Emirates NBD’s 9M’22 profit rises 25% to AED 9.1 billion

Press release
Published October 27th, 2022 - 07:35 GMT
Emirates NBD’s 9M’22 profit rises 25% to AED 9.1 billion
Patrick Sullivan-Group CFO.
Emirates NBD’s profits jumped 25% in the first nine months of 2022, close to the level reported for the whole of 2021.

Emirates NBD’s profits jumped 25% in the first nine months of 2022, close to the level reported for the whole of 2021. Q3 profit was exceptionally strong at AED 3.8 billion, up 51% y-o-y, exceeding US$ 1 billion equivalent.  Another record quarter for retail lending and customer transactions, together with improving margins, drove income 31% higher y-o-y. New corporate lending grew by AED 24 billion in the first nine months of 2022 reflecting increased business optimism and the deposit mix further improved on strong sector liquidity. Credit quality remains healthy reflecting the region’s strong economy with impairment down 12%. We are extremely well positioned to accelerate investment in our international and digital capabilities to support further growth. Emirates NBD’s fully digital platform successfully provided an integrated ‘one-stop’ solution for recent IPO subscriptions.

Key Highlights – First nine months of 2022

  • Strong improvement in operating performance on record demand for retail financing and new corporate lending, an improved deposit mix and a substantially lower cost of risk 
  • Total income up 31% y-o-y to AED 22.7 billion on improved loan and deposit mix with higher interest rates feeding through to margins
  • Net interest margin significantly rose to 3.10% and trending towards top end of guidance 
  • Expenses well controlled, as the Group accelerates investment in Advanced Analytics and international network to drive future growth
  • Impairment allowances substantially down 12% y-o-y reflecting robust operating environment
  • Net profit of AED 9.1 billion up by a healthy 25% y-o-y
  • Earnings per share up 28% to 138 fils, underlying up 63% 
  • Emirates NBD’s strength empowers its customers to benefit from a growing economy 
  • Total assets: up 5% at AED 721 billion 
  • Customer loans: steady as strong Retail and Islamic financing coupled with renewed demand for corporate lending offset Sovereign repayments
  • Deposit mix: CASA grew AED 18 billion in 9M’22 reflecting strong UAE liquidity, enabling the Group to benefit from interest rates rises
  • Credit quality: NPL ratio improved by 0.5% to 5.8% in 9M’22 on healthy writebacks and recoveries as regional economies remain robust. Coverage ratio very strong at 142.6% 
  • Capital and Liquidity: 152% Liquidity Coverage Ratio and 15.5% Common Equity Tier-1 ratio reflect the Group’s solid balance sheet, used to empower customers and create opportunities to prosper 
  • Emirates NBD’s digital transformation enables agile delivery of new services and increased straight through processing 
  • 30% market share: Emirates NBD and Emirates Islamic have a 30% market share of UAE Debit and Credit Card spend, bigger than next three banks combined
  • One million daily credit and debit card transactions: Emirates NBD process over 1 million  transactions per day, equivalent to 11 every second    
  • IPO: leading role in recent IPOs, delivering customers a fully digital, one-stop, seamless solution 
  • Digital: Launched the region’s most comprehensive and ready-to-use financial Application Programming Interface (API) developer portal, providing FinTechs, developers and corporate clients with an all-in-one ecosysterm to rapidly develop innovative financial solutions 
  • Egypt: Emirates NBD Egypt recorded 50% growth in the volume of e-transactions in 2022 as it successfully harnesses the Group’s IT infrastructure
  • International revenue diversifies income, representing 40% of total revenue   
  • Talent: Launched the second cohort of our elite graduate program, Ruwad, comprising more than 30 UAE Nationals. Participants successfully completed the University of Oxford’s Leadership Development Program, enhancing the Group’s long-term leadership pipeline  

Hesham Abdulla Al Qassim, Vice Chairman and Managing Director said: 

  • “Emirates NBD’s profits jumped 25% y-o-y to AED 9.1 billion for the first nine months of 2022, reflecting strong regional economic growth and the success of the Group’s diversified business model.
  • Emirates NBD played a leading role in the country’s recent IPOs, enabling new and existing customers to access and trade shares on the Dubai Financial Markets. 
  • Emirates NBD continues to develop its pool of Emirati talent. More than 30 UAE Nationals successfully completed the University of Oxford’s Leadership Development Program, enhancing the Group’s long-term leadership pipeline. 
  • As a pioneer in Information Technology, we launched the region’s most comprehensive Application Programming Interface developer portal, providing FinTechs, developers and corporate clients with an all-in-one ecosystem to rapidly develop innovative financial solutions.”

