Commercial Bank of Dubai (CBD) reports 1st Half 2020 net profit of AED 530m & operating profit of AED 1,026m

Dubai, 26 th July 2020:

Commercial Bank of Dubai (CBD) today reported its financial results for the first six months of 2020.Noteworthy Financial Commentary:2020 H1 results:
► Net profit was AED 530 million, 24.3% below the prior comparative period
► Operating income was AED 1,412 million, down by 6.5% compared to the prior
comparative period due to sharply lower interest rates
► Operating expenses were AED 386 million lower by 9.9%
► Operating profit was AED 1,026 million, down by 5.2%
► Net impairment allowances were AED 495 million, up 30.1% attributable to specific credit
provisions together with forecast expected credit losses associated with the Covid-19 pandemic
As at 30 th June 2020:
► Capital ratios remained strong with the capital adequacy ratio (CAR) at 14.03% and the
common equity Tier 1 ratio (CET1) at 12.87%
► Gross loans were AED 66.8 billion, an increase of 4.2% compared to 31 st Dec

Dr. Bernd van Linder, Chief Executive Officer said,“CBD has delivered a lower performance for the first 6 months of 2020 primarily attributable to the,unprecedented challenging market environment. Notwithstanding these very difficult operating conditions, we continue to execute on our strategy and are positioned well for improved business conditions in the quarters ahead.
While global and domestic business conditions are weak and somewhat uncertain, we commend
our leaders and the government in the United Arab Emirates for the continued proactive measures
taken during the crisis period. He added “We continue to proactively take necessary measures to support our customers,employees and the UAE economy during the pandemic. CBD has maintained uninterrupted banking services throughout the Covid-19 pandemic with an emphasis on improving the digital services to
our customers.