Ajman Bank Breaks Records: Q3 Profit Soars 458% to AED 313 Million

His Highness Sheikh Ammar bin Humaid Al Nuaimi, Crown Prince of Ajman and Chairman of the Board of Ajman Bank presided over the bank’s latest board meeting. The meeting was also attended by Sheikh Rashid bin Humaid Al Nuaimi, Chairman of the Municipality and Planning Department of Ajman and Vice Chairman of the Bank’s Board.

Key Agenda and Discussions

Held at the bank’s headquarters, the meeting focused on reviewing various financial and administrative matters. The board also examined routine business operations and issued several decisions aimed at maintaining momentum in the bank’s strategic initiatives.

Record-High Financial Performance for 2024

Ajman Bank reported its highest-ever profit before tax of AED 313 million for the first nine months of 2024. This marked a major recovery from a net loss of AED 87 million during the same period in 2023. Total operating income rose by 9% to AED 1.2 billion, up from AED 1.1 billion in Q3 2023, contributing to a net operating income of AED 616 million.

The bank’s annualized return on shareholder equity surged to 12.8%—an increase of 1,669 basis points—while the annualized return on assets climbed to 1.6%, reflecting a rise of 205 basis points.

Balance Sheet Highlights

Ajman Bank’s balance sheet remains robust, with total assets valued at AED 24.4 billion and customer deposits amounting to AED 20.3 billion. Equity holdings stand at AED 3.0 billion, underscoring the bank’s solid financial foundation. Significant improvements were seen in both capital position and asset quality on a yearly and quarterly basis.

His Highness Sheikh Ammar bin Humaid Al Nuaimi, Crown Prince of Ajman, and Chairman of Ajman Bank, said, “Ajman Bank’s remarkable Q3 performance is a testament to the success of our strategic initiatives and the resilience of the UAE’s economic landscape. Our continued growth reflects our commitment to fostering economic development in Ajman and across the UAE while maintaining our dedication to serving stakeholders with integrity and excellence. I would like to express my deepest gratitude to the Board of Directors, senior management, and all our employees for their exceptional hard work and unwavering support, which have been instrumental in driving our success.”

Mr. Mustafa Al Khalfawi, CEO of Ajman Bank, stated, “Our performance in Q3 2024 reflects Ajman Bank’s disciplined approach to growth, operational efficiency, and value creation. The consistent rise in operating income, profitability, and asset quality as well as reducing operating expenses by 6% is a direct result of our focus on Speed, Service, and Specialization, along with our unwavering commitment to innovation and customer-centric solutions, and focus on remediating the distressed assets, resulting in strong recoveries. This success would not have been possible without the dedication and hard work of our entire team, whose efforts continue to drive our achievements. As we move forward, we remain committed to building long-term value for our shareholders, while reinforcing our position as a key player in the UAE’s Islamic banking sector. Our strategic initiatives will continue to prioritize sustainable growth, driven by advanced financial services that meet the evolving needs of our customers.”

Strengthened Capital and Liquidity

The bank’s capital adequacy ratio increased to 19.5%, with its Tier 1 capital ratio rising to 18.4%, both comfortably above regulatory requirements. Liquidity indicators reflect the bank's stability, with an advance-to-stable-resources ratio of 75.6% and an eligible liquid asset ratio of 24.2%. Asset quality also improved as the non-performing financing ratio declined to 10.6% in Q3 2024, compared to 13.8% at the end of 2023, supported by the remediation of over 28% of non-performing exposures.

Outlook and Strategic Positioning

With its strong financial performance, ongoing transformation strategy, and favourable economic conditions in the UAE, Ajman Bank is well-positioned to maintain its growth trajectory. The bank is expected to deliver sustainable profitability for the remainder of FY 2024 and beyond.

This strategic momentum highlights Ajman Bank’s capacity to achieve consistent financial success, build operational resilience, and capitalize on market opportunities moving forward.