NBQ – Q2 2023 results – Net profit surges 54% reaching AED 255mln

NBQ – Q2 2023 results – Net profit surges 54% reaching AED 255mln

United Arab Emirates, Umm Al Quwain: National Bank of Umm Al Quwain reported a net profit of AED 255 million in Q2 of 2023, reflecting a 54% increase compared to AED 165 million in Q2 of 2022. Cost-to-income ratio is 20.58%, reflecting a 880 basis point year-on-year improvement, indicating the bank's operational efficiencies and disciplined cost management. Bank's Impairment coverage ratio, including collateral, improved to 254% as of June 30, 2023, from 183% as of December end. Total assets of the group reached AED 14.06 billion as of June 30, 2023, reflecting a 3% increase compared to Dec 2022. Bank maintained deposits to net advances ratio prudently at 129%. Capital Adequacy Ratio is 46% as of June 30, 2023, which is well over the minimum threshold stipulated by Central Bank of the UAE in accordance with Basel III guidelines. This indicates the bank's strong capital position and provides opportunities to leverage. Common Equity Tier I ratio is maintained strongly at 44.86%. Eligible Liquid Assets Ratio is 32.64% as of June 30, 2023, and Lending to Stable Resource Ratio as of June 30, 2023 is 59.35%. Bank's Non-performing ratio improved from 7.80% at December 2022 end to 9.46% which, indicates the