Dubai Islamic Bank Group Announces Quarter 1, 2016 Financial Results #Dubai - Dubai City Guide
Guest Posts, Link Building, SEO, Pay-Per-Click campaigns
Advanced Search
Download our Media Kit




Home / News / Company News
Company News

Dubai Islamic Bank Group Announces Quarter 1, 2016 Financial Results
(27 April 2016)
Q1 2016 net profit up by 18 per cent to over AED 1 billion


Dubai Islamic Bank (DFM: DIB), the first Islamic bank in the world and the largest Islamic bank in the UAE by total assets, today announced its 1st quarter results for the period ended March 31, 2016.

1Q 2016 Results Highlights:

Higher revenue driven by core business growth:

Group Net Profit increased to AED 1,001 million, up 18% compared with AED 850 million for the same period in 2015.
Total Income increased to AED 2,105 million, up 22% compared with AED 1,728 million for the same period in 2015.
Net Operating Revenue increased to AED 1, 693 million, up 11% compared with AED 1,520 million for the same period in 2015.
Impairment losses declined to AED 118 million compared with AED 136 million for the same period in 2015.
Cost to income ratio improved to 33.7% compared with 34.8% for the same period in 2015.

Steady growth in earning assets across all business segments

Net financing assets at AED 102.9 billion up by 6%, compared to AED 97.2 billion at the end of 2015.
Sukuk investments at AED 21.1 billion, an increase of 5%, compared to AED 20.1 billion at the end of 2015.
Total Assets at AED 164.9 billion, an increase of 10%, compared to AED 149.9 billion at the end of 2015.

Loan impairments continue to trend downwards

NPLs on a consistent decline with NPL ratio improving to 4.7%, compared to 5.0% at the end of 2015.
Provision coverage ratio improved to 97%, compared to 95% at the end of 2015. Overall coverage including collateral at discounted value now stands at 152%, compared to 148% at the end of 2015.

Growing customers’ deposits

Customer deposits at AED 122.5 billion compared to AED 110.0 billion at the end of 2015, up by more than 11%.
CASA book comprising 39% of total deposit base.

Strong Capitalization and liquidity position

Capital adequacy ratio at 15.6% as of Mar 2016, as against 12% minimum required.
Tier 1 CAR stood at 15.4% against minimum requirement of 8%.
Financing to deposit ratio is at 84.0% highlighting significant liquidity.

Enhancing value for shareholders

Earnings per share stood at AED 0.16 in Q1 2016.
Return on assets reached 2.55% in Q1 2016.
Return on equity stood 17.7% in Q1 2016.

Management’s comments on the financial performance of the financial period:

His Excellency Mohammed Ibrahim Al Shaibani, Director-General of His Highness The Ruler’s Court of Dubai and Chairman of Dubai Islamic Bank, said:

The global markets entered 2016 with continued volatility in the commodities and equities sector. Despite this landscape, the UAE’s domestic banking sector has so far reported healthy results with DIB once again demonstrating its robust positioning by delivering another strong earnings for the period.
Earlier this year, the board also approved several initiatives to strengthen the bank’s capital in order to proactively support DIB’s growth ambitions in 2016.
As markets stabilize over the coming months, I am confident that DIB will continue to be amongst the leading performers in the UAE financial sector.

Dubai Islamic Bank Managing Director, Abdulla Al Hamli, said:

Continued focus on market penetration and cross sell has led to the bank delivering another solid set of results.
DIB has also successfully received ISO 9001:2008 Human Resource Quality Management System certification demonstrating the robust nature of the bank’s policies, procedures and processes.
Whilst playing a key role in supporting Emiratization strategy, DIB has positioned itself as one of the most sought after employers in the region.

Dubai Islamic Bank Group Chief Executive Officer, Dr. Adnan Chilwan, said:

Last year, we achieved a major milestone by joining the USD $1 billion profit club in the banking sector in UAE. 2016 promises to be another strong one with DIB delivering more than AED 1 billion profit in the 1st quarter.
Whilst we are cognizant of the challenges the markets pose today, the platform established over the last couple of years continues to create new business opportunities for the bank which were non-existent before. The diversified suite of products and services has led to not just new-to-bank customers and sectors, but has also allowed for greater penetration and enhanced cross sell in existing business.
As the year progresses, we are confident that the performance leadership demonstrated by DIB over the recent past will carry through the rest of 2016 as we culminate our carefully crafted and progressive 3 year growth strategy towards a strong conclusion.

Download the Dubai City Guide iPhone mobile app is owned and managed by Cyber Gear

  All fields are mandatory
Your Name
Your Comments
 Max 250 characters - Word Count :
Image Verification
Change Image

email print

Sponsored By :           Sponsored Opportunities


Hotels hotels Check out Hotels in Dubai
Shopping shopping A complete Mall & Store Guide
Dining dining Eating out at the coolest spots
Sightseeing sightseeing Things to see & do
DCG Recommends dcg recommends Best of the best in Entertainment
News Alerts
News Alerts
Stay ahead with dubai news
dcg mobile
dcg Mobile
With you wherever you go
rss feed
RSS Feeds
Get the latest
dubai blog
Dubai Blog
Your space, your voice
DCG at a glance