Emirates Islamic Profit Before Tax rises 46% to record AED 3.1 billion in 2024| Emirates NBD

5 Min | 29 January 2025

Dubai, 29 January 2025: Emirates Islamic accomplished a momentous milestone in 2024 by reporting a record profit before tax of AED 3.1 billion, a remarkable 46% increase over the previous year. This exceptional growth is driven by a positive trend in both funded and non-funded income, demonstrating a very strong business performance. Total income increased 13% to AED 5.4 billion as assets grew 27% to AED 111 billion. Customer financing surged by an impressive 31% to AED 71 billion and customer deposits increased by a very healthy 25% to AED 77 billion in 2024. These outstanding results highlight the strength of the regional economy and showcase the Bank’s agility and expertise in identifying and responding to increased demand for Islamic banking.

Key Highlights – FY 2024

Very strong operating performance on higher funded and non-funded income

Total income up 13% y-o-y to AED 5.4 billion driven by higher funded and non-funded income
Expenses decreased 7% y-o-y
Impairment Allowances decreased 28% y-o-y due to improvement in credit quality
Operating profit improved 24% y-o-y
Profit before tax increased to a record AED 3.1 billion, up by 46%
Net profit increased to a record AED 2.8 billion, up by 32%

Extremely solid capital and liquidity combined with a healthy deposit mix enables the Bank to continue supporting customers

Total assets increased by 27% to AED 111 billion in 2024
Customer financing increased by 31% to AED 71 billion in 2024
Customer deposits increased by 25% to AED 77 billion in 2024 with Current Account and Savings Account balances at 70% of total deposits
Credit Quality: Non-performing financing ratio improved to 4.4% with strong coverage ratio at 142%
Capital: Tier 1 ratio of 18% and 19.1% Capital adequacy ratio reflect Bank’s rock-solid capital position
Headline Financing to Deposit ratio at 92%, underlines healthy liquidity in the UAE

Hesham Abdulla Al Qassim, Chairman of Emirates Islamic said:

Farid AlMulla, Chief Executive Officer of Emirates Islamic said:

“Emirates Islamic exceeded all expectations in 2024 as we delivered our highest-ever profit. This success was driven by strong growth in both funded and non-funded income, resulting in a healthy net profit margin and a low cost of risk.
Supported by strong capital and liquidity, we remain well-equipped to drive customer growth and capitalise on opportunities from our buoyant economy, as we look to maintain our positive momentum in 2025.
The Bank’s total assets increased by 27% to AED 111 billion with customer financing growing by 31% to AED 71 billion and customer deposits increasing by 25% to AED 77 billion in 2024.
Solidifying Emirates Islamic’s position as a leader in Islamic banking this year, we launched a range of products and services tailored to meet the evolving needs of our customers, reflecting our focus and dedication to driving customer acquisition.

Standout initiatives include the introduction of Fractional Sukuk, a groundbreaking product that makes Shariah-compliant investments more accessible, allowing clients to diversify their portfolios with a lower investment threshold. We also launched Wakala variants, including Upfront and Interim Profit structures offering enhanced flexibility to a broader customer audience. Our market-leading Emarati Visa Signature Credit Card was enhanced, offering exclusive privileges for UAE Nationals.

Driven by core Shariah principles, Emirates Islamic contributed AED 5 million in support of the Mothers’ Endowment campaign, launched by His Highness Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai. This worthy cause looks to honour mothers by establishing an AED 1 billion endowment fund to support the education of millions around the world. We also humbly contributed over AED 37 million to a range of charitable initiatives in 2024 through the Emirates Islamic Charity Fund.
Looking ahead to 2025, Emirates Islamic will remain focused on advancing our strategic objectives to drive growth and deliver value for all stakeholders. We remain committed to enhancing customer experience, operational efficiency, risk management and sustainability.”

AWARDS:

Emirates Islamic awarded:

MEA Finance Industry Awards 2024

Best Islamic Bank for SMEs
Best Bond Issue of the Year

WORLD FINANCE Islamic Finance Awards 2024

Best Islamic Bank - U.A.E
Best SME Bank - U.A.E
Best Islamic Bank for ESG
Best Innovation in Mobile Banking

Islamic Finance News Awards 2024

Best Overall Islamic Bank
Most Innovative Islamic Bank

Euromoney Islamic Finance Awards 2024

Most Innovative Islamic Bank

International Finance Awards 2024

Best Islamic Retail Bank
Best Islamic SME Bank

The Digital Banker Global Islamic Finance Awards 2024

Best Islamic Card - Switch Cashback Visa Credit Card

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