Font Size
Share this article


Print Friendly Version
27 January 2020
RESULTS

Emirates NBD reports a 44 per cent increase in 2019 net profit

In 2019, Emirates NBD raised its foreign ownership limit to 20 per cent and signalled its intention to further increase the limit to 40 per cent in due course

Emirates NBD's net profit for the 12 months to the end of December 2019 was AED 14.5 billion compared with AED 10.04 billion in 2018/Bloomberg

by Kudakwashe Muzoriwa

Dubai's Emirates NBD has reported a 44 per cent increase in 2019 full-year net profit, supported by the lender’s partial sale of its stake in Network International, a double-digit growth in net interest income and stronger loan growth.

The bank’s net profit for the 12 months to the end of December 2019 was AED 14.5 billion compared with AED 10.04 billion in 2018.

Emirates NBD’s results include the lender’s AED 4.4 billion gain from the partial sale of its stake Network International and a fair value measurement of the lender’s remaining stake in the firm. Excluding the gains from Network International transaction, the bank’s net profit increased one per cent year-on-year.

Hesham Abdulla Al Qassim, Vice Chairman and Managing Director of Emirates NBD, said, “Emirates NBD delivered a strong set of results in 2019, achieving a record net profit of AED 14.5 billion and total assets in excess of AED 683 billion.”

Furthermore, the bank said that its net interest income increased by 26 per cent supported by loan growth and an improvement in margins from the acquisition of Turkey's DenizBank while non-interest income grew 38 per cent on higher foreign exchange and credit card related income.

Emirates NBD stated that loans and deposits increased by 33 per cent and 36 per cent respectively since the beginning of the year, adding that the advances to deposits ratio remain comfortably within management’s target range at 92.6 per cent.

DenizBank contributed AED 3,64 million to the bank’s total income and delivered a net profit of AED 609 million for the five months since the acquisition date.

“The bank’s balance sheet remains healthy and the acquisition of DenizBank helped grow total assets by 37 per cent to AED 683 billion,” said Shayne Nelson, Emirates NBD’s Group Chief Executive Officer.

Similarly, the bank’s total assets grew 37 per cent to AED 683 billion in 2019 including DenizBank.

“We are delighted to welcome DenizBank into the Emirates NBD family during 2019, increasing the Bank’s presence to 13 countries, servicing over 14 million customers in the MENAT region,” added Al Qassim.

 


RELATED STORIES: Network International DenizBank Emirates NBD

BRANDS MAGAZINES LATEST EDITION

OUR BRANDS



CPI Financial was established in Dubai in 1999 to meet the needs of an ever-expanding financial community, offering a comprehensive portfolio of market-leading products and services tailor-made for the banking and financial services sectors.


Subscribe to our News Letter

Subscribe

© 2019 CPI Financial. All rights reserved.

No part of this website may be reproduced or used in any form of advertising without prior permission in writing from the editor.