ADCB logs 23% Q2 net profit

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Abu Dhabi Commercial Bank reported a net profit of $525 million in the second quarter of 2023.
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  • The bank’s interest income reached $797 million marking a 14 percent YoY increase
  • The cost to income ratio improved by 450 basis points YoY to 32.0 percent

Abu Dhabi, UAE — Abu Dhabi Commercial Bank (ADCB) reported a net profit of AED 1.932 billion ($525 million) in the second quarter of 2023, an increase of 23 percent year-on-year (YoY).This performance was driven by broad-based income growth and improved efficiency metrics.

The company’s net interest income reached AED 2.930 billion ($797 million), marking a 14 percent YoY increase, and its non-interest income amounted to AED 1.129 billion ($307 million), showing a 22 percent YoY increase.

During the first half of 2023 (H1’23) compared to H1’22, ADCB’s net profit reached AED 3.811 billion ($1.04 billion), reflecting a 25 percent increase. Net interest income stood at AED 5.782 billion ($1.57 billion), increasing by 23 percent, while non-interest income settled at AED 2.190 billion ($595 million), rising by 28 percent. The operating income reached AED 7.971 billion ($2.17 billion), which represented a 24 percent increase. Additionally, the bank’s cost to income ratio improved by 450 basis points YoY to 32.0 percent.

ADCB’s Group Chief Executive Officer, Ala’a Eraiqat, stated that the bank is experiencing solid growth momentum and continues to set new records wit the return on average tangible equity at14.8 percent for the first half. He said the bank’s strong market position and digital innovation as drivers of growth, supported by the UAE’s robust economic fundamentals.

During the first half, ADCB extended AED 38 billion ($10.3 billion) in new credit across diverse economic sectors and the retail segment, resulting in a net loan growth of 5 percent during the period. Deposits also increased by AED 7 billion ($1.9 billion), reflecting the trust customers place in the bank’s franchise.

ADCB attracted a record of over 260,000 new retail customers through its UAE operations and over 3,500 new corporate clients.

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