Emirates NBD posts $490m Q3 profit
Dubai, October 24, 2011
Emirates NBD, a leading bank in the region, has posted an operating profit of Dh1.8 billion ($490 million) for the third quarter of the year, the bank’s highest quarterly level this year.
With an operating profit of Dh5 billion for the nine months ended September 30, the net profit for period stood at Dh 2.3 billion, up 20 per cent compared with the same period in 2010.
Earnings per share for the period was up 23 per cent to Dh0.38.
The results do not include the financial results for Dubai Bank as the effective date of takeover occurred after the balance sheet date, the bank said in a statement.
The takeover is not expected to impact Emirates NBD’s net profit or non-performing loans ratio as on the date of acquisition, it added.
“These financial results reflect a positive and strong operational performance and demonstrate the strength and resilience of Emirates NBD,” said Sheikh Ahmed bin Saeed Al Maktoum, Chairman of Emirates NBD.
“We have taken a more conservative approach to strengthen the Bank’s position to meet the challenges reflected in the broader global financial markets and Emirates NBD is well-placed to realise its vision to be the leading and one of the largest and most successful banks in the region.”
Emirates NBD’s chief executive officer, Rick Pudner, said: “During the first 9 months of 2011 we have delivered a robust set of financial results with net profits for the period up 20 per cent, despite adopting a significantly more conservative approach to de-risking the balance sheet. This not only reflects the progress made by the bank in addressing the challenges posed during the last few years but also demonstrates our ability to take advantage of gradually improving economic conditions and to deliver on a clear strategic course.”
“While the outlook has become more cautious and uncertain, our strong levels of capitalisation and liquidity offer both resilience and flexibility for the future and an ability to take advantage of selected growth opportunities,” he added.
Emirates NBD’s chief financial officer, Surya Subramanian, said: “In the first 9 months of 2011, the Bank has continued to deliver strong levels of operating profitability, adjusting rapidly to changing market dynamics through alignment of the various operating levers we have at our disposal. In fact, in Q3 2011 we have achieved the highest level of operating profit over the last four quarters.” – TradeArabia News Service