Emirates NBD’s net profit jumps 63% in first 9 months of 2019
October 28, 2019, 10:57 am

Emirates NBD’s net profit jumps 63% in first 9 months of 2019

A customer uses an ATM machine at the Emirates NBD head office in Dubai. (File photo Reuters)

Emirates NBD, Dubai’s largest bank, said on Monday that its net profit for the first nine months of 2019 jumped 63 percent year-on-year to 12.5 billion dirhams as a result of its acquisition of DenizBank earlier in the year and the sale of Network International.

The bank said its total assets grew 35 percent to AED 675.6 billion after the acquisition. Results also included a AED 4.4 billion impact from the Network International deal.

Excluding DenizBank’s acquisition and the impact of the Network International transaction, the lender’s net profit rose 3 percent.

Core operating profit also edged up, supported by a 17 percent increase in net interest income on loan growth, and a 31 percent increase in non-interest income from higher foreign exchange and credit card income, the bank said.

“The operating performance for the first nine months of 2019 was pleasing as core operating profit advanced 5 percent supported by asset growth and higher fee income,” Surya Subramanian, Group Chief Financial Officer said in a statement.

Emirates NBD also noted that impairment charges more than doubled year-on-year with cost of risk increasing to an annualized 103 basis points “due to the inclusion of DenizBank and lower writebacks and recoveries.”

An impairment describes a permanent reduction in the value of a company's asset, typically a fixed asset or an intangible asset.

In September, the bank announced an immediate increase in its foreign ownership limit from five percent to 20 percent and said it would seek to raise the limit to 40 percent in the future.

The bank’s shares on the Dubai Financial Market (DFM) edged up 0.80 percent on Monday morning.

Emirates NBD currently has around 14 million customers and operates across 13 countries.

source:Reem Abdellatif

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BENEFIT, the Kingdom’s innovator and leading company in Fintech and electronic financial transactions service, has sponsored the BuildHer CityHack 2025 Hackathon, a two-day event spearheaded by the College of Engineering and Technology at the Royal University for Women (RUW).
Aimed at secondary school students, the event brought together a distinguished group of academic professionals and technology experts to mentor and inspire young participants.
More than 100 high school students from across the Kingdom of Bahrain took part in the hackathon, which featured an intensive programme of training workshops and hands-on sessions. These activities were tailored to enhance participants’ critical thinking, collaborative problem-solving, and team-building capabilities, while also encouraging the development of practical and sustainable solutions to contemporary challenges using modern technological tools.
BENEFIT’s Chief Executive Mr. Abdulwahed AlJanahi, commented: “Our support for this educational hackathon reflects our long-term strategic vision to nurture the talents of emerging national youth and empower the next generation of accomplished female leaders in technology. By fostering creativity and innovation, we aim to contribute meaningfully to Bahrain’s comprehensive development goals and align with the aspirations outlined in the Kingdom’s Vision 2030—an ambition in which BENEFIT plays a central role.”
Professor Riyadh Yousif Hamzah, President of the Royal University for Women, commented: “This initiative reflects our commitment to advancing women in STEM fields. We're cultivating a generation of creative, solution-driven female leaders who will drive national development. Our partnership with BENEFIT exemplifies the powerful synergy between academia and private sector in supporting educational innovation.”
Hanan Abdulla Hasan, Senior Manager, PR & Communication at BENEFIT, said: “We are honoured to collaborate with RUW in supporting this remarkable technology-focused event. It highlights our commitment to social responsibility, and our ongoing efforts to enhance the digital and innovation capabilities of young Bahraini women and foster their ability to harness technological tools in the service of a smarter, more sustainable future.”
For his part, Dr. Humam ElAgha, Acting Dean of the College of Engineering and Technology at the University, said: “BuildHer CityHack 2025 embodies our hands-on approach to education. By tackling real-world problems through creative thinking and sustainable solutions, we're preparing women to thrive in the knowledge economy – a cornerstone of the University's vision.”