Commercial Bank of Dubai (CBD) reports First Half 2020 net profit of AED 530m and operating profit of AED 1,026m

Management Discussion and Analysis Report First Half 2020

  
Commercial Bank of Dubai (CBD) reports First Half 2020 net profit ofnbsp;AED 530m and operating profit of AED 1,026m

Dubai, 26th July 2020:Commercial Bank of Dubai (CBD) today reported its financial results for the first six months of 2020.  

Noteworthy Financial Commentary:                                                                                         

2020 H1 results:

  • Net profit was AED 530 million, 24.3% below the prior comparative period
  • Operating income was AED 1,412 million, down by 6.5% compared to the prior comparative period due to sharply lower interest rates
  • Operating expenses were AED 386 million lower by 9.9%
  • Operating profit was AED 1,026 million, down by 5.2%
  • Net impairment allowances were AED 495 million, up 30.1% attributable to specific credit provisions together with forecast expected credit losses associated with the Covid-19 pandemic

As at 30th June 2020:

  • Capital ratios remained strong with the capital adequacy ratio (CAR) at 14.03% and the common equity Tier 1 ratio (CET1) at 12.87%
  • Gross loans were AED 66.8 billion, an increase of 4.2% compared to 31st December 2019
  • Advances to stable resources ratio (ASRR) stood at 90.2%
  • Non-performing loan (NPL) ratio increased by 103 bps to 6.97% compared to 5.94% in December 2019 

Read the full report here.

-Ends-

About CBD

The bank was incorporated in Dubai, United Arab Emirates in 1969 and is registered as a Public Shareholding Company (PSC).

The bank is listed on the Dubai Financial Market and is majority owned by UAE Nationals, including 20% by the Investment Corporation of Dubai (ICD). The bank employs over 1,300 staff and offers a wide range of conventional and Islamic banking products and services to its corporate, commercial and personal banking customers through a network of 15 branches. Moreover the bank has invested in an extensive network of 153 ATMs/CDMs.

For further information, kindly contact: CBD Investor Relations @ investor.relations@cbd.ae 

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