Emirates: Abu Dhabi Islamic Bank (ADIB) a leading financial institution, has announced that its general assembly has approved a cash dividend of Dh1.7 billion, or 49 fils per share, for the fiscal year ending December 31, 2022.

"This represents an increase from 31 fils per share in 2021 and constitutes 49.2 per cent of the bank's net profit for the year, according to a statement on Tuesday.

In addition, ADIB delivered a return on equity (ROE) of 21.4 per cent, one of the highest rates in the sector, reflecting the bank's solid momentum across its core businesses and an improved macroeconomic environment.

During the meeting, the ADIB general assembly also approved the board of directors' report, the auditors' report, and the financial statements for the year 2022.

“We are proud to say that in 2022, we capitalised on our strengths and executed on our strategic initiatives to achieve exceptional results. We would like to extend our sincere appreciation to our shareholders for their continued support and trust in our vision," Jawaan Awaidha Suhail Al Khaili, ADIB's chairman, said.

"Our efforts to diversify our income, expand into new segments, and maintain strong asset quality have yielded a significant ROE of 21.4 per cent, one of the highest in the industry. The consolidation of our Egypt franchise in fourth quarter of 2022 marks an important milestone for our growth trajectory," he said.

"We are also proud of our firm commitment to the ESG agenda within our strategic business plan for the next five years, coinciding with the UAE declaring the Year of Sustainability, as we see a real integration of sustainability at all levels in our business.

We look forward to working with entities and institutions in the UAE and our counterparts to develop innovative solutions that will support economic and sustainable development, and to advance our shared vision of a more prosperous and resilient future,” he said.

Nasser Al Awadhi, ADIB's group chief executive officer, added: "Throughout the year, ADIB has made significant progress towards realising its vision, as demonstrated by our strong financial performance and ongoing focus on transformation to build a resilient bank.

He said the announcement of cash dividends totalling Dh1.7 billion for 2022 is a testament to ADIB's unwavering commitment to creating long-term sustainable value for our shareholders.

"Our commitment to sustainable banking practices and digital transformation, combined with the hard work and dedication of our team members, has driven our strong financial performance. We anticipate that the high demand for our digital banking services will continue to grow in 2023, allowing us to further enhance our digital capabilities and provide unparalleled banking solutions to our valued customers."

ADIB has witnessed steady growth in 2022 across all its businesses. The bank's market share continued to grow, and customer finance and funded income both increased by 22 per cent and 24 per cent, respectively.

ADIB also delivered a solid fee income growth of 43 per cent, reflecting its focus on delivering specialised offerings and innovative solutions. The e bank’s franchise was further enhanced by new growth platforms, including increased ownership in ADIB Egypt. ADIB remains committed to sustainable growth and steady performance while enhancing its digital offerings with the goal to become the world's most innovative Islamic bank.