First Abu Dhabi Bank Reports Dh4.2 Billion Net Profit in Q1
First Abu Dhabi Bank Reports Dh4.2 Billion Net Profit in Q1
First Abu Dhabi Bank (FAB), the UAE’s largest bank, announced a net profit of Dh4.2 billion for the first quarter of 2024, marking a 6% increase year-on-year. With revenue surging 18% year-on-year to Dh8 billion, the bank showcased strong performance driven by core operational growth, balance sheet expansion, higher net interest margin (NIM), and robust non-funded income (NFI), with non-interest income contributing 39% to group revenue.
Maintaining its position as the largest bank in the UAE and the second largest in the Gulf region, FAB reported total assets at Dh1.24 trillion, loans at Dh508 billion, and deposits at Dh803 billion. Hana Al Rostamani, Group CEO of FAB, highlighted the bank’s robust performance and focus on sustained growth, efficiency, and shareholder value, noting the continuation of the bank’s growth strategy into 2024.
Lars Kramer, group chief financial officer of FAB, emphasized the bank’s diversified revenue growth and operational efficiencies, which helped offset the impact of the UAE corporate tax. He also underscored FAB’s commitment to sustainability, with the issuance of the first-ever social bonds from the UAE and progress toward sustainability targets.
FAB’s revenue growth spanned various business segments, including investment banking, corporate and commercial banking, global markets, consumer banking, and global private banking. The bank also accelerated sustainable finance efforts, facilitating Dh26 billion in new sustainable finance in Q1, contributing to its target of Dh500 billion in sustainable financing by 2030.
Furthermore, FAB unveiled innovative initiatives such as the ‘Knowledge Brain’ platform, leveraging generative AI to enhance knowledge access and decision-making, and the GenAI framework, facilitating secure deployment of AI in enterprise settings to foster innovation while upholding stringent security standards.
