NBF announced its results for the six month period ended 30 June 2022.
Highlights:
- NBF recorded year-on-year growth of 97.5% to close the six month period at a net profit of AED 150.5 million compared to AED 76.2 million in the corresponding period of 2021, up 49.4% quarter-on-quarter and 163.6% for the three month period ended 30 June 2022 over the corresponding period of 2021. This exhibits the bank’s renewed focus on core business growth and improving resilience in spite of the prevailing geopolitical headwinds.
- Aided by higher net interest income and net income from Islamic financing and investment activities, fee and exchange income, NBF posted an operating profit of AED 609.1 million for the six month period, a significant increase of 21.3% compared to AED 502.0 million in the corresponding period of 2021 and up 7.7% quarter-on-quarter and 24.4% for the three month period ended 30 June 2022 over the corresponding period of 2021.
- Operating income growth of 22.3% was recorded for the three month period ended 30 June 2022 over the corresponding period of 2021; and 7.9% compared to Q1 2022. Operating income reached AED 858.5 million for the six month period ended 30 June 2022, up 18.5% compared to AED 724.5 million in the corresponding period of 2021, reflecting the improving business sentiment, UAE economy’s sustained upward growth momentum despite challenging times; and in line with the bank’s recovery strategy.
- Net interest income and net income from Islamic financing and investment activities grew 10.9% to AED 520.1 million for the six month period ended 30 June 2022 compared to AED 469.1 million in the corresponding period of 2021.
It was up 16.6% for the three month period ended 30 June 2022 compared to the corresponding period of 2021; and up 18.0% compared to Q1 2022.
Dr. Raja Easa Al Gurg, Deputy Chairperson said:
“We are pleased with the outstanding set of H1 2022 results achieved by NBF. Improvement in asset quality and good business growth augur well for the second half of the year and beyond. Our strategic focus and priorities are on track to ensure we return to our long-term trend of sustainable growth.
Despite the soaring energy prices, exceptionally high inflation stoking fears of imminent recession and an exponential rise in prices leading to an unprecedented lower economic growth across the world amid the continued interest rate hikes, the UAE economy has fared well. This is clearly as a result of the country’s overall economic support measures, its achievement in containing the financial and economic challenges resulting from the COVID-19 fall-out, sustainable government spending, positive outlook for credit growth and the progress in business sentiment. NBF is strongly positioned to gain from the quality business opportunities presented through the positive market momentum.
Supported by a sound balance sheet, strong capital adequacy and liquidity, NBF aims to carry this positive momentum for the future quarters of 2022 and beyond, carefully navigating the evolving operating environment. We are also delighted to see the growing positive market recognition for the bank’s efforts with NBF bagging the prestigious MEA Finance Banking Technology Awards 2022 for “Best Innovation in Trade Finance” and “Most Innovative Trading Platform” in the last few months.
Our aim is for NBF to continue to provide exceptional service levels through a digital enabled approach to its customers, to bring together the provision of personal help and assistance, as and when required, alongside increasing digital provision, invest in talent sustainability and innovation and uphold the highest standards of compliance and internal controls to ensure the effective execution of its business strategy.
Supporting the communities at large and promoting green initiatives, NBF will maintain its focus on environmental, social and governance-friendly activities and businesses.”
