CBI continues profitable growth in Q3 2017

Dubai, November 05 2017: Commercial Bank International (CBI or ‘The Bank’) announces its financial results for the nine months ended 30th September 2017.

Q3 2017 Financial Highlights:

  • Net Profit increased 4% year on year to AED 33 million in Q3 2017; Year to date Net Profit totalled AED 86 million.
  • Net Interest Income increased by 13% to AED 145 million from AED 128 million in Q3 2016; up 5% on Q2 2017.
  • Net Loans & Advances increased by 2% to AED 13,501 from year end 2016; up 2% year on year.
  • Customer Deposits increased by 2% to AED 14,169 million from year end 2016; up 10 % year on year.
  • Operating Income increased by 1% to AED 215 million versus in Q3 2016; up 6% on Q2 2017.
  • Operating Profit increased by 1% to AED 97 million versus Q3 2016; up 7% on Q2 2017.
  • Strong Eligible Liquid Assets Ratio at 12.2%.
  • Capital Adequacy Ratio stable at 14.7%.


Mohammad Sultan Al Qadi, Chairman of CBI commented on the Bank’s continued profitability: “CBI continues to grow in a near flat market. The 10% year-on-year increase in customer deposits demonstrates our commitment to building long-term relationships with our customers to better meet their financial needs. Additionally, the strong growth in net interest income and FX income has helped to deliver our positive results. I am confident in CBI’s strategy to continue growing core business segments and focus on the UAE’s leading companies.

Mark T. Robinson, CEO of CBI commented: “CBI’s continued strategy of enhancing customer experience, and optimizing our resources, has helped the bank strengthen our competitiveness. Our customers are now benefiting from CBI’s core banking system upgrade, which has significantly modernised the bank’s operations and technology and streamlined services. Our strategy to grow our UAE customer base remains on track.”

Financial summary:
Operating Income grew by 6% to AED 215 million versus the previous quarter. Income growth was principally driven by strong growth in net interest income and forex income and partly offset by lower one off fees from syndications.

Significant investments in digital infrastructure, people, and processes, have propelled the bank forward over the first nine months of the year and generated healthy increases in loan growth and customer deposits. The bank’s YTD Loan and Deposit growth is ahead of industry average, thanks to the focus on our core segments and the increasing attractiveness of our digital offering and online presence.

Net Loans and Advances grew 2% year-on-year to AED 13,501; versus a flat domestic credit growth. The year-on-year growth in Customer Deposits (up 10% to AED 14,169 million) is also above the industry average growth of 1.2%. Net interest income increased 13% to AED 145 million when compared to Q3 2016.

Net Profit was up 4% from Q3 2016, at AED 33 million, and up 5% from Q2 2017. YTD Net Profit at AED 86 million was down 15% from the previous year as higher provision charges, necessitated by market conditions, impacted bottom line performance.

The NPL Ratio increased to 9.9% owing to local business pressures experienced across the UAE market. The Loan to Deposit ratio stood at a comfortable 95.3% level.

CBI has strong liquidity and capital, evident from the Bank’s high Eligible Liquid Assets Ratio (ELAR) at 12.2%, and Capital Adequacy Ratio well above the minimum regulatory requirement at 14.7%.

CBI maintains an investment grade rating of BBB+, from Fitch Ratings and A- from Capital Intelligence.