Based on Press Release : BY EMIRATESNBD ON OCT 26, 2023 09:13:02 AM
Emirates NBD Reports Record Profit and Strong Business Performance in 2023
Emirates NBD, a leading banking institution in the UAE, has achieved remarkable financial results in the first nine months of 2023, with its profit surging by an impressive 92% to AED 17.5 billion. This outstanding performance is attributed to significant loan growth, a stable low-cost funding base, increased transaction volumes, and substantial recoveries.
Key Highlights from the First Nine Months of 2023:
- Record Profit: Emirates NBD reported a record-high profit of AED 17.5 billion, with Q3’23 profit exceeding AED 5 billion for the third consecutive quarter. The bank’s market-leading deposit franchise grew by AED 67 billion, including AED 33 billion from low-cost Current and Savings Accounts.
- Strong Business Growth: The bank witnessed an impressive 8% loan growth driven by robust retail lending momentum and landmark deals in corporate banking. All business units delivered higher income, contributing to a 44% increase in total income to AED 32.7 billion.
- Digital Innovation: Emirates NBD continued to focus on digital innovation, rolling out the ‘ENBD X’ mobile banking app, which became the number one banking app in the region. The bank expanded its digital wealth platform, providing customers access to over 11,000 global equities.
- Commitment to Sustainability: As the Principal Banking Partner for COP28, Emirates NBD demonstrated its commitment to sustainability by launching its Sustainable Finance Framework and issuing a USD 750 million green bond, the largest ever from a regional bank.
- Corporate and Institutional Banking: The bank strengthened its strategic partnerships with major government entities and corporates, achieving a 104% jump in profitability. Landmark corporate deals, including hybrid credit facilities and revolving credit facilities, were closed for large multinational customers.
- Global Markets and Treasury: Emirates NBD’s global markets and treasury segment delivered outstanding performance, generating almost AED 3 billion in income. The trading desk reported robust numbers, with foreign exchange trading posting 89% growth.
Leadership Perspectives:
- Hesham Abdulla Al Qassim, Vice Chairman and Managing Director: Al Qassim emphasized the bank’s increasing regional presence and leading digital capabilities, highlighting its commitment to service excellence and growth across various business segments.
- Shayne Nelson, Group Chief Executive Officer: Nelson attributed the bank’s remarkable profit surge to significant loan growth and increased transaction volumes. He underscored the bank’s market-leading deposit franchise and successful rollout of digital initiatives.
- Patrick Sullivan, Group Chief Financial Officer: Sullivan highlighted the bank’s strong capital base, enabling a 13% growth in the balance sheet to AED 836 billion. He emphasized the bank’s recognition by Fitch and its successful issuance of a USD 750 million green bond.
Outlook and Economic Context:
Emirates NBD remains optimistic about the economic outlook in the GCC region, with resilient non-oil sectors and robust activity indicated by PMI surveys. The bank revised its forecast for UAE non-oil GDP growth and expects significant investment in renewable energy as part of the national energy strategy.
Overall, Emirates NBD’s exceptional financial performance, commitment to sustainability, and focus on digital innovation position it as a leader in the banking sector, driving growth and supporting economic development in the UAE and beyond.
