Emirates NBD, Dubai's largest bank, posted a 62-percent decline in fourth-quarter net profit, it said in a statement on Wednesday, as provisioning once again hurt the bank's performance.
The lender said it had net profit of $41.38m in the quarter ended December 31, down from $109m in the prior-year period.
Its full-year profit rose 6 percent $675m from $637mi in the previous year. Impairment charges for the quarter were up 425 percent, to $288m in the final three months of 2010.
Commenting on the Group’s performance, His Highness Sheikh Ahmed Bin Saeed Al Maktoum, chairman of Emirates NBD said: “These financial results reflect a positive and strong operational performance and demonstrate the strength and resilience of Emirates NBD.”
He added: “We have taken a more conservative approach to strengthen the Bank’s position to meet the challenges reflected in the broader global financial markets and Emirates NBD is on course to realise its vision to be the leading and one of the largest and most successful banks in the region. The year also witnessed the acquisition of Dubai Bank by Emirates NBD which signals a new phase rich in opportunities for Emirates NBD and Dubai Bank while reflecting the Government’s flexibility in dealing with economic variables.”
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