Emirates Islamic profit surges 51% to Dh1.24b

Emirates Islamic profit surges 51% to Dh1.24b

The bank’s total assets increased by 15 per cent to Dh75 billion while customer financing rose by 14 per cent to Dh48.4 billion

Emirates Islamic has further strengthened its position as a leading Islamic financial institution in the UAE.

Published: Thu 26 Jan 2023, 5:41 PM

Emirates Islamic said on Thursday that its 2022 net profit soared 51 per cent to a record Dh1.24 billion “on higher funded income and non-funded income with a significant reduction in the cost of risk reflecting the strong economic recovery.”

Total income was up 33 per cent year-on-year driven by higher funded income and non-funded income as a result of improved financing and deposit mix with higher profit rates feeding through to net profit margin, the bank said in a statement.

The bank’s total assets increased by 15 per cent to Dh75 billion while customer financing rose by 14 per cent to Dh48.4 billion. Customer deposits surged 19 per cent to Dh56.3 billion with current account and savings account balances remaining at 74 per cent of total deposits. Non-performing financing ratio improved to 7.0 per cent with strong coverage ratio at 128 per cent.

The bank said its Tier 1 ratio of 17.9 per cent and 19 per cent capital