UAE’s ADIB Approves 50% Cash Dividend

Abu Dhabi Islamic Bank (ADIB) approved a 24.42% cash dividend, equals to 50% of 2011 net profit, to shareholders registered with the Abu Dhabi Securities Market at its Annual General Meeting (AGM), held on Wednesday 4th April 2012.
The Annual General Assembly of the Bank was chaired by Khalid Khouri, Vice Chairman of ADIB. The Board of Directors Report, the Auditors Report and Financial Statements for 2011 were also approved at the Assembly.

Speaking on behalf of ADIB’s Chairman, Jawaan Awaidha Suhail Al Khaili, Khaled Khouri said that ADIB Group had managed to achieve good results despite the uncertain and challenging economic climate that prevailed regionally and globally. ADIB was able to maintain its strong financial position and provide solid returns to shareholders and depositors. These results are attributable to the effective execution of its strategic priorities including customer service excellence, best-practice risk management, conservative credit policy and recruitment of world-class talent.

He praised the initiative of Sheikh Khalifa Bin Zayed Al Nahyan to establish a fund and ease the debt burden faced by UAE nationals.

ADIB Group reported net profit of Dhs1.16bn for the financial year ended 31st December 2011, an increase of 12.8% over 2010. Its operating profit was almost Dhs2bn. Group’s net revenues at the end of 2011 were Dhs3.426bn. ADIB added three new branches to its network in the UAE, where the total number of branches reached 69. In addition, it set up 137 new ATMs, resulting in a total of 460 ATMs across the UAE. ADIB’s core banking activities performed well and continued to grow market share. Customer activities in the Retail Banking unit performed particularly well, and the division attained the number one ranking for customer service in the UAE in 2011. It grew customer numbers by 6.3% to more than 450,000.

The Bank maintained its strong liquidity position. Liquidity maturity matching was also enhanced with the successful issue of a new five-year $500m Sukuk. Furthermore, ADIB maintained its conservative approach to non-performing asset recognition and provisioning in line with both best practice and UAE Central Bank guidelines. It ensured a healthy pre-collateral non-performing asset coverage ratio.

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