United Arab Bank has announced its financial results for the three months ended March 31, 2024, reporting a net profit after tax of AED68 million ($18 million) for the first three months in 2024 as compared to net profit of AED55 million for the first three months in 2023, a report said.

This represents a year-on-year increase of 25%. Total income was higher by 33% yoy at AED 163 million, Emirates News Agency, WAM, said.

The growth in net profit is a result of significant increase in the bank’s total assets compared to the corresponding reporting period and a prudent approach to risk management. The balance sheet has been significantly strengthened with focus on quality.

These results provide further evidence that the bank is well positioned to set sail on its growth journey.

Sheikh Mohammed bin Faisal bin Sultan Al Qassimi, Chairman of the Board of Directors of United Arab Bank, said: “We are pleased with the positive results accomplished for Q1 of 2024, which reflects the bank’s success in effectively delivering the set strategy that supports our growth and most importantly our shareholders' expectations.

“The bank’s total assets recorded AED17.9 billion as of Q1 2024, with net loans, advances and Islamic financing increasing by 2% and customer deposits increasing by 4% during the quarter.

“Moreover, asset quality metrics improved further with NPL ratio reduced to 4.8%, whilst coverage improved to 127%, compared to 7.8% and 102%, respectively, in Q1 2023.”

Sheikh Mohammed bin Faisal bin Sultan Al Qassim, said: “Our objectives and vision for UAB are aligned with the UAE leadership’s vision, growth plans and ambitions for the country. Moreover, we are well poised to take advantage of the robust foundation and the favourable macroeconomic trends as we continue to expedite measured actions for considerable growth.”

Shirish Bhide, Chief Executive Officer of United Arab Bank, said: “The growth in total net revenues and profits in the first quarter of 2024 is clear evidence of the success of the many initiatives that have been implemented at United Arab Bank.

“We will pursue our ambitious vision relentlessly and accelerate the pace of investments in our growth strategy with a focus on developing innovative products and services that meet all customer aspirations whilst upholding the highest standards of compliance and internal controls.” – TradeArabia News Service