Abu Dhabi Islamic Bank : ADIB’s shareholders approve cash dividends of 24.52% for fiscal year 2016

Abu Dhabi, April 03, 2017: Shareholders of Abu Dhabi Islamic Bank (ADIB) have approved the distribution of 24.52% cash dividends for 2016 at the bank's Annual General Meeting (AGM) held on Sunday 2nd April 2017. The cash dividend represents 39.8% of full year net profits for 2016, and is equivalent to AED 780 million.

The Board of Directors Report, the Auditors Report and Financial Statements for 2016 were also approved at the AGM.

Mr. Khamis Buharoon, Vice Chairman of ADIB, presented the bank's Board of Directors' Report on behalf of ADIB's Chairman H.E Jawaan Awaidha Suhail Al Khaili. Mr. Buharoon stated: 'ADIB delivered strong results in a challenging operating environment in 2016. Strategic investments in areas that will support the bank's future growth, including enhancing customer experience and advancing our digital capabilities, led to the bank welcoming 42,000 new customers in the year, bringing the total to over 920,000. This contributed to a robust growth in revenues and, coupled with strong expense discipline, resulted in an increase in profits.'

During his speech, Mr. Buharoon took pride in ADIB's committed application of its Emiratisation policy and the development of its national staff. Over the past year, the bank has been able to achieve what is considered the highest Emiratisation rate amongst all UAE banks in 2016, with 850 UAE nationals working at the bank across all departments and positions.

He continued: 'Our prudent and ethical approach to banking has enabled ADIB to navigate macroeconomic volatility over the last year and will underpin our approach for long-term sustainable growth. ADIB remains one of the most liquid banks in the UAE and, led by an experienced senior management team, is well-placed to support the long-term diversification of the economy, and development of a stable banking sector.'

As for 2017, Mr. Buharoon said: 'We are prepared for any vital changes in the market's environment and we still expect modest growth in clients' financing levels and a rise in provisioning, despite promising economic expectations in the UAE and oil prices recovery.

ADIB posted an increase in net revenues for 2016 by 4.9% to AED 5.39 billion, with the bank's total assets rising 3.3% to AED 122.3 billion. ADIB posted a net profit of AED 1.95 billion in 2016, a 1% increase on the previous year. Moreover, in 2016, ADIB focused on strengthening investments in areas that would reinforce future growth, including enriching customers' experiences and developing digital capabilities, in attempts to become the customers' favorite digital bank. Today, the bank has the biggest Internet and mobile phone-operated financial services customer base in the UAE. Also, the number of digital channels doubled in the past 12 months, whereas smartphone-operated transactions increased by 73% per annum. Today, 99% of monetary operations are performed via digital channels, including ATMs, and 25% of all transactions are done via smartphone applications, whereas 48% of all active customers use mobile phone applications.

The bank's investment in digital platforms, to complement an extensive branch network, helped to achieve 4.9% growth in customer numbers to over 920,000 over the year.

ADIB received a number of accolades and industry awards in 2016, including a third 'Sheikh Khalifa Excellence Award - Gold Category' and a sixth consecutive 'Best Overall Bank in Customer Service in the UAE'. The bank also received the 'Human Resource Development Award' from the Emirates Institute of Banking and Financial Studies (EIBFS) in recognition of its efforts to develop and promote talent, particularly among UAE nationals.