Q2-16 Financial Results Highlights

Appendix Strategy Financial & Operating Performance Emirates NBD Profile Operating Environment Q2-16 Financial Results Highlights Highlights • • Net profit of AED 1,910 million for Q2-16 improved 16% y-o-y and 6% q-o-q Net interest income improved 2% y-o-y due to loan growth and higher EIBOR, and remained flat q-o-q as loan growth was offset by NIM contraction Non-interest income improved 1% y-o-y due to higher core fee income and declined 10% q-o-q due to lower one-off gains from the sale of investment securities Costs increased 6% y-o-y on the back of late 2015 growth in anticipation of increased business volumes, which has since been contained in light of the new economic reality. Costs improved 2% q-o-q as cost control measures implemented in Q1-16 take effect Provisions of AED 626 million improved 30% y-o-y and 25% q-o-q as cost of risk continues to normalize helped by higher writebacks and recoveries NPL ratio improved to 6.6% and coverage ratio strengthened to 118.5% AD ratio of 96.1% within management range NIMs declined marginally to 2.55% in Q2-16 as loan spreads for retail and Islamic products did not keep pace with the higher cost of deposits Key Performance Indicators AED Mn Q2-16 Q2-15 Better/ (Worse) Q1-16 Better / (Worse) Net interest income Non-interest income Total income Operating expenses 2,544 2,497 2% 2,555 (0%) 1,221 1,213 1% 1,350 (10%) 3,766 3,710 2% 3,905 (4%) (1,226) (1,157) (6%) (1,250) 2% Pre-impairment 2,540 2,553 (1%) 2,655 (4%) operating profit Impairment allowances (626) (901) 30% (829) 25% Operating profit 1,914 1,652 16% 1,826 5% Share of profits from 34 39 (11%) 27 28% associates Taxation charge (38) (45) 16% (45) 16% Net profit 1,910 1,646 16% 1,808 6% Cost: income ratio (%) Net interest margin (%) 32.6% 2.55% 31.2% (1.4%) 2.76% (0.21%) 32.0% 0.6% 2.62% (0.07%) 30-Jun-16 31-Dec-15 % 31-Mar-16 % AED Bn Total assets Loans 425.8 406.6 5% 414.5 3% 286.0 270.6 6% 279.1 2% Deposits 297.6 287.2 4% 290.9 2% AD ratio (%) 96.1% 94.2% (1.9%) 95.9% (0.2%) NPL ratio (%) 6.6% 7.1% 0.5% 6.9% 0.3% Emirates NBD 14

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