ADCB first-quarter profit climbs 15pc
Abu Dhabi, April 22, 2014
Abu Dhabi Commercial Bank reported a 15 per cent increase in first-quarter net profit on Tuesday, beating analysts' expectations, as the lender benefited from the improving local economic conditions.
The UAE's fourth-largest lender by assets posted a net profit attributable to shareholders of 953 million dirhams ($260 million) in the opening three months of 2014, up from 829.5 million dirhams in the prior-year period.
Seven analysts polled by Reuters had estimated an average first-quarter profit of 853.1 million dirhams.
UAE banks are expected to post strong profit growth in the first quarter, continuing the trend from 2013, as the local economy rebounds from a real estate crash and problems at Dubai sovereign-linked entities at the end of the last decade.
On Monday, Abu Dhabi Islamic Bank reported a 20.4 percent rise in earnings, citing higher lending.
First Gulf Bank and Emirates NBD are due to report their earnings for the first quarter on Wednesday and Thursday respectively.
Abu Dhabi Commercial Bank, nearly 60 percent owned by the Abu Dhabi government, saw a 10 percent increase in net interest income as lower interbank lending rates and a growing deposit base from low cost sources cut interest expenses by a third, the statement said. - Reuters