Emirates NBD posts Q1 net profit increase of 27%

Emirates NBD has recorded net income of
AED1.4bn ($381.2m) for the three months to 31 March, an increase of
27% from the corresponding period last year.

Less positive was a 5% year-on-year
decline in Emirates NBD’s net interest income for the quarter to
AED1.65bn; non-interest income recorded a year-on-year decline of
26% to AED612m.

Impairment charges in the first quarter of
AED1.37bn were up 140% from the same period a year ago.

Emirates’ retail-focused Consumer &
Wealth Management business unit increased income by 5% year-on-year
to AED869m for the quarter.

Cost management initiatives helped reduce
costs in the first quarter by 6% to AED808m.

Emirates NBD’s branch network, the largest
in the UAE, increased by a net four outlets to 109; it ended the
quarter with 626 ATMs, a net increase of five.

Ahmed Humaid Al Tayer, chairman of
Emirates NBD, said: “Emirates NBD’s improved performance during the
first quarter of 2011 highlights the strength of the bank and its
ability to take advantage of improving economic conditions and of
realising value-adding opportunities for our
shareholders.

“Having faced and successfully addressed
significant challenges during the last few years, the bank is in a
strong position to take advantage of further expected improvements
in the business environment and capitalise on future value adding
opportunities.”

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