FAB reports group net profit of AED5.4 billion in H1 2021

FAB reports group net profit of AED5.4 billion in H1 2021

Abu Dhbai / WAM

First Abu Dhabi Bank (FAB) has reported its financial results for the first half period ended on June 30. First half 2021 Group Net Profit was AED5.4 billion, an 11 percent increase year-on-year. The increase was driven by revenue growth from a solid performance across the bank's core businesses despite headwinds from rate cuts, increased contribution from international operations following the recent acquisition in Egypt, and lower impairment charges. Cost discipline was maintained amid ongoing investments in strategic and digital initiatives with cost-to-income ratio (ex-integration costs) at an industry-leading level of 28.3 percent. Growth in lending and investments during the period demonstrate effective balance sheet deployment to enhance returns, while the Group's foundation remains robust across liquidity, capital and asset quality. The annualised Earnings Per Share (EPS) stand at 96 fils, up 14 percent compared to the first half of 2020, while the first-half operating income reached AED9.6 billion, up 2 percent year-on-year. Impairment charges were at AED1.1 billion, down 36 percent year-on-year, reflecting improving economic conditions, and adequate provision buffers. Operating costs stand at AED2.8 billion, up seven percent year-on-year reflecting ongoing investments in strategic and digital initiatives. Also, total assets reached AED944 billion, up three