Emirates NBD, Dubai’s biggest lender, reported a net profit of 5.2 billion UAE dirhams ($1.4 billion) in Q3 2023, up 38% compared with the same period last year, on loan growth and higher transaction volumes.

The effort was in line with analysts’ mean estimate of AED 5.216 billion, according to LSEG data.

For the nine-month period, the bank's profit nearly doubled to AED 17.5 billion, the lender said in a regulatory statement on Dubai's DFM bourse on Thursday.

The banking group’s low-cost current and savings account (CASA ) deposit base "was stable in the third-quarter, enabling the bank to benefit from higher interest rates," Patrick Sullivan, Group Chief Financial Officer, Emirates NBD, said.

Impairment allowances were 60% lower at AED 600 million.

Emirates NBD added AED 503 billion in deposits in the nine-month period, while net interest margin (NIM) was 4% on improved loan and deposit mix and higher interest rates.

Total assets as of September 30, 2023 was 16% higher at AED 836 billion.

Emirates Islamic Bank

Emirates Islamic Bank, the Islamic subsidiary of Emirates NBD, made a Q3 net profit of AED 435.3 million, up 23% year-on-year.  

For M9, net profit increased to AED 1.647 billion on the back of higher funded and non-funded income.

(Reporting by Brinda Darasha; editing by Seban Scaria)

brinda.darasha@lseg.com