Broad-based revenue growth across key business segments drove strong earnings for Dubai Islamic Bank.
Dubai Islamic Bank, the UAE’s largest Islamic bank by assets, reported operating revenues of Dh3.5 billion for the first quarter of 2026, marking a 13% year-on-year increase, while total assets rose to Dh420 billion.
This revenue growth was supported by strong performance across key streams, with funded income increasing 5% year-on-year and non-funded income surging 30%.
Operating profit climbed 12% year-on-year to Dh2.5 billion, driven by solid revenue expansion and disciplined cost management, resulting in a cost-to-income ratio of 28.2%.
Pre-tax profit stood at Dh2.1 billion, highlighting the bank’s earnings resilience despite a lower interest rate environment and softer recoveries during the quarter.
Mohammed Ibrahim Al Shaibani, Chairman of DIB, said the first quarter underscored the strength of the United Arab Emirates economy, citing resilient fundamentals, strong institutional frameworks, and proactive policy measures by the Central Bank of the UAE to maintain financial stability and support growth.
Dubai Islamic Bank said its first-quarter performance highlights the advantages of scale, disciplined execution and strategic consistency, with net financing assets and sukuk investments reaching Dh364 billion and customer deposits rising to Dh322 billion by the end of the period. The bank noted that these figures reflect not only its size but also strong customer confidence and its continued ability to support economic activity responsibly.
The bank added that its role extends beyond financial returns, emphasising its commitment as a leading institution in both the United Arab Emirates and the global Islamic finance industry to support the real economy, create opportunities across sectors and contribute to the country’s long-term development through strong governance, prudent risk management and sustainable growth.
Adnan Chilwan, Group Chief Executive Officer, said the first-quarter results demonstrate solid business momentum, improved earnings diversification and the strength of the bank’s core franchise. He added that a broader revenue base contributed to a more balanced income mix, helping drive operating profit to Dh2.5 billion, while pre-tax return on tangible equity remained robust at 21%, in line with the bank’s focus on quality growth and sustained profitability.
Dubai Islamic Bank reported continued improvement in asset quality, with its non-performing financing ratio declining to 2.5% and cash coverage strengthening to 122%. The bank said these indicators reflect strong underwriting standards, effective risk management and a consistent focus on maintaining balance sheet strength.
It added that a prudent approach to risk continues to guide its provisioning strategy, including the use of management expected credit loss (ECL) overlays where necessary, supporting long-term resilience.
The bank’s capital and liquidity positions remained solid, with a CET1 ratio of 12.6%, capital adequacy at 15.8%, liquidity coverage ratio (LCR) at 121% and net stable funding ratio (NSFR) at 106%, leaving it well positioned for future growth.
DIB’s consumer banking segment also delivered steady performance, with financing assets increasing 6% year-to-date to Dh83 billion. The division generated nearly Dh11 billion in gross new originations, while consumer deposits rose to Dh106 billion. Revenues held firm at Dh1.1 billion, supported by stable customer activity and demand. The bank noted that the segment continues to contribute to overall balance sheet growth while maintaining disciplined customer expansion and funding quality.
Beyond financial results, the bank said it made further progress in areas such as digital banking, enterprise AI and sustainability initiatives.
