Dubai Islamic Bank (DIB), the largest Islamic financial group in UAE, has reported a 10% increase in its gross revenue for the first six months of the year, backed by growth in financing and fee-based income, while stronger asset quality and capital levels helped underpin profitability.

Announcing the results for the six-month period ended June 30, DIB said the gross revenue rose to AED12.4 billion ($3.38 billion), while pre-tax profit edged up 1% to AED4.3 billion. The operating profit increased 6% to AED4.8 billion.

Net financing assets grew 7% since the end of 2025 to AED281 billion, driven by demand across its consumer and wholesale banking businesses. Customer deposits increased 2% to AED327 billion, while total assets rose 2% to AED423 billion. The bank said it extended AED43 billion of new gross financing during the period.

Asset quality improved, with the non-performing financing (NPF) ratio declining to 2.4% from 2.7% at the end of 2025, while the cost of risk remained low at 28 basis points.

On the solid results, Chairman Mohammed Ibrahim Al Shaibani said the first half of 2026 unfolded in a challenging operating environment, with geopolitical developments, shifting rate expectations and market confidence continuing to shape decision-making across global markets. 

“For the banking sector, such conditions reinforce the importance of sound governance, balance sheet strength and responsible capital allocation. DIB’s performance in the first half reflects these priorities,” he stated. 

“Net financing assets grew 7% year-to-date to AED 281 billion, while customer deposits increased 2% year-to-date to AED 327 billion, demonstrating the confidence the Bank continues to command from customers and the market,” he added.

DIB maintained a strong capital position, with its Common Equity Tier 1 (CET1) ratio rising to 13.0% and its capital adequacy ratio increasing to 16.1%. The lender also reported a liquidity coverage ratio of 140%, comfortably above regulatory requirements.

The results reflect continued growth across DIB's core banking businesses despite a higher interest-rate environment, with the bank citing disciplined cost management and sustained customer acquisition as key drivers of its first-half performance.

Group CEO Dr. Adnan Chilwan said: “DIB delivered a strong first-half performance in 2026, with gross revenue increasing 10% year-on-year to AED12.4 billion. Growth was supported by both funded and non-funded income streams, reflecting the breadth of earnings across the franchise and continued demand for our Shariah-compliant products and services. Profitability remained robust.”

“Operating profit rose 6% year-on-year to AED4.8 billion, supported by revenue growth, disciplined cost management and continued operating efficiency,” he stated.

Chilwan said DIB’s priorities for the second half are clear. “We will continue to grow with discipline, diversify revenues, maintain asset quality and invest in capabilities that improve efficiency and customer service,” he stated. 

“With a resilient balance sheet and focused strategy, DIB is well placed to continue supporting customers, businesses and the wider economy through Islamic banking solutions that remain relevant, responsible and commercially competitive,” he added.-TradeArabia News Service