CBI Q2 profit falls 8.5%

Abu Dhabi-listed Commercial Bank International (CBI) said its second-quarter net profit dropped 8.5 per cent to Dh90.4 million ($24.6m) from a year earlier.

The bank said its first half net profit declined 4.1 per cent to Dh131.1 million from a year earlier.

However, net interest income in the second quarter grew to Dh108m from Dh42.3m over the same period a year earlier, CBI said in a statement on the Abu Dhabi bourse website.

Total income for the second quarter rose 22.6 per cent to Dh307.5m against Dh250.9m for the corresponding period last year.

The bank's customer deposits increased marginally to Dh8.39 billion from Dh8.30 as of December 31, 2007. Net loan and advances grew by 8.4 per cent to Dh8.63bn from Dh7.96bn as of December 31, 2007.

The bank could keep the capital adequacy ratio at 13.13 per cent as of June 30, 2008. The central bank requires the ratio to be maintained at 10 per cent.

The bank said the overall growth in profitability, assets and continued sustainable growth in all core business sector during the second quarter of the year was quite positive.

Earnings Per Share (EPS) declined to Dh1.05 as on June 30, 2008 against Dh1.109 for the second quarter of 2007.