Dubai - Mubasher: Emirates Islamic, a leading Islamic financial institution in the UAE, posted a 39% year-on-year increase in its net profit for the first half of 2019, recording AED 673 million.
Total assets stood at AED 61.1 billion as at 30 June 2019, up 5% from as at 31 December 2018, Emirates Islamic said in a statement on Wednesday.
The bank’s total income grew by 10% in the first six months of 2019 to AED 1.3 billion, the lender added.
Moreover, the funded income margins increased by 21 basis points (bps) to 3.16% as compared to H1-18.
Financing and investing receivables increased by 1% year-on-year during the six-month period ended 30 June 2019 at AED 36.6 billion, the bank noted.
Customer accounts grew by 5% at the end of June 2019 to AED 43.8 billion as compared to the end of 2018, while current and savings accounts balances rose 3% from end 2018.
Meanwhile, the bank’s impaired financing ratio stood at 8.6% with a robust coverage ratio of 115%, and the headline financing to deposit ratio was at 83%.
Emirates Islamic’s Tier 1 capital ratio was at 17.8% in H1-19 and capital adequacy ratio was at 18.9%.
Hesham Abdulla Al Qassim, chairman of Emirates Islamic and vice-chairman and managing director of Emirates NBD commented: “Emirates Islamic has driven the growth of Islamic banking in the UAE, setting benchmarks in customer experience and innovation.
“Our success is a reflection of the increasing appetite for Shari’a-compliant banking in the UAE and the region, and we will continue to support the vision of the Government to make Dubai the global capital of the Islamic economy,” he added.
Emirates Islamic previously reported a 97% hike in net profit for the first quarter of 2019, achieving AED 411 million, compared to AED 209 million in Q1-18.
In June, Fitch Ratings had affirmed the bank’s long-term issuer default rating (IDR) at 'A+' with a stable outlook.
