SIB operating profits touch 27% in 1st quarter of 2021

By Ashika Rajan, Trainee Reporter
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Sharjah Islamic Bank
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The operating profits of Sharjah Islamic Bank (SIB) has increased 26.9 percent before provisions to $57.76 million in Q1 2021, compared to $45.5 million the previous year.

According to the bank’s financial statement, net profit for the three months ended March 31, 2021, was $44.7 million, up from $41.8 million in the same period last year, despite a provision rise of 254.6 percent due to an increase in net provisions for impairment, which totaled $13 million, up from $3.6 million in Q1 2019.

The bank’s total assets were $14.9 billion at the end of March 2021, up 2.5 percent from $14.5 billion at the end of 2020.

SIB continued to diversify its financing facilities portfolio through various economic sectors, with financing facilities standing at $7.9 billion at the end of the year. The bank also received more deposits during the period, with customer deposits rising by 5.6 percent to $9.6 billion, compared to $9.1 billion at the end of the year.

At the end of Q1 2021, liquid assets totaled $3.4 billion, or 23.3 percent of total assets.
SIB’s general and administrative expenses decreased by 1.5 percent to $35.7 million at the end of Q1 2021, compared to $36.7 million in the same period of 2020.

According to reports, at the end of March 2021, total shareholders’ equity had reached $2 billion, representing 13.6 percent of the bank’s total assets and a capital adequacy ratio of 21.51 percent.

SIB reported a $500 million Sukuk on Nasdaq Dubai in June of last year, bringing the total value of SIB Sukuk listings on Nasdaq Dubai to $2 billion.

Related: Al Maryah Community Bank receives approval from CBUAE; 1st in the country


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