The Dubai-based bank, Mashreq, said on Monday that its operating profit increased by 39.2% to AED 4.4B for the fiscal year that ended on December 21, 2022, while its net profit was AED 3.7B. Due to better asset quality and higher recoveries, the impairment allowance decreased to AED 497M over the same period and now only accounts for 0.6% of net loans, according to the bank.
“Double-digit growth was recorded across each and every business unit in 2022. These outcomes were delivered at the same time as a new brand identity, ‘Rise Every Day’, which comes from Mashreq’s strong belief in helping our clients to succeed and to fulfil their aspirations, supporting our people to realize their ambitions and to facilitate building better lives and livelihoods in the society through hard work and innovation while delivering the best-in-class banking experience,” said Abdul Aziz Al Ghurair, Chairman of Mashreq. “After such a transformative year, Mashreq can look forward with great confidence to shaping the future of finance through innovation, convenience, trust, and an unmatched customer experience through our products and services.”, according to Gulf News.
During the time period, the bank’s non-interest income to operating income ratio was 39%. At AED 90.3B, total loans and advances rose 10.8%, while the loan-to-deposit ratio remained constant at 79.4%. (Compared to 80.3% in December 2021).
“During 2022, our retail banking operations (RBG) continued to be the backbone of our business and revenues grew by 42% year-on-year. Not to mention that our flagship digital solutions such as Neo and personal banking net profit grew by 43%, while NeoBiz and NEOPAY have grown in net profit by 289% and 37%, respectively. Similarly, the corporate and investment banking group (CIBG) revenues grew strongly, with a 37% year-on-year growth. The international banking group (IBG) remained focused on executing its strategic priorities and continued to strengthen the presence across its existing international markets with a YoY growth for IBG assets at 43% and revenues at 25 per cent,” said Group CEO Ahmed Abdelaal.
