First Abu Dhabi Bank (FAB), the largest bank in the UAE and recognized as one of the top global financial institutions, announced a record group net profit of Dhs 16.02 billion for the nine months ending September 30, 2025, reflecting a 24 percent increase compared to the previous year.
The bank’s profit before tax increased by 26 percent to reach Dhs 19.25 billion, and its return on tangible equity (RoTE) was reported at 20 percent, surpassing the bank’s medium-term expectations.
FAB’s solid performance was attributed to substantial growth in all business segments, bolstered by diverse revenue streams, elevated client engagement, and growth from significant trade corridors. Operating income rose by 16 percent year-on-year, totaling Dhs 27.65 billion.
Net interest income saw a slight increase of 2 percent, amounting to Dhs 14.96 billion, while non-interest income experienced a notable surge of 37 percent to reach Dhs 12.7 billion, contributing to 46 percent of total group revenue. Additionally, fees and commissions rose by 23 percent, and foreign exchange alongside investment income grew by 45 percent.
Loans and advances increased by 13 percent year-to-date to Dhs 596 billion, with strong trade-related financing driving this growth. Customer deposits also grew by 8 percent to Dhs 848 billion, and total assets reached Dhs 1.38 trillion, marking a 14 percent increase year-to-date.
The bank maintained strong asset quality, with a common equity tier 1 (CET1) ratio of 13.7 percent and a liquidity coverage ratio (LCR) of 158 percent. FAB also holds one of the highest combined credit ratings in the region at AA- or its equivalent.
FAB reveals solid earnings for the third quarter
In the third quarter, FAB reported a net profit of Dhs 5.39 billion, which is a 21 percent year-on-year increase, driven by heightened client activity across various lending, deposit, and transaction services.
Hana Al Rostamani, group CEO of FAB, noted: “We achieved record success during the first nine months of 2025, with group revenue reaching Dhs 27.65 billion and net profit surpassing Dhs 16 billion, which is an increase of 16 percent and 24 percent year-on-year, respectively. Our return on tangible equity is at 20 percent, which is significantly above our medium-term objectives.”
“Throughout the organization, we have focused on strengthening client relationships, diversifying our revenue sources, and deploying capital efficiently to promote sustainable growth. Our international expansion into Europe, Turkey, Nigeria, and the forthcoming branch in India underscores FAB’s commitment as a leading corridor bank in key regions.”
“Our journey with AI is producing tangible results across the organization, enhancing efficiency and redefining client interactions through innovation driven by intelligence. We enter the last quarter of 2025 with considerable momentum and a robust balance sheet, confident in our ability to maintain growth heading into 2026 and beyond.”
Lars Kramer, group CCFO, added: “FAB’s third-quarter results showcase widespread strength, with each division reporting record revenues. Our capital and liquidity positions remain securely above the regulatory thresholds, highlighted by a CET1 ratio of 13.7 percent and an LCR of 158 percent.”
“We continue to diversify our funding sources and push forward our innovation agenda, which has included significant transactions such as our inaugural blue bond—the first issued by a GCC bank—and our low carbon energy bond, placed at the most competitive spread of any bank in the CEEMEA region.”
Key business developments
The revenue from Investment Banking & Markets grew by 17 percent over the previous year, reaching Dhs 9.09 billion, propelled by a 27 percent rise in lending.
The bank facilitated Dhs 261 billion in client fundraising within its ECM and DCM platforms and maintained leading positions in MENA investment banking league tables.
Wholesale Banking revenue rose by 11 percent to Dhs 4.65 billion, driven by increased lending and deposits, expanded regional coverage, and tailored sector-specific solutions.
The Personal, Business, Wealth, and Privileged Client Banking Group reported an 11 percent revenue increase to Dhs 9.50 billion, attributed to a 41 percent rise in new clients and a Dhs 17 billion increase in retail CASA balances.
The assets under management saw a 49 percent year-on-year growth.
Global operations and AI advancements
The international segment contributed 17 percent to group revenue, with loans and deposits rising by 23 percent and 18 percent year-to-date, respectively. FAB enhanced its position as a key player in regional cross-border capital and trade flows across Asia, MENA, Europe, and the UK.
The bank has made significant strides in its AI-enabled transformation, implementing 18 advanced AI systems in areas such as trade operations, customer service, and finance analytics, which have doubled processing capabilities and halved turnaround times.
According to the bank, all employees are now equipped with AI tools, with plans for further development across credit, legal, and analytics functional areas.
Key financial metrics: January-September 2025
- Net profit: Dhs 16.02 billion (+24 percent year-on-year)
- Profit before tax: Dhs 19.25 billion (+26 percent)
- Operating income: Dhs 27.65 billion (+16 percent)
- Total assets: Dhs 1.38 trillion (+14 percent year-to-date)
- International income: Dhs 4.78 billion (17 percent of group revenue)
- RoTE: 20 percent (up from 17.1 percent in 9M 2024)
- CET1 ratio: 13.7 percent
- LCR: 158 percent