Dubai Islamic Bank reports $571.7 Mn net profit for H1 2020

By Rahul Vaimal, Associate Editor
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UAE’s largest Islamic bank, Dubai Islamic Bank (DIB) has reported a net profit of $571.73 million for the first half (H1) of 2020, a decrease of 23 percent compared to $743 million reported in the same period last year.

The bank’s total income reached $1.86 billion in H1 2020 where the net operating revenue grew to $1.29 billion. DIB’s total assets are now valued at $80.32 billion, up by 27% compared to the year-end of 2019.

Key Performance Figures

  • Net financing & Sukuk investments increased 29 percent to $64.55 billion in the first half of 2020 from $50.15billion at the end of 2019.
  • Close to $5.45billion were utilized in new financing growth driven by the realignment of a strategy focusing on lower-risk sectors, particularly sovereigns.
  • Gross new consumer financing amounted to $1.66 billion during the first quarter of 2020.


  • DIB’s Customer deposits grew 26% to $56.36 billion from $44.65 billion at year-end 2019.
  • Current and Savings account (CASA) rose by nearly 57 percent to $23.33 billion, growing from $14.87 billion in year-end 2019 and $19.98billion in Q1 2020. The figure represents about 41 percent of customer deposits.
  • Bank’s net impairment charges were $173.43 million, much lower than the $402.95 million booked in the first quarter, which included $222.71 million in extraordinary charges.


  • Return on Assets (ROA) is at 1.94%
  • Return on Equity (ROE) at 15.5%.
  • Financing to deposit ratio stood at 97%.
  • NPF ratio is at 4.5%.
  • The bank’s capital adequacy ratio stood at 16.7% at the end of June, slightly above 16.5% last quarter.
  • The CASA component increased to 41% from 33% in 2019 supported by a strong focus on operating accounts.
  • Overall coverage, including collateral at a discounted value, stands at 114%. Capital adequacy ratio is at 16.7% whilst CET 1 ratio is at 12.3%.


The bank’s total income reached $1.86 billion, marginally below the similar period last year. Group net profit reached $577 billion during the first half of the year. It’s net financing and Sukuk investments grew to $64.55 billion vs $50.15 billion in 2019, up by 29% YTD while the customer deposits grew to $56.22 billion up by 26% YTD.

Total assets stood now at $80.32 billion, up by 27% YTD while the cost to income ratio improved to 29.4% as the impact of Noor Bank integration synergies starts to flow through.