Mashreq Bank Achieves AED 9 Billion Net Profit In 2024 Amid Strong Revenue Growth

Mashreq Bank reported a net profit of AED9 billion for 2024, marking a 4% rise from the previous year after accounting for AED869 million in taxes. The bank's net profit before tax reached AED9.9 billion, reflecting a 12% increase. Revenue climbed to AED13.4 billion, showing a 24% year-on-year growth and maintaining a three-year compound annual growth rate (CAGR) of 32%.

Net interest income rose by 9% despite interest rate reductions in 2024, indicating strong margins supported by robust balance sheet growth. Non-interest income saw an impressive surge of 63%, reaching AED5 billion. This increase highlights Mashreq's focus on diversifying revenue through fee-generating activities and strong client engagement in foreign exchange, derivatives, and commodities.

The bank experienced significant loan growth of 18% in 2024, largely funded by increased customer deposits. These deposits rose to AED161 billion across both wholesale and retail segments, with current account savings accounts (CASA) now making up 66% of total customer deposits. Total assets grew by 11% year-on-year to AED267 billion, driven by loan expansion in wholesale and retail financing.

A noteworthy one-time net gain of AED1.2 billion was recorded from the strategic partial sale of a subsidiary. This move underscores Mashreq's strategic initiatives aimed at optimizing its portfolio and enhancing shareholder value.

Abdul Aziz Al Ghurair, Chairman of Mashreq, stated, "As we reflect on 2024, Mashreq’s journey stands as a testament to resilience, innovation, and excellence amidst a dynamic global and regional environment. The UAE’s remarkable progress, marked by its embrace of innovation and steadfast focus on economic diversification, reinforces its position as a global hub for trade, finance, and technology."

He further added that the bank achieved record-breaking financial results this year with net profit before tax reaching AED9.9 billion alongside exceptional growth in digital and international operations. These achievements underscore Mashreq's commitment to delivering value to stakeholders while aligning with the UAE’s vision for sustainable growth and global leadership.

With inputs from WAM