Sharjah Islamic Bank (SIB) reported a 19.4 percent rise in first-quarter net profit, supported by higher income from Islamic financing and continued growth across business segments.
Net profit after tax reached 380.7 million dirhams ($103.7 million) in the three months to March 31, compared with 318.9 million dirhams in the same period a year earlier, the bank said on Monday.
Income from investments in Islamic financing and sukuk increased by 131.8 million dirhams, or 14.4 percent, to about 1.05 billion dirhams, up from 914.3 million dirhams a year earlier. Profit distributions to depositors and sukuk holders rose to approximately 581.7 million dirhams from 546.9 million dirhams in the prior-year period.
Net fee and commission income and other operating income grew 9.3 percent to 179.7 million dirhams, helping lift total operating income by 21.1 percent to about 644.1 million dirhams, compared with 531.7 million dirhams a year earlier.
General and administrative expenses increased 17.9 percent to around 233.8 million dirhams, mainly due to continued investment in talent development and technology infrastructure. Net operating income before impairment provisions rose 23.1 percent to 410.3 million dirhams, compared with 333.4 million dirhams in the same period of 2025.
Impairment provisions for financial assets stood at 30.5 million dirhams, while recoveries reached 39.2 million dirhams, compared with provisions of 29.2 million dirhams and recoveries of 46.4 million dirhams a year earlier. The non-performing financing ratio remained stable at 3.8 percent, with a coverage ratio of 107 percent.
Total assets were broadly steady at 90.9 billion dirhams at the end of March, up 1 percent from 90.3 billion dirhams at the end of 2025, driven by a 2.6 percent increase in Islamic financing to 46.8 billion dirhams.
Customer deposits rose 10.3 percent to 61.4 billion dirhams, improving the financing-to-deposit ratio to 76 percent from 82 percent at year-end. Liquidity stood at 21.8 percent of total assets, equivalent to 19.8 billion dirhams, compared with 22.3 percent previously.
Return on assets and return on equity reached 1.68 percent and 16.27 percent, respectively, compared with 1.55 percent and 14.78 percent a year earlier.