United Arab Bank (UAB) on Monday reported a net profit of Dh333 million for the first nine months of 2026, marking a 6 per cent increase from a year earlier, as higher operating income, strong deposit growth and improved asset quality boosted performance despite a challenging economic environment.
The Sharjah-based lender said total operating income rose 12 per cent year-on-year to Dh648 million, supported by a 15 per cent increase in net interest income and continued balance-sheet expansion. Operating profit grew 10 per cent over the same period, reflecting income growth alongside disciplined cost management.
Assets climbed 16 per cent year-on-year to Dh28 billion by the end of September, while loans, advances and Islamic financing increased 12 per cent to Dh16 billion. Investments expanded 23 per cent to Dh9 billion and customer deposits surged 27 per cent to Dh18 billion. Current and savings account (CASA) deposits rose 61 per cent, accounting for 44 per cent of total deposits.
The bank also recorded a significant improvement in asset quality during the third quarter following the resolution of delinquent accounts. Its non-performing loan ratio fell to 0.5 per cent from 2.7 per cent at the end of June, while provision coverage strengthened to 338 per cent from 101 per cent.
Liquidity and capital buffers remained comfortably above regulatory requirements. UAB reported a capital adequacy ratio of 20.7 per cent and a Common Equity Tier 1 ratio of 16.8 per cent, while its advances-to-stable-resources ratio stood at 72 per cent and eligible liquid asset ratio at 15 per cent.
Commenting on the results, Shirish Bhide, Chief Executive Officer of UAB, said: “Our performance during the first nine months of 2026 reflects the strength and resilience of our business model supported by the strong results delivered by our core business segments.”
He added that the bank had continued to strengthen its market position, deepen client relationships and “laid the foundations for the next phase of our growth and development.”
Bhide said UAB was investing in digital capabilities and more integrated banking services to improve customer experience and meet evolving client requirements. Looking ahead, he said the bank would remain focused on “accelerating innovation and digital transformation, enhancing operational efficiency, and strengthening our governance and risk management frameworks to support the Bank’s sustainable performance and long-term growth.”
The bank also highlighted the reaffirmation of its investment-grade ratings by Fitch and Moody’s with stable outlooks and noted its ranking among Forbes’ World’s Top Performing Banks 2026, where it placed 10th globally within its peer group.
Source: Khaleej Times