Sharjah – MENA Herald: Bank of Sharjah today announced its financial results for the six months ended June 30, 2016. During the period, the Bank continued to adopt a very conservative credit policy and reduced expensive deposits while maintaining high levels of liquidity and a considerably low loan to deposit ratio.

Total Assets reached AED 26,289 million, a 2% decrease over the corresponding 30 June 2015 balance of AED 26,946 million. When compared to the 31 December 2015 balance, Total Assets decreased by 5%.

Customers’ Deposits reached AED 18,200 million, a 2% decrease over the corresponding 30 June 2015 balance of AED 18,630 million. When compared to the 31 December 2015 balance, Customers’ Deposits decreased by 7% from AED 19,492 million.

Loans and Advances reached AED 15,554 million, 1% above the corresponding 30 June 2015 balance of AED 15,459 million, and 3% more than the 31 December 2015 balance of AED 15,037 million.

Net Liquidity remains high compared to industry levels at AED 5,629 million as at 30 June 2016, 10% less compared to the same period of 2015 at AED 6,236 million and 25% less than 31 December 2015 balance of AED 7,463 million.

Total Equity as at 30 June 2016 stood at AED 4,781 million, 7% above the balance for the corresponding period of 2015, and 3% more than the 31 December 2015 balance of AED 4,622 million.

Net Interest Income increased by 2% compared to the corresponding period of 2015, Non-Interest Income decreased by 6% while net impairment loss on financial assets decreased by 27% which was reflected in a 3% increase in the net operating income to reach AED 327 million for the first half of 2016 compared to AED 316 million in the same period of 2015.

Net profit for the first half of 2016 reached AED 176 million, against AED 176 million for the same period of 2015. Earnings per share for the period were down by 2% and reached 8.1 fils compared to 8.3 fils in 2015.

Total Comprehensive Income for the period increased by 17% to AED 174 million versus AED 149 million in the same period of 2015.

Capital Adequacy ratio kept its strong level and stood at a high of 23.23% in 30 June 2016.

A 5.24% treasury shares (110 million shares) amounting to AED 220 million is in the process of being distributed to the shareholders in coordination with the concerned authorities.

Commenting on the results Mr. Ahmed Al Noman, the Chairman of the Board, expressed the Board’s satisfaction with the consistency of the Bank’s interim results, stressing that the UAE banking industry is likely to witness further consolidation.