Cost discipline was maintained amid ongoing investment in digital initiatives with operating expenses declining 2 per cent year-on-year to Dh577 million and the cost-to-income ratio improved 3.4 percentage points to 40.9 per cent. Impairments declined 15 per cent year-on-year to Dh113 million for the first quarter of 2022, reflecting an overall improvement in economic conditions. This reduction was achieved while improving the provision coverage of non-performing financing (including collaterals) by 9.2 percentage points to 121.1 per cent.
Total assets increased 6 per cent year-on-year to reach Dh139 billion, driven by 9 per cent growth in gross financing and 18 per cent in investments.
Customer deposits rose 8 per cent year-on-year to Dh111 billion from strong current and savings accounts (CASA) and short-term Investments generation. ADIB maintained a robust capital position with a common equity tier 1 ratio of 12.7 per cent and total capital adequacy ratio of 18.1 per cent. Further, the bank’s liquidity position was healthy and comfortably within regulatory requirements, with the advances to stable funding ratio at 86.6 per cent and the eligible liquid asset ratio at 16 per cent.
“We are encouraged by our financial results in the first quarter of 2022 as we continue to deliver strong operational performance across all our business lines. ADIB delivered robust year-on-year growth underscored by positive increases in our assets, revenues, and net profits while also maintaining a steady balance sheet growth, liquidity, and capital ratios. Our performance reflects solid momentum across our core businesses, an improved macroeconomic backdrop and is the outcome of our strategic review that was conducted to unlock value, drive growth, and prepare the bank for the future,” said ADIB Chairman Jawaan Awaidah Al Khaili.