Dubai's Mashreq posts 35% rise in Q1 net profit

CEO at emirate's third largest lender says he expects growth to continue throughout 2014
Dubai's Mashreq posts 35% rise in Q1 net profit
Mashreq Bank
By Andy Sambidge
Wed 30 Apr 2014 06:23 PM

Dubai's Mashreq, the emirate's third-biggest lender by assets, posted a 35 percent rise in first-quarter net profit on Wednesday.

The lender made a net profit of AED575 million ($156.6 million) in the opening three months of 2014, as net interest income, fees and commissions rose.

The bank said asset quality continued to improve as non performing loans to gross loans ratio reduced from six percent in December 2013 to 5.8 percent at the end of March 2014.

Mashreq's CEO, AbdulAziz Al Ghurair, said: "The first quarter results build confidence and are usually indicative of the year ahead.

"We have worked hard to make sure that our performance matches our aspirations and the bank's true potential. So it gives me great satisfaction to announce that we have started off the year with an increase of 35 percent in net profits from the same period last year.

"We see our growth narrative forging ahead in 2014, building as it does on a combination of employee engagement, product innovation and a very high level of technical knowledge and ability of our people."

Mashreq's total assets increased by 4.9 percent to reach AED94.1 billion in March, compared to AED89.7 billion at the end of 2013.

Loans and advances grew by 5.6 percent during the first quarter of 2014 to reach AED53.3 billion, compared to AED50.4 billion at the end of December.

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