Shayne Nelson, Group Chief Executive Officer said:  

  • “Emirates NBD delivered strong results with income rising 25% to AED 22.7 billion on increased transaction volumes and higher margins from an efficient funding base and higher interest rates.
  • Net profit of AED 9.1 billion increased substantially by 25% y-o-y, almost reaching the Group’s profit level for the whole of 2021.
  • International operations provide diversification and growth opportunities, contributing 40% of total income.
  • New lending increased substantially in both retail and renewed demand for corporate lending.
  • Emirates NBD processes over 1 million credit and debit card transactions per day, equivalent to 11 every second.
  • Emirates NBD Egypt recorded 50% growth in e-transactions in 2022 as it successfully harnesses the Group’s IT infrastructure.
  • These strong results, healthy profitability and positive economic outlook for the region enable us to accelerate our investment for future growth.”

Patrick Sullivan, Group Chief Financial Officer said: 

  • “We maintained strong income growth momentum, kept a firm control of costs and are benefiting from writebacks and recoveries, reflecting a healthy regional economy. 
  • Net profit of AED 3.8 billion for Q3 was 51% higher y-o-y, and exceeds US$1 billion equivalent. 
  • Liquidity in the UAE banking sector remains healthy, helped by the high oil price. In 2022, we grew CASA balances by AED 18 billion, enabling the Group to benefit from interest rates rises.
  • We expect to finish the year with margins at the top end of guidance and cost of risk within guidance.
  • Non-funded income grew significantly, with substantial contributions from both Emirates NBD and DenizBank, helped by an increase in transaction volumes and growth in customer FX and derivative business. 
  • The diversified balance sheet, solid capital base and strong operating profitability are core strengths of the Group.”


Financial Review

AED billion


9-month period ended

9-month period ended

Better / (Worse)




Net interest income 




Non-funded income




Total income




Operating expenses




Pre-impairment operating profit 




Impairment allowances




Tax and others




Profit after tax and before hyperinflation




Hyperinflation adjustment Tax and others




Net profit  





Key Metrics


Cost to income ratio (%)



490 bps

Net interest margin (%)



59 bps

Cost of Risk (bps)



16 bps





Return on Tangible Equity (%)



320 bps


AED billion


as at



as at



Inc / (Dec)

Total assets













Key Metrics


NPL Ratio (%)



(50) bps

Impaired Loan Coverage Ratio (%)




Liquidity Coverage Ratio (%)



(2,540) bps

Capital Adequacy Ratio (%)



20 bps

Tier 1 Ratio (%)



20 bps

Common Equity Tier 1 Ratio



40 bps


Rounding differences may appear throughout the document

Operating Performance

Total income for 9M’22 was up 31% y-o-y to AED 22.7 billion. Net interest income was up 23% y-o-y on improved loan and deposit mix with higher rates feeding through to margins. Further CASA growth improved funding costs and the balance sheet is well positioned to continue benefiting from rate rises.        Non-funded income was up 52% y-o-y from increased local and international card transactions, coupled with growth in FX & Derivative income. 

Expenses remain well controlled and within guidance. Higher income enables accelerated investment in Advanced Analytics and the international network to drive future growth.  

Impairment allowances in 9M’22 were substantially down 12% y-o-y reflecting higher recoveries and writebacks and the improving operating environment, with 90 bps cost of risk within guidance. 




Balance Sheet Trends

Lending was stable in the first nine months of 2022 as solid loan growth for Corporate, Retail, Emirates Islamic and DenizBank offset strong Sovereign repayments. 

Deposit mix improved in 9M’22 with AED 18 billion growth in CASA enabling the Group to benefit further from interest rate rises. 

Liquidity remains strong with the Liquidity Coverage Ratio at 152.2% and the Advances to Deposits Ratio at 87.2%. 

