nbf
News Release
otibgJI OF4_,SJIc_Li4
Ref No. 28 July 2022 National Bank of Fujairah
National Bank of Fujairah PJSC (NBF) posted a solid performance in H1 2022
Net profit reached AED 150.5 million up 97.5% and surged 49.4% quarter-on-
quarter on the back of strong business growth and asset and liability
management
Progressive performance underpinned by robust capital adequacy, enhanced balance
sheet management and improvement in asset quality
28 July 2022: NBF is pleased to announce its results today for the six month period
ended 30 June 2022.
Highlights:
 NBF recorded year-on-year growth of 97.5% to close the six month period at a net
profit of AED 150.5 million compared to AED 76.2 million in the corresponding period
of 2021, up 49.4% quarter-on-quarter and 163.6% for the three month period ended
30 June 2022 over the corresponding period of 2021. This exhibits the bank’s
renewed focus on core business growth and improving resilience in spite of the
prevailing geopolitical headwinds.
 Aided by higher net interest income and net income from Islamic financing and
investment activities, fee and exchange income, NBF posted an operating profit of
AED 609.1 million for the six month period, a significant increase of 21.3% compared
to AED 502.0 million in the corresponding period of 2021 and up 7.7% quarter-on-
quarter and 24.4% for the three month period ended 30 June 2022 over the
corresponding period of 2021.
 Operating income growth of 22.3% was recorded for the three month period ended
30 June 2022 over the corresponding period of 2021; and 7.9% compared to Q1
2022. Operating income reached AED 858.5 million for the six month period ended
30 June 2022, up 18.5% compared to AED 724.5 million in the corresponding period
of 2021, reflecting the improving business sentiment, UAE economy’s sustained
upward growth momentum despite challenging times; and in line with the bank’s
recovery strategy.
 Net interest income and net income from Islamic financing and investment
activities grew 10.9% to AED 520.1 million for the six month period ended 30
June 2022 compared to AED 469.1 million in the corresponding period of
2021.
NBF RESULTS National Bank of Fujairah PJSC
PO Box: 2979, Dubai, UAE
Page 1 of 5 Tel: +971 600 565551
Fax: +971 9 222 7992
www.nbf.aeNews Release
Ref No. 28 July 2022
It was up 16.6% for the three month period ended 30 June 2022 compared to
the corresponding period of 2021; and up 18.0% compared to Q1 2022.
 Net fees, commission and other income rose 29.0% to AED 214.5 million for
the six month period ended 30 June 2022 compared to AED 166.2 million in
the corresponding period of 2021. It was up 23.7% for the three month
period ended 30 June 2022 compared to the corresponding period of 2021;
and up 2.7% compared to Q1 2022.
 NBF posted record foreign exchange and derivatives income of AED 102.5
million for the six month period ended 30 June 2022, with an exceptional
growth of 87.9% compared to AED 54.6 million in the corresponding period of
2021. It was up 134.4% for the three month period ended 30 June 2022
compared to the corresponding period of 2021; and up 17.9% compared to
Q1 2022.
 Income from investments and Islamic instruments stood at AED 21.3 million
compared to AED 34.6 million in the corresponding period of 2021.
 Operating expenses increased by 12.1%, reflecting NBF’s investments in its
businesses, systems, infrastructure and people. These investments include a set of
digitalisation initiatives to enhance our focus on exceptional customer service
through digital adoption and innovation. Nevertheless, NBF’s cost-to-income ratio
improved to 29.1% compared to 30.7% in the corresponding period of 2021, after
achieving further productivity improvements. This provides ample headroom to
continue investing in our technological capabilities.
 NBF maintained its policy of prudent and transparent recognition of problem
accounts. The small number of exceptional group exposures that had been
earmarked for resolution are progressing well in line with the bank’s recovery
strategy. NBF secured net impairment provisions of AED 458.6 million for the six
month period ended 30 June 2022 compared to AED 425.7 million in the
corresponding period of 2021. During the period, the bank’s impairment reserve
reduced by 9.3% to AED 172.0 million compared to AED 189.7 million as at 31
December 2021. Total provision coverage ratio (including impairment reserves)
improved to 102.7% compared to 87.0% as at 31 December 2021. The NPL ratio
improved to 8.5% compared to 9.8% as at 31 December 2021 and IFRS 9 stage 2
exposure stood at 6.2% compared to 6.1% as at 31 December 2021.
NBF RESULTS National Bank of Fujairah PJSC
PO Box: 2979, Dubai, UAE
Page 2 of 5 Tel: +971 600 565551
Fax: +971 9 222 7992
www.nbf.aeNews Release
Ref No. 28 July 2022
Excluding the few exceptional group exposures, the NPL ratio would reduce to 4.6%
(31 December 2021: 5.5%).
 Loans and advances and Islamic financing receivables rose by 8.2% to reach AED
27.7 billion compared to AED 25.6 billion at 2021 year-end, up by 9.7% from 30
June 2021.
 Investments and Islamic instruments increased by 17.2% from AED 4.4 billion at
2021 year-end to AED 5.1 billion as at 30 June 2022, up by 5.4% from 30 June 2021
evidencing the deployment of a portion of excess liquidity towards the high quality
investment book to augment shareholder value.
