Business
UAB delivers 45% growth in FY 2025 net profit
UAB delivers 45% growth in FY 2025 net profit
About this update from United Arab Bank
Staff WriterUnited Arab Bank (UAB) reported its financial results for the full year ended 31st December 2025, posting a net profit of AED438 million for FY 2025, compared to AED301 million in FY 2024, representing a 45% year-on-year increase. The strong performance reflects the successful execution of the Bank’s strategy, supported by significant asset expansion, disciplined cost management and prudent risk management practices.Total income increased by 31% year-on-year to AED797 million, driven by strong momentum across core businesses, including a 56% growth in non-interest income and a 24% increase in net interest income.Total assets grew by 26% year-to-date to AED27.0 billion, underpinned by a 26% rise in loans, advances and Islamic financing, and 31% increase in the investment portfolio, while customer deposits surged by 31% year-to-date, reflecting growing customer confidence and a strengthened funding base.Asset quality remained resilient throughout the year, supported by strong recoveries that resulted in a net reversal of impairment charges of AED51 million. Liquidity and funding ratios continued to remain comfortably above regulatory thresholds.During FY 2025, the Bank further strengthened its capital position by successfully raising AED1.03 billion in capital via a fully subscribed rights issue. In addition, UAB concluded an AED1.0 billion senior unsecured dual-tranche term loan facility in the final quarter of the year, enhancing funding flexibility and supporting future growth ambitions.UAB’s credit profile strengthened further in 2025, reflecting improved financial metrics and a robust risk framework. Moody’s upgraded the Bank’s deposit ratings to Baa2, while Fitch Ratings and Capital Intelligence upgraded UAB’s Viability and Core Financial Strength ratings, respectively, by one notch each. All rating agencies maintain a ‘Stable’ outlook, underscoring confidence in the Bank’s strategic direction, enhanced capital position and overall financial resilience.Commenting on the Bank’s performance, Sheikh Mohammed bin Faisal bin Sultan Al Qassimi, Chairman of the Board of Directors of United Arab Bank, said:“2025 was a defining year for United Arab Bank, marking not only the Golden Jubilee — 50 years of “United” banking in the UAE — but also heralding a new chapter in the Bank’s evolution with the unveiling of its refreshed brand identity.It proved...