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NBAD’s Third Quarter Net Profit Rises 13pc to Touch Dh651 Million

ABU DHABI — National Bank of Abu Dhabi (NBAD) has earned a net profit of Dh651 million for the third quarter of the year, a 13 per cent increase, compared with Dh576 million in the same period last year.

According to financial figures released after the board of directors meeting Tuesday, the profits for the period January-September 2008 rose 44 per cent to Dh2.527 billion, over Dh1.761 billion in the comparable period. The annualised EPS was seen growing to Dh1.72, up against Dh1.22, 41 per cent, higher than the previous corresponding period.

Total assets grew to Dh160 billion at the end of the third quarter 2008, up from Dh117.5 billion, showing a 36 per cent rise over the same period in 2007.

Customer deposits increased by 37 per cent and loans by 54 per cent compared with the third quarter of 2007.

Capital resources, including the Dh3 billion of Tier Two subordinated convertible notes, reached Dh17.2 billion, up 34 per cent compared with the corresponding period of 2007. Domestic banking profits increased by 50 per cent to Dh1.6 billion for the nine month period 2008 on the back of strong performance of the corporate business.

International banking profits increased to Dh403 million, 42 per cent over the corresponding period.

Total collective provisions for the nine months amounted to Dh314 million of which Dh169 million was new collective provision taken in the third quarter, mirroring the growth in NBAD’s risk book.

Recoveries and write-backs were Dh105 million year-to-date, while net impaired loans as at September 30 2008 were Dh849 million, 139 per cent covered by provisions.

· haseebhaider@khaleejtimes.com