{"id":88646,"date":"2024-02-02T00:00:00","date_gmt":"2024-02-02T00:00:00","guid":{"rendered":"https:\/\/enterpriseam.com\/uae\/fabs-net-income-jumps-56-in-2023-adnocs-borouge-sees-annual-bottom-line-dip\/"},"modified":"2024-02-02T00:00:00","modified_gmt":"2024-02-02T00:00:00","slug":"fabs-net-income-jumps-56-in-2023-adnocs-borouge-sees-annual-bottom-line-dip","status":"publish","type":"post","link":"https:\/\/enterpriseam.com\/uae\/2024\/02\/02\/fabs-net-income-jumps-56-in-2023-adnocs-borouge-sees-annual-bottom-line-dip\/","title":{"rendered":"FAB\u2019s net income jumps 56% in 2023 + Adnoc\u2019s Borouge sees annual bottom line dip"},"content":{"rendered":"<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"> <strong>We have more earnings reports this morning<\/strong>, including First Abu Dhabi Bank, Borouge, Sukoon Takaful, Ras Al Khaimah Ins. and Abu Dhabi National Hotels Group.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\">\n<p class=\"tag-border-left\">FIRST ABU DHABI BANK-<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>FAB had a strong year: <\/strong>First Abu Dhabi Bank (FAB) saw its net income rise 22% y-o-y to a record AED 16.4 bn in 2023, the bank said in its <a target=\"_blank\" href=\"https:\/\/ent.news\/2024\/2\/23.pdf\" style=\"\" rel=\"noopener\">earnings presentation (pdf)<\/a>. The UAE\u2019s largest lender attributed the strong performance to revenue growth. Operating income jumped 32% y-o-y to AED 27.5 bn, driven by a 27% y-o-y increase in the bank\u2019s net interest income to AED 18.1 bn. <\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>On a quarterly basis<\/strong>,the bank saw its bottom line leap 63% y-o-y to AED 4.01 bn in 4Q 2023, beating analyst expectations of posting a 30% y-o-y increase to AED 3.6 bn. Operating income climbed 17% y-o-y in 4Q 2023 to AED 6.93 bn.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Total assets hit AED 1.2 bn:<\/strong> \u201cWe further consolidated our leading position as one of the largest global banks, with total assets increasing to AED 1.2 tn,\u201d FAB chairman Sheikh Tahnoon Bin Zayed Al Nahyan said in the <a target=\"_blank\" href=\"https:\/\/ent.news\/2024\/2\/24.pdf\" style=\"\" rel=\"noopener\">earnings release (pdf)<\/a>. <\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>What\u2019s next for the bank? <\/strong>The bank is targeting a return on tangible equity of above 16% over the medium-term, by \u201ccontinuing to build on its momentum of business growth and diversification and to strengthen and expand its leadership position in the UAE and its international operations,\u201d according to the earnings release. <\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>FAB expects the Emirates\u2019 GDP to grow 4.5% in 2024<\/strong>, compared to 3.7% in 2023, and also expects the Central Bank of the UAE to cut interest rates three times in 2H 2024, according to the earnings presentation. <\/p>\n<p style=\"padding:0;line-height:1.15;margin-right:0;margin-left:36pt;margin-top:0;orphans:2;margin-bottom:0;widows:2;text-align:left\">\n<p class=\"tag-border-left\">BOROUGE-<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Borouge\u2019s annual income down, <\/strong><strong>quarterly <\/strong><strong>income up: <\/strong>Adnoc petrochemicals JV Borouge saw its net income fall 29% y-o-y to USD 1 bn (AED 3.67 bn) in 2023 amid dampened demand, according to the company\u2019s annual <a target=\"_blank\" href=\"https:\/\/ent.news\/2024\/2\/35.pdf\" style=\"\" rel=\"noopener\">earnings release (pdf)<\/a>. The company\u2019s revenues dipped 14% y-o-y to USD 5.8 bn (AED 21.3 bn) in 2023, driven by a 16% slump in average selling prices.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>On a quarterly basis, the company\u2019s net income increased 16% y-o-y in 4Q 2023 to USD <\/strong><strong>288 mn<\/strong> (AED 1.05 bn). Meanwhile, quarterly revenues fell 6% y-o-y during the quarter to USD 1.6 bn (AED 5.8 bn). <\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>What they said:<\/strong> \u201cOver the past twelve months we have demonstrated the resilience of our business model and ability to leverage our strong brand positioning, technical capabilities, operational scale and excellence to outperform in challenging market conditions,\u201d Borouge CEO Hazeem Sultan Al Suwaidi <a target=\"_blank\" href=\"https:\/\/www.borouge.com\/en\/media\/Pages\/News\/Qtr4-2023-Results.aspx\" style=\"\" rel=\"noopener\">said<\/a> in the earnings release, adding that operational efficiencies helped bolster performance. <\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Dividends: <\/strong>The company plans to distribute USD 1.3 bn (AED 4.77 bn) in dividends in 2024, according to the earnings release. <\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\">\n<hr style=\"height:2px;border-width:0;color:gray;background-color:gray\">\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Sukoon Takaful reports 2023 loss: <\/strong>Sukoon Ins.