National Bank of Fujairah net profit surges by 31.3%

The National Bank of Fujairah PSC has announced its financial results for the nine month period which ended on September 30.

The bank recorded a net profit of Dh286.4 million compared to Dh218.1 million in the corresponding period of 2012. The operating profit of the bank was Dh 402.6 million compared to Dh341.4 million in the corresponding period of last year.

Loan loss provision was Dh116.2 million compared to Dh 123.3 million in 2012, an improvement of 5.8 per cent. Non-performing loan ratio improved to 5.9 per cent from 8.4 per cent at 30 September 2012 and 7.6 per cent at year end.

Total provision coverage improved to 97.0 per cent from 72.1 per cent at  September 30, 2012 and 79.7 per cent at December 31, 2012.

The operating income of the bank grew by 16.2 per cent and foreign exchange and derivatives income experienced a growth of 15.7 per cent, the operating expenses increased by 13.2 per cent, which reflected ongoing investment in new initiatives and operating platforms to enhance NBF’s customer service experience. Cost-to-income ratio also improved to 36.2 per cent compared to 37.2 per cent in the corresponding period of 2012.

Capital adequacy and advances-to-deposits ratios were maintained at 15.9 per cent (Tier 1 ratio: 14.6 percent) and 86.3 per cent respectively, above Central Bank minimum requirements.

Total assets of Dh19.6 billion were up 11.7 per cent from Dh17.5 billion at year end and up 22.0 per cent from September 30, 2012. Loans and advances of Dh13.9 billion were up 14.0 per cent from Dh12.2 billion at year end and up 20.1 per cent from September 30, 2012.

Customer deposits of Dh13.3 billion were up 6.6 per cent from Dh12.4 billion at year end and up 18.2 per cent from September 30, 2012.

Easa Saleh Al Gurg, KCVO, CBE, and Vice Chairman of NBF, said, "We are pleased to highlight once again the growth momentum of the bank, as can be seen through the steady growth of its loans and advances, customer deposits, operating profit and net profit. Improvement in the NPL ratio will further augment the bank’s underlying performance. 

"Customer service delivery remains the cornerstone of the bank’s high quality performance, as well as efforts to raise its public profile to better leverage opportunities in the improving regional economy. NBF also remains committed to the aspirations of the UAE and will continue to play a role in the country’s growth through ongoing talent development efforts within the bank and regular investment in the local community," he added.




 

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