RAKBANK released financial results for the year ended December 31st, 2022, and Q4’22. RAKBANK achieved its highest net profit growth in over a decade, with a year-on-year (YoY) increase of 53.4%, amounting to AED 1.163B. The net profit for Q4’22 was reported at AED 284.6M, reflecting a YoY growth of 27.3%.
Furthermore, the bank’s total income for FY’22 increased by 6.9% YoY, reaching AED 3.451B and for Q4’22, the total income was AED 994.8M, a YoY increase of 25.5%. The YoY growth in the bank’s net interest income contributed to the overall income, with AED 2.489B in FY’22, a YoY increase of 14.8%, and AED 733.1M in Q4’22, a YoY increase of 34.0%.
According to Raheel Ahmed, RAKBANK CEO, the growth was diversified across all segments, with total assets growing by 15.5%, loans & advances by 7.6%, and customer deposits by 15.3% YoY. The Retail Banking segment saw a growth of AED 102.8M (0.5% YoY). The CEO added that the bank has seen balance sheet momentum across the Wholesale Banking and Business Banking segments, which grew by AED 1,589.1M (18.3% YoY) and AED 996M (12.4% YoY), respectively.
The Board of Directors proposed a cash dividend of 34 fils per share to be presented to shareholders for approval at the Annual General Meeting, according to WAM. RAKBANK’s Chairman, Mohamed Omran Al Shamsi, stated that the bank has made a solid recovery in 2022 and is well-positioned for continuous expansion. To achieve sustainable growth in 2023, the bank plans to diversify its business mix, enhance its credit profile, and establish a strong foundation despite the uncertainties created by geopolitical and economic challenges.
