Abu Dhabi Islamic Bank posts record half year profits

This figure represents an increase of 50.4% compared to the same period in 2007.

Second Quarter net profit was Dhs276m and this represents an increase of 53% compared to the same period in 2007, and a 13% growth on the previous quarter.

Earning per share for the half year ended 30 June 2008 is Dhs0.264 per share, a 15% growth in comparison to Dhs0.229 per share for the same period last year.

Mr Tirad Mahmoud, Chief Executive Officer of ADIB, comments:

"These results reflect continuing strong performance by Abu Dhabi Islamic Bank. The drive to optimize our financial infrastructure is showing results that have contributed to an improving bottom line."

The operating revenue stood at Dhs1,512m during the half year ended 30 June 2008, of which the contribution of the core banking operations represented 85%.

The total assets also have grown from Dhs41.1bn in June 2007 up to Dhs48.1bn as of June 2008, representing an increase of 17%.

Islamic financing has grown to Dhs39.8bn as of 30 June 2008, compared to Dhs35.1bn for the same period in the previous year, achieving a growth of 13%.

Customers' deposits currently stand at Dhs33.7bn at the end of June 2008, a 20% growth in comparison to Dhs28.1bn on the same date last year.

Shareholders' equity as of 30 June 2008 has grown to Dhs5.5bn, as opposed to the Dhs5.0bn of 30 June 2007, recording a growth of 10%.

Tirad Mahmoud attributes the Bank's strong performance as the result of a combination of enhanced internal financial processes, efforts by employees and customer confidence in the organization.

ADIB has increased its provisioning in the first half of 2008. This is the result of enhanced risk management policies and is in line with global best practice.

Tirad Mahmoud, who joined ADIB in February 2008, continues: "Looking ahead, we will focus on driving external growth, all the time staying true to the principles of Sharia'a. We recently redefined our mission as providing Islamic financing solutions to the global community; we will achieve this through a relentless pursuit of innovation, delighting our valued customers with superb service and expanding our operations both within the UAE and outside it."

He concludes: "There is passion and determination within the Bank to take ADIB to its full potential as a top tier Islamic finance institution. I pay tribute to the important role that the whole staff, from senior management to branch personnel, is playing in the growth of our operation."