\u2019 Takaful arm <a target=\"_blank\" href=\"https:\/\/www.sukoontakaful.com\/\" style=\"\" rel=\"noopener\">Sukoon Takaful<\/a> incurred a net loss of AED 76.5 mn in 2023, widening from an AED 30.7 mn net loss the previous year, according to its <a target=\"_blank\" href=\"https:\/\/ent.news\/2024\/2\/40.pdf\" style=\"\" rel=\"noopener\">financials (pdf)<\/a>. The firm\u2019s revenues for the year inched down 1.5% y-o-y to AED 126.6 mn.<\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Looking forward:<\/strong> The company expects to achieve a turnaround by the end of the financial year amid steps towards bolstering solvency and optimizing resources, including through the divestment of non-core assets, according to Sukoon\u2019s financial statement. <\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\">\n<hr style=\"height:2px;border-width:0;color:gray;background-color:gray\">\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Ras Al Khaimah National Ins. returned to the green in 2023<\/strong>, recording AED 14.5 mn in net income during the year, compared to 2022\u2019s net loss of AED 35.5 mn, according to the company\u2019s preliminary unaudited <a target=\"_blank\" href=\"https:\/\/ent.news\/2024\/2\/57.pdf\" style=\"\" rel=\"noopener\">financials (pdf)<\/a>, disclosed on the ADX. Ins. revenue stood at 464.4 mn, up from 458.5 mn in 2022. <\/p>\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\">\n<hr style=\"height:2px;border-width:0;color:gray;background-color:gray\">\n<p style=\"padding:0;margin:0;line-height:1.15;orphans:2;widows:2;text-align:left\"><strong>Abu Dhabi National Hotels Group\u2019s bottom line stood at AED 422 mn in 2023<\/strong>, up from AED 415 mn in 2022, according to the company\u2019s <a target=\"_blank\" href=\"https:\/\/ent.news\/2024\/2\/60.pdf\" style=\"\" rel=\"noopener\">earnings release (pdf)<\/a>. The group\u2019s consolidated revenue stood at AED 1.6 bn in 2023,up from AED 1.5 bn during the same period last year. The hotel segment experienced an increase in revenues, reaching 1.4 bn, up 12% y-o-y. The transport company's revenues for 2023 amounted to 285 mn, reflecting a 11% y-o-y rise. <\/p>\n","protected":false},"excerpt":{"rendered":"<p>The bank posted double-digit growth<\/p>\n","protected":false},"author":1,"featured_media":88647,"comment_status":"","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"newspack_ads_suppress_ads":false,"newspack_popups_has_disabled_popups":false,"newspack_sponsor_sponsorship_scope":"","newspack_sponsor_native_byline_display":"inherit","newspack_sponsor_native_category_display":"inherit","newspack_sponsor_underwriter_style":"inherit","newspack_sponsor_underwriter_placement":"inherit","ep_exclude_from_search":false,"_primary_brand":0,"newspack_featured_image_position":"","newspack_post_subtitle":"","newspack_article_summary_title":"Overview:","newspack_article_summary":"","newspack_hide_updated_date":false,"newspack_show_updated_date":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[1596],"tags":[57,159,766,237,143,7,65,132,767],"brand":[],"newspack_spnsrs_tax":[],"class_list":["post-88646","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-earnings-watch","tag-adnoc","tag-banking","tag-borouge","tag-earnings-watch","tag-energy","tag-enterpriseam-uae","tag-first-abu-dhabi-bank","tag-insurance","tag-sukoon-insurance","wpautop","entry"],"acf":{"mongo_id":"7632ce27-08c2-4ba9-9a4e-875e9a94ace1","is_powered_by":false,"story_type":"1","photo_url":"https:\/\/ent.news\/2024\/2\/25.jpg","photo_position":"above","homepage_title":"","full_issue_title":"First Abu Dhabi Bank net income jumps 56% in 2023","related_issue":[88640],"teaser":"The bank posted double-digit growth","voice_url":"https:\/\/s3.us-east-1.amazonaws.com\/ent.news\/audio\/2024\/2\/.4c6f408e-bef0-47ce-8c4a-7c32d93c10f1.mp3"},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v27.1 (Yoast SEO v27.1.1) - 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