RAKBank posts 10.8% jump in 9-month profits
dubai — The National Bank of Ras Al Khaimah (RAKBank) Group announced on Tuesday a 10.8 per cent increase in net profit to Dh671.8 million for the first nine months of 2018.
The bank said the third quarter generated a profit of Dh240.1 million, an increase of 6.8 per cent year-on-year and a six per cent increase compared with the second quarter of 2018.
The bank’s CEO Peter England said the trends for the nine months show positive signs, and the impairments are on a downward trend. “The ample liquidity and rise in customer deposits have reflected in the bank’s solid progress in the wholesale banking, business banking, personal banking, and treasury.”
In a statement, England said the bank remains very committed to its diversification strategy, which is now delivering growth in net interest income while lowering its risk profile.
Total assets have grown 12.4 per cent to Dh51.8 billion compared to the same 2017 period. Gross loans & advances and investments increased respectively by Dh2.5 billion and Dh2.4 billion year-on- year.
“The healthy growth of corporate loans from wholesale banking segment contributed to the increase of the gross loans & advances by 7.7 per cent year-on-year. Customer deposits grew by Dh3.2 billion to Dh34.6 billion, a 10.1 per cent growth compared to September 2017.
The bank’s operating income, which increased by 1.2 per cent for third quarter, was Dh2.8 billion for the nine months while the net interest income rose by 1.5 per cent to Dh2.1 billion and the non-interest income declined by 8.2 per cent due to lower investment income due to decreases in volume of sale of investments.