Capital Adequacy and Divisional Performance
Q1 2010 and 2009 Financial Results
ā
Q1 2010 Financial Results Highlights
Operating profit before impairment allowances of USD 460m; -1% from USD
463m in Q1 2009; +4% from USD 442m in Q4 2009
Operating profit of USD 309m; -8% from USD 337m in Q1 2009; +68% from USD
184m in Q4 2009
Net profit of USD 302m; -12% from USD 343m in Q1 2009; +523% from USD 48m
in Q4 2009
Improvement of equity & bond markets resulted in positive impact from mark to
market valuations of USD 44m vs. negative USD 62m in Q1 2009 and negative
USD 38m in Q4 2009
Net profit for Q4 2009 impacted by USD 86m impairment on and USD 44m share
of losses of associate investments; negligible impact in Q1 2010
Capital ratios remain strong; CAR 21.9% and T1 13.9% at end Q1 2010
Loans declined 1% from 4Q 2009 levels while deposits grew 6%, improving the
loan to deposit ratio to 111% from 118% at end-2009
2009 Financial Results Highlights
Operating profit before impairment allowances of USD 1,970m; +42% from
USD 1,386m in 2008
Operating profit of USD 1,066m; +14% from USD 936m in 2008
Net profit down 9% from 2008
Improvement of equity & bond markets resulted in positive impact from mark
to market valuations of USD 58m vs. negative USD 615m in 2008
Net profit impacted by USD 86m impairment on and USD 44m share of losses
of associate investments
Cash dividend of 20% proposed by Board
Capital ratios strengthened significantly from 2008 levels (CAR 20.8% and T1
13.3% at end-2009)
USD million
Net interest income
Fee & other income
Operating profit
Net interest margin (%)
EPS (USD Cents)
ROE (%)
USD billion
Emirates NBD
Key Performance Indicators
Q1
Q1
Change
Change
2009
2008
2010
2009
(%)
(%)
471
525
-10%
2,018
1,589
+27%
172
209
-18%
783
1,051
-26%
Investment & CDS MTM
54
(23)
-332%
153
(340)
n/a
Total income
697
711
-2%
2,954
2,300
+28%
Operating expenses
(237)
(248)
-5%
(984)
(914)
+8%
Operating profit before
impairment allowances
460
463
-1%
1,970
1,386
+42%
Impairment allowances:
(151)
(126) +20% (904) (450)
+101%
Credit
(141)
(87) +63% (809) (175)
+363%
Investment securities
(10)
(39)
-75%
(95)
(275)
-66%
309
337
-8%
1,066
936
+14%
Amortisation of intangibles
(6)
(6)
0%
(26)
(26)
-2%
Associates
(0)
12
-104%
(130)
92
-241%
Share of profits
(0)
12
-104%
(44)
92
-148%
Impairment of investments
Net profit
0%
-
(86)
n/a
302
343
-12%
910
1,002
-9%
Cost: income ratio (%)
33.9% 34.9% -1.0%
2.58% 3.01% -0.43%
5.4
6.2
-12%
19.6% 25.7% -6.1%
16.4
16.2%
33.3% 39.7%
-6.4%
2.81% 2.18% +0.63%
18.0
-9%
19.1%
-2.9%
Q1
Q4 Change
Change
2009
2008
2010
2009
(%)
(%)
Total assets
Loans
78.9
76.6
+2.9%
76.7
76.9
-0.3%
58.4
58.4
-1.2%
58.4
56.9
+2.7%
Deposits
52.1
46.4
5.6%
49.3
44.2
+11.6%
Capital Adequacy Ratio (%)
21.9%
16.2% +1.1%
20.8%
11.4%
+9.4%
Tier 1 Ratio (%)
13.9%
9.7%
0.6%
13.3%
9.4%
+3.9%
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