Abu Dhabi Commercial Bank PJSC (ADCB) has announced impressive financial results for Q2’24, highlighting significant growth driven by strong UAE economic fundamentals.
In the first half of 2024 (H1’24), ADCB’s net profit before tax surged by 30% year-on-year to AED 2.593 billion in Q2 and 28% to AED 5.023 billion for H1. Post-tax, net profit reached AED 4.456 billion for H1 and AED 2.317 billion for Q2, reflecting returns on average tangible equity of 15.0% and 16.5%, respectively.
The bank's strategy for accelerated growth is yielding results, with ADCB crossing AED 600 billion in total assets, marking a 14% compounded annual growth rate over three years. Operating income exceeded AED 9 billion for H1, supported by double-digit growth in both net interest and non-interest income.
ADCB’s credit growth is broad-based, driven by favorable UAE economic conditions. Net loan growth of AED 30 billion in H1 was achieved with minimal increase in credit risk-weighted assets, rising by only AED 6 billion. Consequently, ADCB updated its full-year 2024 loan growth guidance to approximately 15%.
The Retail Banking Group (RBG) has leveraged digital platforms to expand reach, achieving a record 44,000 new customer registrations in May. Digital engagement increased, with internet and mobile banking subscribers up 34% year-on-year. Retail loans grew strongly, with personal loans up 10%, auto loans 19%, and mortgages 24% higher by June end.
The Corporate and Investment Group (CIBG) capitalized on rising corporate investments, establishing over 3,500 new banking relationships year-to-date. ADCB’s advisory services and product suite have ensured a market-leading fee-to-income ratio.
ADCB’s deposits rose to AED 390 billion by June, driven by a 44% increase in current and savings accounts. The bank's capital ratios remain strong, with capital adequacy and CET1 ratios at 16.43% and 13.17%, respectively.
Looking ahead, ADCB’s focus on customer experience excellence aims to further expand its market share.
News Source: Emirates News Agency
