United Arab Bank shines, Commercial Bank of Dubai steadies the ship, du on solid footing in 1Q

Banks kept the momentum going in 1Q despite regional turmoil. United Arab Bank (UAB) posted net income of AED 75 mn in 1Q 2026, as stronger income growth and loan expansion helped offset a tougher comparison on impairments, according to its earnings release (pdf). Total operating income rose 16% y-o-y to AED 193 mn, driven by a 34% increase in net interest income.

The balance sheet was doing its part: Total assets grew 15% y-o-y to AED 26.9 bn, with loans and Islamic financing up 21% to AED 15.1 bn and investments rising 22% to AED 8.3 bn. Customer deposits increased 11% to AED 16.7 bn, pointing to steady funding alongside credit growth.

Meanwhile, Commercial Bank of Dubai’s (CBD) net income after tax edged up 0.2% y-o-y to AED 830 mn, according to its management discussion and analysis report (pdf). Operating income increased 6.2% to AED 1.5 bn, supported by growth in loans, low-cost CASA balances, and fees.

Credit costs did most of the dampening: Higher income was largely offset by a jump in impairment charges. Net impairment losses surged 68% y-o-y to AED 152 mn as the bank applied macroeconomic overlays linked to heightened regional uncertainty.

Even so, the balance sheet stayed solid: Net loans and advances topped AED 102 bn, up 5.3% y-o-y, while customer deposits rose 10% to AED 109.6 bn. Total assets increased 11.9% to AED 157.9 bn.

du also opened 2026 on solid footing

The telco’s net income rose 15.5% y-o-y to AED 834 mn in 1Q 2026, on revenue of AED 4.1 bn, up 6.9% y-o-y, according to its earnings release(pdf). The operator said that strong momentum in January and February helped offset a weaker March, when regional disruption weighed on activity. Mobile subscribers grew 6.1% y-o-y to 9.7 mn, while fixed base subscribers increased 6.3% to 745k.

How the war filtered through earnings: March brought weaker tourist inflows and inbound roaming, pressure on new subscriber additions, and softer discretionary spending by consumers and businesses. du also flagged a shift toward fixed connectivity as remote working and learning picked up. The telecom operator kept full-year guidance unchanged for now.