National Bank of Fujairah PSC (NBF) 2011 nine-month profit leaps 54% to AED 200.9 million
Results reflect continued progress in core businesses
National Bank of Fujairah PSC (NBF) is pleased to announce its results for the nine-month period ended 30 September 2011.
Highlights:
- NBF recorded a net profit of AED 200.9 million compared to AED 130.8 million in 2010
- Results were driven by strong core business performance, effective balance sheet management and reduction in loan loss provision
- Loan loss provision was AED 91.0 million compared to AED 148.5 million in the corresponding period of 2010
- Operating income grew by 12.7%
- Cost-to-income ratio of 39.5% (2010: 36.8%) reflects investment in new initiatives to fuel future growth
- Strong capital adequacy and advances-to-deposits ratios were maintained at 20.9% (Tier 1 ratio of 13.1%) and 88.2%, well ahead of Central Bank minimum requirements
- Total assets of AED 14.1 billion were up 9.2% from AED 12.9 billion at year end
- Total loans and advances of AED 10.0 billion were up 15.2% from AED 8.7 billion at year end
- Return on assets was 1.9% compared to 1.4% for the corresponding period in 2010
Return on equity was 13.5% compared to 9.6% for the corresponding period in 2010
H.E. Sir Easa Saleh Al Gurg, KCVO, CBE Deputy Chairman commented:
"We are pleased to see the Bank's strong progress towards its target operating performance and outperforming the Industry on the back of its core business. The loan book saw an encouraging growth of 15%, which is significantly greater than the Industry average. The Bank continues to believe good business is very much alive in the UAE despite the wider global challenges and will continue to leverage these opportunities."
National Bank of Fujairah PSC (NBF) has recorded a profit of AED 200.9 million for the first nine months of 2011. This compares to a profit of AED 130.8 million in the corresponding period of 2010.
Operating income increased by 12.7% to AED 475.2 million compared to AED 421.7 million in the same period of 2010. NBF's net interest income of AED 317.5 million registered a growth of 19.4% over last year's AED 266.0 million. This reflected a strong performance in the Bank's core business and effective balance sheet management. Operating expenses rose by 20.9% from AED 155.2 million to AED 187.6 million as a result of further investment in new initiatives. The cost-to-income ratio was 39.5%.
About National Bank of Fujairah PSC:
Incorporated in 1982, National Bank of Fujairah PSC (NBF) is a full services corporate bank with strong wholesale banking and trade finance expertise. Leveraging its deep banking experience and market insight within Fujairah and the UAE, NBF is well-positioned to build lasting relationships with its clients and help them achieve their business goals.
NBF's key shareholders include the Government of Fujairah, the Government of Dubai and business pioneer and community leader H.E. Sir Easa Saleh Al Gurg, KCVO, CBE. It is listed on the Abu Dhabi Securities Exchange under the symbol "NBF" and has a branch network of 13 across the UAE.