Mashreq has announced another strong financial performance for the first nine months of 2025, delivering operating income of AED 9.4 billion and a net profit before tax of AED 6.1 billion, underscoring the Bank’s ability to sustain profitability in a moderating rate environment.
Total assets crossed the AED 300 billion milestone, supported by double-digit lending and deposit growth across its diversified franchise
Solid Revenue Growth and Resilient Margins
Operating income rose 8% year-on-year in Q3 2025 to AED 3.2 billion, reflecting broad-based momentum across corporate, retail, and international businesses.
Net interest income increased 6% quarter-on-quarter to AED 2.1 billion, maintaining a net interest margin of 3.2% for 9M 2025.
Non-interest income jumped 20% year-on-year, driven by a 50% rise in investment income and a 41% increase in other income, highlighting diversified earnings and deeper client engagement
Efficiency and Digital Investment
Despite continued investment in AI-led transformation and international expansion across Türkiye, Oman, Pakistan and India’s GIFT City, Mashreq maintained an industry-leading cost-to-income ratio of 31%, reaffirming disciplined cost control.
Spending remained focused on next-generation digital ecosystems, analytics and cross-border scalability, sustaining benchmark productivity and operational efficiency
Earnings Strength and Returns
The Bank achieved net profit after tax of AED 5.2 billion, delivering a return on equity (ROE) of 20% and return on assets (ROA) of 2.3%.
Tax expense increased 49% year-on-year to AED 961 million under new corporate tax rules, yet profitability remained solid, supported by strong underlying income and contained impairments of AED 366 million (cost of credit 34 bps)
Exceptional Asset Quality and Risk Management
Mashreq continued to demonstrate industry-leading asset quality, with the non-performing loan (NPL) ratio at 1.1% – the lowest in the sector – and a coverage ratio of 235%.
Prudent underwriting, diversified exposures and strong collateral structures reinforce the Bank’s ability to safeguard performance through economic cycles
Balance-Sheet Strength and Capital Base
Total assets rose 20% year-on-year and 14% year-to-date to AED 305 billion, driven by sustained lending and investment growth.
Customer loans & advances increased 21% YoY to AED 143 billion, while customer deposits grew 20% to AED 187 billion, anchored by a CASA ratio of 66%.
Liquidity remained strong with LCR 123% and a loan-to-deposit ratio of 76%, while capitalization stood at CAR 16.8%, Tier 1 15.5%, and CET1 14.2%, all comfortably above regulatory requirements
“Mashreq’s performance stands as a testament to the strength of our strategic vision and the trust we continue to earn from clients, shareholders, and partners,”
said H.E. Abdul Aziz Al Ghurair, Chairman of Mashreq. “Surpassing AED 300 billion in total assets reflects our disciplined growth and alignment with the UAE’s economic priorities. As the financial system continues to show resilience, Mashreq remains committed to enabling sustainable and inclusive growth.”
“Mashreq continues to deliver strong and sustainable performance underpinned by a clear strategic vision and a disciplined operating model,” said Ahmed Abdelaal, Group Chief Executive Officer of Mashreq. “Our international expansion—from Pakistan to India’s GIFT City—is reinforcing our role as a cross-border enabler of trade and capital flows. With digital and AI technologies embedded across our operations, we’re shaping a future-ready banking ecosystem that delivers lasting value for our clients and communities.”
Outlook
Building on its 9M 2025 momentum, Mashreq will continue advancing its strategy centred on scalability, innovation, and international growth. With robust capital buffers, diversified income streams, and exceptional asset quality, the Bank is well-positioned to sustain profitable growth and support the evolving needs of clients across regional and global markets.
Key Financial Highlights (9M 2025)
| Indicator | Value | YoY Change / Comment |
|---|---|---|
| Operating Income | AED 9.4 bn | +8% in Q3 2025 |
| Net Profit Before Tax | AED 6.1 bn | Strong earnings momentum |
| Net Profit After Tax | AED 5.2 bn | After AED 961 m tax (+49% YoY) |
| Total Assets | AED 305 bn | +20% YoY / +14% YTD |
| Loans & Advances | AED 143 bn | +21% YoY |
| Customer Deposits | AED 187 bn | +20% YoY (CASA 66%) |
| ROE / ROA | 20% / 2.3% | Strong profitability |
| Cost-to-Income Ratio | 31% | Industry-leading efficiency |
| NPL / Coverage Ratio | 1.1% / 235% | Lowest NPL in industry |
| Capital Adequacy (CAR / CET1) | 16.8% / 14.2% | Well above regulatory minimum |
| Liquidity Coverage Ratio | 123% | Ample liquidity buffer |
