ADCB reports 3% rise in fourth quarter operating income
The bank reports a net profit of Dh1.04bn during the quarter
Abu Dhabi Commercial Bank, which merged with Union National Bank and subsequently acquired Al Hilal Bank reported a 3 per cent rise in fourth quarter operating income due to higher non-interest income.
Operating income for the three months to December 31 jumped to Dh3.2 billion, the lender said in a statement to the Abu Dhabi Securities Exchange, where its shares trade. Non-interest income for the period climbed 31 per cent to Dh583 million and operating expenses dropped 2 per cent to Dh1.28bn.
Net profit, on the other hand, slid 16 per cent to Dh1.04bn due to higher impairment charges.
Last year “was a transformational year ... the merger with Union National Bank and subsequent acquisition of Al Hilal Bank provided the enlarged group with the scale and efficiency required for a major UAE financial institution,” said Eissa Mohamed Al Suwaidi, chairman of ADCB.
“The Bank, which now serves over 1 million customers, benefits from resilience and scale necessary to navigate continued challenges and the financial strength to take advantage of new growth opportunities,” he added.
The board of directors recommended a cash dividend of Dh0.38 per share, translating to a pay out of Dh2.644bn, equivalent to 50 per cent of net profit.
Updated: January 27, 2020 01:26 PM