Search DubaiPRNetwork.com

Dubai and UAE
Home >> Banking & Investments

Arab Bank Group Reports Net Profits of $829.6 Million for 2023, 30% Cash Dividends

Arab Bank Group Reports Net Profits of $829.6 Million for 2023, 30% Cash Dividends

Monday, January 29, 2024/ Editor -  

Share

Home >> Banking & Investments

Dubai, UAE, 27 January 2024: Arab Bank Group achieved solid results for the year ending December 31, 2023, reporting a growth of 52% in net income after tax of $829.6 million as compared to $544.3 million in 2022.


The Group’s performance was driven by sustainable growth in the underlying business across different markets, as net profit before provisions and tax improved by 34% to reach $1.81 billion. Total Assets grew by 6% to reach $68.3 billion, loans grew by 5% to reach $37.1 billion, and deposits grew by 6% to reach $50.6 billion. While total Group equity stood at $11.4 billion.


In view of the solid results, the Board of Directors has recommended to the shareholders the distribution of 30% cash dividends for the financial year 2023.
Mr. Sabih Masri, Chairman of Arab Bank, commented that the bank's strong underlying performance reflects the successful execution of its strategy which focuses on delivering sustainable growth and building a resilient business model capable of generating positive results, while dealing with the regional and international challenges. He also noted that the bank’s record net operating profit is a clear testament to its strong growth momentum across several markets, specially in the GCC region and international markets.


Ms. Randa Sadik, Chief Executive Officer, stated that Arab Bank delivered robust results during 2023, where the Bank’s net operating profit grew by 34% driven by increase in core banking income across various sectors and markets, with a clear focus on enhancing non-interest income contribution and revenue diversification. This was achieved while the Bank continued to invest in transformation and maintaining a resilient balance sheet, which will position us for further growth in the future. 


Ms. Sadik added that the Group’s liquidity and asset quality remains solid where loan-to-deposit ratio stood at 73.2% and credit provisions held against non-performing loans continue to exceed 100%. Arab Bank Group maintains a strong capital base that is predominantly composed of common equity with a capital adequacy ratio of 17.5%.


Ms. Sadik also highlighted that as part of Arab Bank’s commitment towards Sustainability and its Environmental, Social and Governance (“ESG”) priorities, the bank successfully issued $250 million in sustainable Additional Tier 1 (AT1) Capital Securities. The issuance marks the first and largest sustainable perpetual AT1 issue in Jordan and was listed on the International Securities Market (ISM) and the Sustainable Bond Market of the London Stock Exchange.
With regard to the bank's ongoing commitment towards digital transformation and providing value for its customers, Ms. Sadik noted the establishment of 'Acabes International Pvt Ltd', Arab Bank’s technology arm, as a global capability center, supporting the bank’s businesses worldwide. Arab Bank, in collaboration with 'Acabes', has recently launched an updated version of “Reflect” offering more features and services to its users. This is in addition to launching 'Arabi Shopix', a first of its kind service in the Kingdom which offers Arab Bank customers, including merchants, the ability to build and design an e-commerce website as part of the host of integrated digital banking solutions designed to meet the needs of SMEs through the “Arabi SMEs” program.


As part of the bank's expansion strategy, and in line with the bank's continuous efforts to expand its footprint in promising markets, Mr. Masri commented that the Bank is in the process of starting its operations in the Iraqi market during the year 2024, providing comprehensive banking solutions and services to its current and future customers. And in line with the group’s focus on expanding its wealth management & private banking business, Mr. Masri noted that during 2023, Arab Bank Switzerland acquired the majority stake in the family holding company which owns a deep-rooted Swiss bank 'Gonet & Cie SA'. The new banking group will be a major actor in the Swiss wealth management industry, with assets under management in excess of CHF 10 billion.


Arab Bank was named “Bank of the Year 2023 in the Middle East” by the London-based “The Banker” Magazine, owned by the Financial Times. The bank was also named “Best Bank in the Middle East 2023” for the eighth consecutive year by New York-based international publication “Global Finance”. Additionally, the bank received 18 awards in recognition of its corporate and consumer digital banking services in Jordan and the MENA region.
The bank’s 2023 financial statements are subject to the approval of the Central Bank of Jordan.


Previous in Banking & Investments

Next in Banking & Investments


Home >> Banking & Investments Section

Latest Press Release

Mohammed Bin Rashid Library and Cineolio Organise Film Night on April 19

Hitachi Energy unveils cutting-edge solutions at Middle East Energy 2024

The MEBAA Show 2024 set to unveil latest advancements for business aviation

Diriyah Company Group Ceo Jerry inzerillo appointed united nations Tourism Ambas ...

Henry Jacques launches Collection de l'Atelier

Indulge in the Exquisite Taste of Camel Milk Desserts at Home with Camelicious

Choithrams raises AED 500,000 for Dubai Cares' “Gaza In Our Hearts” Ramadan fund ...

Philip Morris International Demonstrates Clear Progress Toward Its Purpose as It ...

AUS secures top spots in academic and employer reputation in UAE, announces QS W ...

DXB retains its position as the world's busiest international airport for the 10 ...

Goodbye to the Grrr-Eight One: Jeep® Brand Announces 2024 Wrangler Rubicon 392 F ...

Turkish Airlines closes 2023, carrying 83.4 million passengers with a 23.5% incr ...

South Indian Cinema Megastars Rana Daggubati, Rockstar DSP Akul Balaji, Vijay Ra ...

Heritance Aarah Maldives: Your Summer Culinary Getaway

Majid Al Futtaim Shopping Malls appoints Memac Ogilvy as lead creative agency ac ...

Swiss International School Dubai students get seven-star work experience at Burj ...

Victory for Pascal Wehrlein after last Lap Heartbreak for Rowland

Mansour bin Mohammed congratulates Hamdan bin Mohammed on the Qatar-UAE Super Sh ...

Ideal Standard celebrates triple success for new collections at iF Design Awards ...

Mattar Al Tayer congratulates Shabab Al Ahli Club on winning the Qatar-UAE Super ...