DIB profit up 16% as Islamic financing, investing deals rise
Robust growth in core business continued to support revenues
Dubai Islamic Bank (DIB) Group reported Dh1.21 billion first quarter net profit, up 16 per cent compared to Dh1 billion in the same period last year.
Profitability improved further with total income increasing to Dh2.69 billion compared to Dh2.37 billion for the same period in 2017. The bank reported sustained growth in core businesses, as income from Islamic financing and investing transactions rose 16 per cent.
“DIB carries on growth aspirations in the coming years following recent approvals from our shareholders to increase its capital and deploying it towards growing and expanding the business franchise,” said Mohammad Ebrahim Al Shaibani, Director-General of The Ruler’s Court of Dubai and Chairman of DIB.
Net revenue was Dh1.97 billion, an increase of 9 per cent compared with Dh1.8 billion in the same period of 2017.
Operating expenses fell to Dh590 million in the first quarter 2018 fromDh592 million in the same period in 2017. As a result, cost to income ratio significantly improved to 29.9 per cent. “The significant growth in profitability has enabled the bank to continue to distribute strong dividends to shareholders whilst optimising internal generation of capital,” said DIB Managing Director, Abdullah Al Hamli.
“The year once again started on a strong note with 16 per cent profitability growth clearly signifying that the plans put in place continue to yield strong returns,” said DIB Group CEO Dr Adnan Chilwan.