Abu Dhabi islamic Bank Reports Strong First-Half 2025 Profit Growth
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Abu Dhabi Islamic Bank (ADIB) announced a significant 16% year-on-year increase in its net profits before tax for the first half of 2025, reaching 4 billion dirhams. This growth underscores the bank’s robust performance, driven by increased business momentum and a growing customer base.
ADIB maintained its strong trajectory in the second quarter of 2025, with net profits before tax rising by 14% annually to 2 billion dirhams. Net profits after tax for the first half of the year stood at 3.5 billion dirhams, a 15% increase compared to the first half of 2024. The second quarter saw net profits after tax reach 1.8 billion dirhams, marking a 13% annual increase.
Revenues for the first half of 2025 grew by 11% to 5.9 billion dirhams, up from 5.3 billion dirhams in the same period of 2024. This exceptional performance is attributed to broad-based growth across all key sectors, supported by diversified income streams, continuous business volume expansion, and growth in fee-based activities.
Income from financing sources increased by 9% year-on-year to 3.6 billion dirhams in the first half of 2025, compared to 3.3 billion dirhams in the previous year. This was driven by an increase in business volume and the bank’s ability to achieve sustainable returns despite prevailing low market profit rates. The net profit margin reached 4.27%, aligning with target scopes and reflecting increased business volume and efficient public budget management.
Income from non-financing sources saw a significant 15% annual growth in the first half of 2025, reaching 2.3 billion dirhams compared to 2 billion dirhams in the prior year. This growth highlights a consistent rise in fee revenues, which experienced a 28% increase stemming from sales of various products across individual and corporate sectors. This surge indicates heightened customer activity and successful cross-selling initiatives. Income from non-funding sources now contributes 39% to total operational income, reinforcing ADIB’s strategic focus on income diversification.
Evergreen Insights
Abu Dhabi Islamic Bank’s consistent profit growth reflects the broader economic resilience and expansion within the United Arab Emirates. The bank’s strategic emphasis on diversifying income streams beyond traditional financing is a key factor in its sustained success, positioning it favorably in a dynamic financial landscape.
Frequently asked Questions
- what was abu Dhabi Islamic Bank’s net profit growth in the first half of 2025?
- Abu Dhabi Islamic Bank reported a 16% year-on-year growth in net profits before tax, reaching 4 billion dirhams in the first half of 2025.
- How did ADIB’s revenue perform in the first half of 2025?
- ADIB’s revenues increased by 11% to 5.9 billion dirhams in the first half of 2025 compared to the same period in 2024.
- What contributed to the growth in Abu Dhabi Islamic Bank’s income from financing sources?
- Income from financing sources grew by 9% due to an increase in business volume and the bank’s ability to achieve sustainable returns.
- What percentage of ADIB’s total operational income comes from non-financing sources?
- Income from non-financing sources contributes 39% to Abu Dhabi Islamic Bank’s total operational income.
- What was the growth in