Thu 19-10-2023 22:20 PM
ABU DHABI, 19th October, 2023 (WAM) — First Abu Dhabi Bank (FAB) has achieved record performance in the first nine months of 2023. Net profit for the period reached AED 12.4 billion, up 58% year-on-year on an underlying basis (excluding Magnati-related gains in 2022), and revenue was AED 20.5 billion, up 38% year-on-year, reflecting the successful and sustained execution of the bank’s growth strategy. Return on tangible equity improved to 18.3%. Net profit for the third quarter of 2023 increased by 46% to AED 4.3 billion, the highest ever on an underlying basis, with revenue up 27% to AED 7.0 billion, according to a statement issued by the country’s largest bank today.
Hana Al Rostamani, Group Chief Executive Officer of FAB, said: “In the third quarter of 2023, we achieved solid results contributing to a record net profit of AED 12.4 billion for the first nine months of 2023, a 58% surge year-on-year on an
underlying basis. In addition, group revenue exceeded AED 20 billion. FAB’s reaffirmed superior credit ratings of AA- (or equivalent), our international and diversified franchise, our financial strength and ample liquidity, are among the distinct
competitive strengths that position us well to continue our steady progress towards our strategic goals.”
She added,”With climate finance being a critical factor in climate progress, FAB is making strides on multiple fronts including supporting energy transition and providing green financing, in addition to minimising its own footprint and spearheading change across the region. FAB was the first GCC bank to join the industry-led UN-convened Net Zero Banking Alliance (NZBA). As a leading voice in the regional financial sector relating to sustainability, we are fully aligned with the ambitions of Abu Dhabi and the UAE to deliver a sustainable future for all. This is underscored in our strategic pathway partnership with COP28 as well as in our commitment to net-zero emissions by 2050. As the markets strengthen their trade flows and form broader economic partnerships across the globe, FAB’s international franchise ensures that we continue to play our unique role as a facilitator of global trade and investment”.
Lars Kramer, Group Chief Financial Officer at FAB, said: “FAB produced another strong set of results in the third quarter of 2023, delivering double-digit growth in revenue and bottom line and building on the core growth momentum achieved since the start of the year. Return on Tangible Equity for the first nine months of 2023 improved to 18.3%, with Group CET1 reaching 14.2% as of September 2023 underlining strong capital accretion. Operating income grew 38% year-on-year from continued expansion in net interest income coupled with growth from diversified revenue streams, demonstrating our ongoing strategic focus on deepening client relationships across our global franchise.”