scaria) 

Cleofe.maceda@refinitiv.com 

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