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First Abu Dhabi Bank posts record Dh21.11b profit as diversified growth powers strong performance
Board recommends 80 fils per share cash dividend, the highest in the lender’s history, amounting to a total payout of Dh8.84 billion as operating income surges
- PUBLISHED: Wed 28 Jan 2026, 9:08 PM UPDATED: Wed 28 Jan 2026, 10:43 PM
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First Abu Dhabi Bank (FAB), the UAE’s largest lender by assets, on Wednesday reported a record net profit of Dh21.11 billion for 2025, a 24 per cent jump from the previous year, as the bank reaped the benefits of robust client activity, strong non‑interest income growth, and disciplined franchise-wide execution. Profit before tax rose even faster, climbing 27 per cent to Dh25.20 billion.
Announcing the results, FAB said its operating income surged 16 per cent year-on-year to Dh36.68 billion, driven by broad-based momentum across business units and a growing contribution from non-funded income. Return on Tangible Equity (RoTE) hit 19.2 per cent, exceeding the bank’s medium-term guidance and reinforcing its position as one of the most profitable AA‑rated banks globally.
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The bank’s balance sheet expanded significantly during the year, with total assets rising 16 per cent to Dh1.40 trillion. Loans and advances increased 17 per cent to Dh616 billion, while customer deposits grew 7 per cent to Dh841 billion. FAB’s gross non-performing loans ratio fell to an all-time low of 2.2 per cent, reflecting conservative underwriting and effective risk controls.
Sheikh Tahnoon bin Zayed Al Nahyan, Chairman of FAB, said the 2025 results demonstrated “multiple years of consistent progress in building scale, resilience and long-term value.” He emphasised the bank’s growing global influence, noting that FAB continues to facilitate capital, trade, and investment flows that connect the UAE with international growth corridors.
FAB’s overseas operations delivered notable gains, with international loans rising 35 per cent and deposits increasing 25 per cent. The international franchise accounted for 19 per cent of group revenue, supported by progress in Turkey, GIFT City in India, and landmark transactions in Nigeria.
Group CEO Hana Al Rostamani said the bank’s record performance reflected both operational strength and the rapid acceleration of its artificial intelligence strategy. “2025 marked a transformative acceleration in our AI journey,” she said, citing the rollout of Microsoft Copilot to all employees and the deployment of more than 30 enterprise-wide agentic AI use cases. These initiatives helped improve productivity, decision-making, and client experience.
The CEO also highlighted the Board’s recommendation of an 80 fils per share cash dividend, the highest in FAB’s history, amounting to a total payout of Dh8.84 billion.
FAB reported strong contributions across all major business units. Investment Banking & Markets revenue grew 16 per cent to Dh11.79 billion, supported by a 29 per cent jump in lending and a record year in FX and investment income. The bank enabled Dh330 billion in client fundraising, retaining top positions in MENA league tables.
Wholesale Banking revenue rose 11 per cent to Dh6.40 billion, with deeper client engagement across the GCC, US and Asia.
Personal, Business, Wealth & Privileged Client Banking delivered 10 per cent revenue growth to Dh12.65 billion. Retail CASA balances rose 16 per cent, while assets under management surged 28 per cent, supported by new partnerships with global asset managers Amundi and T. Rowe Price.
Non-interest income was a standout performer, soaring 36 per cent to Dh16.35 billion and accounting for 45 per cent of group revenue. Fees and commissions jumped 28 per cent, while FX and investment income climbed 40 per cent on the back of record trading volumes.
FAB ended the year with strong liquidity and capital buffers, posting a CET1 ratio of 13.3 per cent and a liquidity coverage ratio of 154 per cent. The bank maintained high credit ratings of AA‑ or equivalent and continued to advance its sustainable finance agenda, facilitating Dh381 billion in sustainable and transition financing—76 per cent of its 2030 target.
With what it calls a “strong financial foundation and clear strategic roadmap,” FAB enters 2026 focused on sustaining high-quality performance, deepening international ties, and scaling AI-driven transformation across its operations.
Somshankar Bandyopadhyay is a News Editor with close to three decades of experience. Currently, he manages the business section, ensuring that the top economic and business news of the day reaches its readers.
