Abu Dhabi Islamic Bank (ADIB) has announced that its first quarter profit has surged by 54% to reach Dh1.1 billion, compared to the same period last year.
The significant increase in profits can be attributed to the bank’s strong performance across all business lines, as well as its focus on digital transformation and innovation.
ADIB’s total assets reached Dh136 billion at the end of the first quarter of 2023, up from Dh134 billion at the end of 2022. The bank’s net customer financing grew by 3% to reach Dh78 billion, while customer deposits increased by 2% to reach Dh99 billion.
Commenting on the bank’s performance, Mazin Manna, Group CEO of ADIB, said: “We are pleased to report a strong start to the year, with a significant increase in profits driven by our diversified business model and strategic focus on digital transformation. This positions us well to continue to deliver long-term value for our customers and shareholders.”
He added: “Despite the challenging economic environment, we remain committed to investing in innovation and technology to enhance our customer experience and drive growth.”
ADIB’s retail banking business saw a 4% increase in customer deposits, driven by the bank’s focus on providing innovative and accessible digital solutions. The bank’s digital channels, including its mobile app and online banking platform, have seen a significant increase in usage over the past year, with more customers opting to conduct their banking transactions online.
The bank’s wholesale banking business also saw a strong performance, with net customer financing increasing by 6% to reach Dh40 billion. The bank’s investment banking division also saw a significant increase in profits, driven by strong performance in the equity capital markets and mergers and acquisitions.
ADIB’s strategy of diversification across different business lines has helped the bank to mitigate risks and maintain strong financial performance despite the challenging economic environment.
The bank has also been focusing on sustainability and social responsibility, launching several initiatives aimed at promoting financial literacy, supporting SMEs, and promoting environmental sustainability.
Earlier this year, ADIB announced that it had joined the UAE’s National Programme for Small and Medium Enterprises and Projects, which aims to provide financial and non-financial support to SMEs.
In conclusion, ADIB’s strong performance in the first quarter of 2023 is a testament to the bank’s commitment to innovation, diversification, and sustainability. With its focus on digital transformation and customer-centric solutions, ADIB is well-positioned to continue delivering long-term value for its customers and shareholders.