During the first nine months of 2022, the Non-Performing Loan ratio improved by 0.5% to 5.8% on significant writeback and recoveries whilst the Coverage ratio strengthened to 142.6%, demonstrating the Group’s continued prudent approach towards credit risk management. 

As at 30 September 2022, the Group’s Common Equity Tier 1 ratio is 15.5%, Tier 1 ratio is 17.4% and Capital Adequacy ratio is 18.5%.


Business Performance


  • Retail Banking and Wealth Management (RBWM) continued its excellent performance with its highest ever nine-month revenue, strongest ever acquisition of loans and credit cards, and a record growth in balance sheet. 
  • Lending increased by AED 6.5 billion, whilst CASA grew by a record AED 20 billion in first nine months of 2022
  • Launched the Emirates NBD Etihad Guest Credit Card offering one of the highest Etihad Guest earning and reward opportunities in the market as well as a 5-year strategic partnership with RSA Middle East covering general insurance products
  • Successfully launched a series of UAE Strategic Investment Funds supporting investments into IPOs in UAE 
  • Extended tablet banking to credit cards allowing customers to apply for bundled products, and get instant credit decisioning
  • Launched DEWA, TECOM and Salik IPO portal on the Emirates NBD website with real time direct integration with DFM for new investors


  • Corporate and Institutional Banking (C&IB) capitalised its strategic partnership with major Government entities and Corporates by further offering digitized service platforms. 
  • Launched state-of-the-art fully digital platform to manage end-to-end IPO subscription website offering real-time on-boarding 
  • Implemented cutting-edge new platform for businessONLINE
  • Net Profit is 1% higher on lower impairment allowances and higher fee income as increased equity capital market activity offsetting lower debt capital market volumes
  • Strong growth in new lending offset substantial contractual repayments
  • Funding costs improved on CASA growth and retirement of expensive deposits


  • Global Markets and Treasury (GM&T) delivered a strong performance with income growing 136%   y-o-y in 9M’22 mainly due to higher net interest income from balance sheet positioning, hedges and an increase in banking book investment income. 
  • Non funded income was 69% higher with a significant performance delivered by Rates, Credit and Foreign Exchange Trading 
  • International Treasury functions made a significant contribution, growing revenue by 75% y-o-y
  • Robust client FX flows seen with revenue increase of 70% during the first nine months of 2022


  • Emirates Islamic’s net profit jumped 31% to AED 1,054 million for 9M’22 on higher funded and non-funded income with a significant reduction in the cost of risk reflecting improved business sentiment.
  • DenizBank income up by AED 2.5 billion (52%) and Impairment allowances AED 0.5 billion lower on strong writebacks and recoveries helping offset AED 2.4 billion hyperinflation adjustment.




The outlook for the Middle East remains positive despite the weak global backdrop. Higher oil prices in 2022 have pushed GCC budgets into surplus and strengthened sovereign balance sheets. Emirates NBD Research revised up its UAE GDP growth forecast for 2022 to 7.0% whilst revising down their 2023 forecast to 3.9% on the weaker global backdrop, a stronger US dollar and higher borrowing costs. 


Inflation in many countries continues to remain at multi-decade highs, leading to global interest rates rising at a faster pace than had been earlier anticipated.


Egypt and Turkey have seen a strong surge in services inflow and tourism revenue offsetting some of the impact from rising energy costs on the current account deficit.  


Background Information

Emirates NBD

Emirates NBD, the leading banking group in the region, was formed on 19 June 1963, when H.H. Late Sheikh Rashid bin Saeed Al Maktoum signed the Charter of Incorporation of the National Bank of Dubai (NBD) which became the first National Bank established in Dubai and the United Arab Emirates (UAE). With the blessings of H.H. Sheikh Mohammed bin Rashid Al Maktoum, Vice President and Prime Minister of the UAE and Ruler of Dubai, NBD merged with Emirates Bank International (EBI) on 06 March 2007, to form Emirates NBD, the largest banking group in the region by assets. On 16 October 2007, the shares of Emirates NBD were officially listed on the Dubai Financial Market (DFM). The merger between EBI and NBD to create Emirates NBD, became a regional consolidation blueprint for the banking and finance sector as it combined the second and fourth largest banks in the UAE to form a banking champion capable of delivering enhanced value across corporate, retail, private, Islamic and investment banking throughout the region.

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