Khaleej Times, Sunday, Feb 19, 2023 | Rajab 28, 1444
United Arab Bank reports financial results for 2022
Emirates:
United Arab Bank PJSC (UAB) has released its financial results for the year
ending 31st December 2022, reporting a net profit of AED155 million. This
represents a 120 percent increase from the AED70 million net profit recorded in
2021, driven by improved operating performance and lower expected credit losses,
alongside disciplined cost control.
UAB's core businesses have made significant progress, with total operating
income growing by 11 percent in FY 2022 compared to FY 2021. Operating profit
has also improved by 21 percent in 2022 compared to 2021. Provision charges
reduced by 31 percent in 2022 compared to 2021, and the Bank maintained adequate
levels of capital with a capital adequacy ratio of 14.5 percent and a CET1 ratio
of 13.4 percent, both of which are well above regulatory requirements.
UAB's NPL ratio improved from 11.6 percent in FY 2021 to 8.2 percent in FY 2022,
and earnings per share improved to eight fils per share compared to three fils
per share in FY 2021.
The Bank remains committed to growing its core businesses and revenues across
its wholesale banking, retail banking, and financial markets, while also
investing in digital solutions and capabilities to create a more agile operating
model. UAB is focused on positioning itself as the partner of choice among major
corporate clientele segments.
UAB's liquidity profile is robust, with an Advances to Stable Resources Ratio
(ASRR) of 87 percent and an eligible liquid asset ratio of 18 percent, both
comfortably above regulatory thresholds.
Sheikh Faisal bin Sultan bin Salem Al Qassimi, Chairman of the Board of
Directors, UAB, said, "We are pleased with the financial performance of the bank
for the year 2022. The Bank is moving ahead according to a well-thought-out
strategy that supports growth and shareholders' expectations. Backed by the
strong economy in the UAE, we are confidently looking forward to the future and
continuously developing our efficient business model and activities in line with
our sustainable growth strategy."
Shirish Bhide, Chief Executive Officer of United Arab Bank, commented, "The
growth in the Bank's net profit indicates a strong performance in all aspects of
the bank's businesses and proves that we are on track to achieve our strategic
and financial objectives. Our focus will remain on the delivery of an enhanced
customer experience and continued investment in digitisation programmes."
Bhide added, "We are confident we can deliver our strategy, building on the
significant progress we made over the past year and the positive business
environment. We will continue to invest in developing the bank's digital
platforms to increase competitiveness and create a more efficient, resilient,
and seamless service at a pace that suits our customers' expectations."