SIB achieves an increase in operating profits by 27%
SHARJAH: Sharjah Islamic Bank (SIB) achieved an increase in its operating profits before provisions amounting to Dhs 212.2 million, compared to Dhs 167.2 million for the same period last year, with an increase of 27%, while net profit for the three months ended 31 March 2021 amounted to Dhs164.2 million, compared to Dhs 153.7 million for the same period last year, despite of provision increase of 254.6% as a result of the increase in net provisions for impairment, which amounted to AED 48.0 million, compared to Dhs 13.5 million from the same period last year, an increase of Dhs 34.5 million.
The SIB continued to diversify its financing facilities porfolio in different economic sectors in accordance with its prudent credit policy that takes into consideration the effects of the prevailing market volatility and instability in global and regional capital market on banking operations. Financing facilities reached Dhs 29.3 billion, in the same level at the year-end 31 December 2020.
SIB successfully atracted more deposits during the period as customer deposits increased by 5.6% to reach Dhs 35.5 billion compared to Dhs 33.6 billion at the yearend 31 December 2020.
Liquid assets stayed strong at Dhs 12.8 billion or 23.3% of total assets at the end of March 2021.
On the expenses side, general and administration expenses declined to Dhs 131.4 million at the end of the 1st quarter 2021 compared to Dhs 135.0 million for the same period 2020, a decrease of Dhs 2.1 million or 1.5%, due to operational efficiencies achieved by the Bank.