Sharjah: United Arab Bank’s (UAB) a net profit for the first quarter of 2014 surged 34 per cent to Dh161 million compared to the same period in 2013, the bank reported on Wednesday.
The bank recorded operating income of Dh223 million, up 44 per cent from the first quarter of 2013. Total income improved 45 per cent to Dh327 million, with both net interest income and other income up 42 per cent and 52 per cent respectively, compared to the first quarter of 2013.
“UAB’s sustained growth and momentum of recent years continues, strengthening our position in a highly competitive market. As we continue to gain traction, we are confident of our ability to deliver solid results and offer true value to customers, shareholders and partners,” said Shaikh Faisal Bin Sultan Bin Salem Al Qasimi, Chairman of the Board of Directors.
Bank’s non-interest income grew strongly in the quarter to Dh87 million, driven primarily by net fees & commissions of Dh30 million and foreign exchange income of Dh20 million.
UAB’s customer loans and advances increased by 47 per cent to Dh17.2 billion versus March 2013. Customer deposits grew by 46 per cent in the same period to stand at Dh16.4 billion.
Loans, advances
“Our Loans & advances have significantly increased and so have our customer deposits, indicating our customer-centric approach as one of the main reasons we continue to perform outstandingly well. In addition, our focus continues to be on identifying and developing new income drivers, with success demonstrated by growth across all key income metrics,” said Paul Trowbridge, Chief Executive Officer of UAB.
Operating expenses for the quarter were Dh104 million compared to Dh71 million in the corresponding period of 2013. Provision charges in the first quarter of this year were Dh61 million, compared to Dh34 million for the same period in 2013 while non-performing loan ratio was 1.66 per cent the coverage ratio was at 113 per cent at the end of the third quarter this year.
