Emirates NBD's Q1 2024 profit surges 67% to Dh6.7 billion

A pedestrian passes Emirates NBD Bank at Sheikh Zayad Road. — File photo

Emirates NBD’s profit surged 67 per cent to a record Dh6.7 billion in the first quarter of 2024 compared to the previous quarter and up a strong 12 per cent year-on-year propelled by regional growth, increased transaction volumes, a low-cost funding base, and substantial impaired loan recoveries.

The group’s asset base surpassed Dh900 billion, a five per cent growth, as retail lending had its strongest-ever quarter and corporate lending closed landmark deals across the region. The branch’s presence in Saudi Arabia more than doubled to 18 branches over the last year. They refreshed their Egyptian franchise, as their enhanced international footprint and digital capabilities drove further growth.

Emirates NBD’s market-leading deposit franchise grew Dh26 billion in the first quarter, with customer campaigns, digital banking, and promotions delivering a remarkable Dh21 billion increase in low-cost current and savings accounts. Credit quality improved significantly, and the group registered an impairment credit on the regularisation of payments as clients benefited from a buoyant economy. All business units delivered an outstanding performance. Retained earnings boosted capital ratios and the rock-solid balance sheet makes Emirates NBD a regional powerhouse, providing the platform for future growth.

Emirates NBD’s total income increased three per cent quarter-on-quarter to Dh10.7 billion due to an excellent deposit mix, solid loan growth, and strong fee and commission growth across all business segments. Its earnings per share rose significantly to 104 fils from 93 fils in the first quarter of 2023.

Looking to the future, Emirates NBD is transforming into a data-first, digital-focused, and environmentally responsible regional powerhouse.

Hesham Abdulla Al Qassim, vice-chairman and managing director, said: “Emirates NBD’s profit surged 67 per cent to a record Dh6.7 billion in the first quarter of 2024, propelled by regional growth, increased transaction volumes, a low-cost funding base, and substantial impaired loan recoveries.”

“In support of the Government of Dubai’s ‘Dubai International Growth Initiative’, we have allocated Dh500 million of competitively priced financing to Dubai-based SMEs to facilitate their global expansion,” Al Qassim said.

“With the UAE’s economy thriving, and the nation an attractive destination for ultra-high-net-worth individuals from across the world, Emirates NBD continues to innovate with market-leading products and services to competently cater to all sectors of the wealth spectrum,” he added.

Shayne Nelson, group CEO, stated: “The group reached a major milestone as the asset base grew five per cent in the first quarter to surpass the Dh900 billion mark for the first time. Retail banking had a record quarter, extending Dh9 billion of financing while Corporate lent Dh24 billion of new lending as landmark deals across the region were successfully closed.”

“Our market-leading deposit franchise grew Dh26 billion in the first quarter with customer campaigns, digital banking and promotions delivering a remarkable Dh21 billion increase in low-cost current and savings accounts,” he added.