 The capital adequacy ratio (CAR) stood at 18.3% (Tier 1 ratio of 17.2% and CET 1
ratio of 13.3%) compared to 19.1% (Tier 1 ratio of 18.0% and CET 1 ratio of 13.8%)
at 2021 year-end and is being maintained at this heightened level to support the
bank’s ability to ride out any challenges arising out of the rapidly evolving operating
landscape.
 Customer deposits and Islamic customer deposits stood at AED 31.8 billion compared
to AED 32.2 billion at 2021 year-end, up by 6.7% from 30 June 2021. Current and
Saving Accounts (CASA) deposits increased by AED 509.5 million from 2021 year-
end, a 3.3% increase to AED 15.9 billion as at 30 June 2022. CASA deposits
improved to a record 50.0% of total customer deposits compared to 47.9% as at 31
December 2021 and 40.6% as at 30 June 2021 softening the impact pertinent to the
cost of deposits.
 Total assets rose by 1.8% to reach AED 43.7 billion compared to AED 42.9 billion at
2021 year-end, up by 6.5% from 30 June 2021.
 Ample liquidity has been maintained with lending to stable resources ratios at 81.5%
(2021: 76.5%) and eligible liquid assets ratio (ELAR) at 17.2% (2021: 26.2%), well
ahead of Central Bank of UAE’s minimum requirements.
 Return on average assets improved to 0.7%, up from 0.4% for the corresponding
period in 2021.
 Return on average equity improved to 5.3%, up from 2.7% for the corresponding
period in 2021.
NBF RESULTS National Bank of Fujairah PJSC
PO Box: 2979, Dubai, UAE
Page 3 of 5 Tel: +971 600 565551
Fax: +971 9 222 7992
www.nbf.aeNews Release
Ref No. 28 July 2022
Dr. Raja Easa Al Gurg, Deputy Chairperson said:
“We are pleased with the outstanding set of H1 2022 results achieved by NBF.
Improvement in asset quality and good business growth augur well for the second half of
the year and beyond. Our strategic focus and priorities are on track to ensure we return
to our long-term trend of sustainable growth.
Despite the soaring energy prices, exceptionally high inflation stoking fears of imminent
recession and an exponential rise in prices leading to an unprecedented lower economic
growth across the world amid the continued interest rate hikes, the UAE economy has
fared well. This is clearly as a result of the country’s overall economic support measures,
its achievement in containing the financial and economic challenges resulting from the
COVID-19 fall-out, sustainable government spending, positive outlook for credit growth
and the progress in business sentiment. NBF is strongly positioned to gain from the
quality business opportunities presented through the positive market momentum.
Supported by a sound balance sheet, strong capital adequacy and liquidity, NBF aims to
carry this positive momentum for the future quarters of 2022 and beyond, carefully
navigating the evolving operating environment. We are also delighted to see the growing
positive market recognition for the bank’s efforts with NBF bagging the prestigious MEA
Finance Banking Technology Awards 2022 for “Best Innovation in Trade Finance” and
“Most Innovative Trading Platform” in the last few months.
Our aim is for NBF to continue to provide exceptional service levels through a digital
enabled approach to its customers, to bring together the provision of personal help and
assistance, as and when required, alongside increasing digital provision, invest in talent
sustainability and innovation and uphold the highest standards of compliance and
internal controls to ensure the effective execution of its business strategy.
Supporting the communities at large and promoting green initiatives, NBF will maintain
its focus on environmental, social and governance-friendly activities and businesses.”
[End]
NBF RESULTS National Bank of Fujairah PJSC
PO Box: 2979, Dubai, UAE
Page 4 of 5 Tel: +971 600 565551
Fax: +971 9 222 7992
www.nbf.aeNews Release
Ref No. 28 July 2022
About National Bank of Fujairah PJSC:
Incorporated in 1982, National Bank of Fujairah PJSC (NBF) is a full services corporate
bank with strong corporate and commercial banking, treasury and trade finance
expertise as well as an expanding suite of personal banking options and Shari’ah
compliant services. Leveraging its deep banking experience and market insight within
Fujairah and the UAE, NBF is well-positioned to build lasting relationships with its clients
and help them achieve their business goals.
NBF’s key shareholders include the Government of Fujairah, Easa Saleh Al Gurg LLC and
Investment Corporation of Dubai. Rated Baa1 / Prime-2 for deposits and A3 for
counterparty risk assessment by Moody’s and BBB / A-2 by Standard & Poor’s, both with
a stable outlook, the bank is listed on the Abu Dhabi Securities Exchange under the
symbol “NBF”. It has a branch network of 15 (of which 1 is an electronic banking service
unit) across the UAE.
For further information, please contact:
Strategic Marketing and Communications Department
E-mail: CorpComm@nbf.ae
Telephone: +971 4 507 8351 and +971 4 507 8576
NBF RESULTS National Bank of Fujairah PJSC
PO Box: 2979, Dubai, UAE
Page 5 of 5 Tel: +971 600 565551
Fax: +971 9 222 7992
www.nbf.ae

Sentiment: neutral