First Abu Dhabi Bank (FAB), the largest lender in the United Arab Emirates, has reported a 4% year-on-year rise in net profit for 2024, totaling AED 17.1 billion (approximately $4.66 billion). This growth is attributed to a 15% increase in revenue, which reached AED 31.6 billion, driven by diversified income streams and heightened client activity.
The bank's profit before tax grew by 13% year-on-year to AED 19.9 billion, reflecting strong business volumes and ongoing operating efficiencies across its franchise. In the fourth quarter of 2024, FAB's net profit was AED 4.2 billion, marking a 4% increase compared to the same period the previous year.
FAB's Board of Directors has recommended a cash dividend of 75 fils per share for the full year, amounting to a total payout of AED 8.3 billion. This proposal represents 51% of the net profit available for distribution and is subject to approval at the Annual General Meeting scheduled for March 11, 2025.
The bank's asset base expanded in 2024, with total assets rising by 4% year-on-year to AED 1.21 trillion. Loans, advances, and Islamic financing grew by 9% to AED 529 billion, while customer deposits increased by 3% to AED 782 billion. FAB's international operations, spanning 20 key financial markets, saw revenue grow by 32% year-on-year, reinforcing the bank's global footprint.
Sheikh Tahnoon Bin Zayed Al Nahyan, Chairman of FAB, stated, "FAB’s performance in 2024 cements consecutive years of expanded scale and improved profitability, demonstrating steady progress against our Group strategy as the UAE’s global bank."
Hana Al Rostamani, Group Chief Executive Officer of FAB, highlighted the bank’s strategic achievements: "Our strategy produced robust results in the UAE, our thriving home market, while powering the expansion of our international franchise. We diversified growth across customer segments and sources of income, growing international revenue by 32%."
FAB's return on tangible equity (RoTE) for 2024 stood at 16.8%, aligning with its medium-term target of above 16%. The bank continued its expansion in wholesale banking, with investment banking revenue growing by 19% year-on-year, while global markets revenue increased by 18%. Corporate and commercial banking also posted strong gains, aided by digital innovations such as the Commercial Banking Service Accelerator. Retail banking saw a 20% increase in new customers, with lending and deposits rising by 15% and 17%, respectively.
These results underscore FAB's resilience and strategic focus, positioning it for continued growth in the evolving financial landscape.