FAB reports profit before tax of AED19.9 billion in 2024
First Abu Dhabi Bank (FAB) has achieved solid results in 2024, with Group net profit reaching AED17.1 billion, up 4 percent year-on-year (yoy), driven by a 15 percent increase in revenue to AED31.6 billion.
Profit before tax grew 13 percent yoy to AED19.9 billion, reflecting increased client activity, strong business volumes, diversified income streams and ongoing operating efficiencies across the franchise. This performance marks consecutive years of sustained growth in scale and profitability, solidifying FAB's position as the UAE's global bank.
Net profit for the fourth quarter of 2024 reached AED4.2 billion, up 4 percent yoy, while revenue for Q4'24 increased by 11 percent yoy to AED7.7 billion.
FAB's Board of Directors is recommending a cash dividend of 75 fils per share for the full year ended 31st December 2024, representing a total dividend payout of AED8.3 billion and 51 percent of group net profit available for distribution.
The dividend proposal is subject to shareholder approval at the bank's Annual General Meeting scheduled to be held on 11th March 2025.
Double-digit revenue growth in both domestic (11 percent) and international (32 percent) franchises supported the expansion of the asset base during 2024, while the bank's international franchise strengthened its global footprint across 20 key financial markets.
Total assets increased 4 percent yoy to AED1.21 trillion as of December-end 2024, with a 9 percent yoy growth in loans, advances and Islamic financing to AED529 billion for the period, and customer deposits up by 3 percent yoy to AED782 billion.
H.H. Sheikh Tahnoon bin Zayed Al Nahyan, Chairman of FAB, said, "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. Fuelled by the UAE's economic growth and the bank's strategic leaps in growing relationships across key economic corridors and markets, FAB delivered strong results last year, supported by record business volumes, successful diversification and innovation.
The bank's achievements solidified the nation's standing as a premier financial and business hub, and delivered on our leadership's vision for an open, efficient, and globally integrated business environment. As the UAE's global bank for businesses and investors, FAB is fully aligned with this vision and remains a key enabler of the UAE's global aspirations."
He added that the Board of Directors recommends a cash dividend of 75 fils per share for 2024, representing a total dividend payout of AED8.3 billion.
"Looking ahead, FAB will remain vital to driving the UAE's future vision, fostering sustainable growth and innovation, and connecting local, regional, and international economies within a world-class financial ecosystem," H.H. Sheikh Tahnoon stated.
Hana Al Rostamani, Group Chief Executive Officer of FAB, said, "Our strategy produced robust results in the UAE, our thriving home market and the foundation of our growth, while powering the expansion of our international franchise, as we diversified growth across customer segments and sources of income and grew international revenue by 32 percent.
Our balance sheet strength is a cornerstone of our success. Our solid capital and liquidity positions and disciplined risk management form the foundation of our ability to deliver resilient and sustainable growth, underpinning the trust that our customers and stakeholders place in us."
She added that the bank have also made clear progress on ESG, facilitating AED267 billion of sustainable and transition financing projects to-date, which represents over half of the Group's 2030 target of AED500 billion.
FAB also made further strides towards carbon emission reduction targets and became the first bank in the region to publish a TNFD report recognising the bank's responsibility to support a nature-positive future by aligning financial practices with environmental resilience.
Investment Banking revenue grew 19 percent yoy while maintaining top rankings across key MENA IB league tables. Global Markets also increased revenue by 18 percent.
FAB reported a 20 percent rise in new-to-bank customers, while lending and deposits grew 15 percent and 17 percent, respectively, with a significant growth in CASA balances Continued enhancement of the private banking offering resulted in 75 percent yoy growth in assets under management.
FAB remained a regional leader in green and social bonds and sukuk issuances, with US$4.1 billion outstanding.
Furthermore, the bank provided over AED4.3 billion in new financing to SMEs during FY'24, 30 percent higher than the prior year.