DOHA: Mashreq's net profit for the nine-month period ended September 30 is up 34 percent to AED 1.3 billion compared to AED970 million at the end of September 2012.
Its Earnings per Share (EPS) were up to AED7.70 at the end of September this year compared to AED5.74 a year earlier, the bank said.
Asset quality continued to improve as Non Performing Loans to Gross Loans ratio reduced from 9.4 percent in December 2012 to 6.4 percent at the end of September 2013.
The UAE-headquartered bank's Total Operating Income for the period grew to AED3.5 billion, an increase of 19.2 percent compared to a year earlier, driven by both Net Interest Income and Net fee and commission income.
Mashreq CEO AbdulAziz Al Ghurair said, "The strong underlying growth in our lending and deposits, the success of new product lines in delivering new revenues like insurance and investment in our Retail Division, the extremely robust growth in the current account deposits in our Corporate Banking Division have all contributed handsomely to this year on year growth in revenues and the bottom line."
The bank's Net Interest Income at the end of September 2013 was up by 18.6 percent compared to a year earlier, driven by 17.7 percent year-on-year increase in loan volume and 40 bps improvement in net interest margin from 2.51 percent in September 2012 to 2.91 percent this year, which was predominantly led by change in balance sheet structure and composition of loans.
Mashreq’s capital adequacy ratio and tier 1 capital ratio continue to be significantly higher than the regulatory limit and stood at 18.2 percent and 16.4 percent respectively, at the end of September 2013.
In its third quarter results statement, Mashreq's Total Assets increased by 8.7 percent to reach AED83.0 billion, compared to AED76.4 billion at the end of 2012.
Liquid Assets to Total Assets stood at 23 percent with Cash and Due from Banks at AED19.1 billion at the end of the third quarter, the bank said.
Mashreq Qatar is the lead bank in a consortium to finance the QAR 8.4 billion Qatar Red Line North Metro Joint Venture Project. (QNA)
