United Arab Bank Reports 25% Increase In Net Profit For First Quarter Of 2024

United Arab Bank PJSC (UAB) has recently unveiled its financial outcomes for the first quarter of 2024, showcasing a notable increase in its net profit after tax, which rose to AED68 million from AED55 million in the same period last year, marking a 25% year-on-year growth. The Bank's total income also saw a significant rise, reaching AED 163 million, up by 33% compared to the previous year. This financial uplift is attributed to a substantial growth in the Bank's total assets and a strategic approach to risk management, indicating a robust enhancement of the Balance Sheet with an emphasis on quality.

Sheikh Mohammed bin Faisal bin Sultan Al Qassimi, Chairman of the Board of Directors at United Arab Bank, expressed satisfaction with the Q1 results for 2024. He highlighted that these achievements reflect the successful execution of the Bank's strategy, which aims to meet shareholder expectations and support growth. The Bank's total assets stood at AED 17.9 billion as of Q1 2024, with a slight increase in net loans, advances, and Islamic financing by 2%, and customer deposits growing by 4%. Additionally, asset quality metrics have seen improvement with the NPL ratio dropping to 4.8% and coverage ratio escalating to 127%, compared to 7.8% and 102% respectively in Q1 2023.

Sheikh Mohammed further stated that UAB's goals and vision are in harmony with the UAE leadership's vision and ambitions for national growth. He emphasized the Bank's strong position to leverage the solid foundation and favorable macroeconomic trends for future expansion.

Shirish Bhide, Chief Executive Officer of United Arab Bank, also commented on the financial results, attributing the growth in total net revenues and profits to the success of various initiatives implemented within the Bank. Bhide reaffirmed UAB's commitment to pursuing its ambitious vision and accelerating investment in growth strategies. This includes developing innovative products and services that cater to customer needs while maintaining high standards of compliance and internal controls.

The first-quarter financial results of 2024 underscore United Arab Bank's successful strategy implementation and its readiness for continued growth. With a clear focus on asset quality, customer service innovation, and strategic investments, UAB is poised for further advancements in the banking sector.

With inputs from WAM