Abu Dhabi, March 22,
2018: Shareholders
of Abu Dhabi Islamic Bank (ADIB) have approved the distribution of cash
dividends of 28.87% for 2017 at the bank’s Annual General Meeting (AGM). The
cash dividend represents 39.76% of full year net profits for 2017.
The Board of Directors Report, the
Auditors Report and Financial Statements for 2017 were also approved at the AGM.
Khamis Buharoon, ADIB’s vice
chairman and acting CEO, who presented the bank’s Board of Directors’ Report on
behalf of ADIB’s chairman, said: “Adhering to our disciplined, long-term growth
strategy allowed ADIB to take advantage of a more stabilised operating
environment in 2017. Firmer oil price and burgeoning confidence in the global economy,
combined with opportunities to introduce new digitally-enabled products and
services, provided a tailwind for ADIB to execute its strategy. Amid this
backdrop, the bank delivered strong operational and financial performance,
achieving a 4.6% year-on-year growth in revenues and a 17.7% increase in net
profit to AED 2.3 billion, a record figure for ADIB. During the year, we
welcomed approximately 62,000 new customers with a strong offering of products
and services, easily accessed through digital platforms.”
During his speech, Buharoon
commented on ADIB’s successful implementation of a new points-based system
approved by the UAE Central Bank to promote the entry of Emiratis into the
financial sector while also enhancing career development opportunities. ADIB
remains one of the leading banks in advocating the recruitment, development and
promotion of local talent. The Bank now employs 757 Emiratis, one of the
highest ratios amongst UAE banks.
He continued: “Our achievements in
2017 are a testament to the dedication and professionalism of colleagues, whose
ingenuity, experience and customer focus continues to drive our results. We are
investing for the future and, today, we are a dynamic bank with a culture of
innovation and determination that will ensure we can capture opportunities in
the market and meet customers’ needs and expectations.”
Looking ahead, Buharoon said: “We
are confident that our financial strength and our focus on leveraging
innovation and providing a high-quality banking experience will help us attract
more customers and deliver long-term shareholder value.”
ADIB reported a record net profit of
AED 2.3 billion for 2017, up 17.7% from 2016, driven by higher income from
fees, foreign exchange, investments and reduction in cost of credit. Revenue
increased by 4.6% to AED 5.6 billion, while the bank also benefited from lower
credit provisions and impairments in 2017 decreasing by 18.5% from a year
earlier.
ADIB continued to focus on
innovation and automation, and to maintain its market leading position in
digital banking in 2017. ADIB’s digital agenda is about enhancing the customer
experience, making it simpler, faster and more cost effective to access high
quality financial services, while ensuring that customers continue to receive a
highly-personalised service. Over 95% of financial transactions were carried out
on ADIB’s digital platforms during 2017, including an average of 2 million
mobile transactions every month. The bank’s investment in digital platforms, to
complement an extensive branch network, helped to achieve customer growth of 6.7%
year-on-year to over 982,000.
ADIB has maintained its focus on implementing
its long-term growth strategy and delivering the levels of customer service
that have become synonymous with its brand. This year ADIB was awarded ‘Best
Bank for Customer Service’ in the UAE by Ethos Consultancy for the 7th
consecutive year and ‘Best Islamic Bank in the UAE’ by the FT’s The Banker
Magazine.