Sharjah Islamic Bank (SIB) announced that its general assembly has approved the Board of Directors’ proposal to distribute a cash dividend of 6 per cent of capital, amounting to Dh145.5 million.
The announcement was made following the SIB General Assembly Meeting, which was held at the Sharjah Chamber of Commerce and Industry yesterday, March 12, 2012. The General Assembly also approved the financial results for the fiscal year ended December 31, 2011.
In a speech made during the general assembly meeting on behalf of HH Sheikh Sultan bin Mohammed bin Sultan Al Qasimi, Chairman of the bank, HE Abdul Rahman Al Owais SIB Deputy Chairman said that the positive results achieved by the bank in 2011 were in line with the plan and strategy adopted by its Board of Directors, and reflected the bank’s solid financial position and excellent performance.
SIB was able to achieve a number of milestones during the last financial year. Firm investor confidence in the bank was evident with the successful issuance of a $400 million Sukuk in May 2011. SIB’s credit rating was upgraded to BBB+ from BBB by the international rating agencies, and the bank received a number of local, regional and international awards.
Al Owais stated that SIB’s total assets reached Dh17.7 billion, up Dh1 billion (6.4 per cent) from the previous year. Total customer financing increased 8 per cent (Dh773.7m) from 2010 figures to reach Dh10.4bn by end of 2011, a fact that reflects further diversification of the bank’s financing portfolio to allow optimum use of the existing liquidity but in a conservative manner in line with the still prevalent risks. Total customer deposits increased to Dh10.4bn by end of 2011.
SIB achieved a net profit of Dh251.1m in 2011. Shareholders’ equity was Dh4.4bn (25 per cent of the total assets), and the capital adequacy ratio was 35 per cent, compared to the 12 per cent regulatory requirement of the Central Bank as per Basel II. This reflects the solid financial position of the bank.