Emirates NBD's First Quarter Profit Jumps 67% To AED 6.7 Billion Amid Regional Expansion

Emirates NBD, a leading banking group in the region, has reported a significant surge in its profits for the first quarter of 2024. The bank's profits soared by 67 percent to reach a record AED6.7 billion, marking a robust 12 percent increase year-on-year. This financial uplift is attributed to the bank's regional expansion, heightened transaction volumes, a cost-effective funding base, and considerable recoveries from impaired loans.

The bank's asset base witnessed a five percent growth, exceeding AED900 billion for the first time. This milestone was achieved through the strongest quarter ever in retail lending and the closure of significant deals in corporate lending across the region. Additionally, Emirates NBD has significantly expanded its presence in the Kingdom of Saudi Arabia, doubling its branches to 18 over the past year and revitalizing its Egyptian franchise.

Emirates NBD's deposit franchise led the market with an AED26 billion increase in the first quarter alone. This growth was largely fueled by customer campaigns, advancements in digital banking, and promotions that resulted in an impressive AED21 billion rise in low-cost current and savings accounts. The bank also saw a notable improvement in credit quality and registered an impairment credit due to the regularisation of payments.

Looking ahead, Emirates NBD is set on transforming into a data-first, digitally-focused, and environmentally responsible institution. Hesham Abdulla Al Qassim, Vice Chairman and Managing Director of Emirates NBD, highlighted the bank's record profit in the first quarter of 2024 as a testament to its strategic growth initiatives and efficient operations. In line with the Dubai International Growth Initiative, Emirates NBD has committed AED500 million of competitively priced financing to support Dubai-based SMEs in their global expansion efforts.

The UAE's thriving economy and its appeal to ultra-high-net-worth individuals worldwide have positioned Emirates NBD to continue innovating with market-leading products and services. Shayne Nelson, Group CEO, emphasized the achievement of surpassing the AED900 billion asset mark as a significant milestone for the Group. He noted the record-breaking quarter in retail banking and substantial new lending in corporate banking as key drivers of this success.

Emirates NBD's strategic focus on customer-centric campaigns, enhanced digital banking services, and promotional activities have collectively contributed to its remarkable performance across all business units. The bank's robust balance sheet and retained earnings have further solidified its position as a regional powerhouse with a promising platform for sustained future growth.

In conclusion, Emirates NBD's impressive financial performance in the first quarter of 2024 underscores its successful strategy and operational excellence. With its commitment to digital transformation and environmental responsibility, Emirates NBD is well-positioned for continued success in the dynamic banking landscape of the Middle East.

With inputs from WAM