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Sharjah Islamic Bank approves distribution of eight per cent cash dividends for 2018
The strategic decision was made at the 43rd General assembly, chaired by HE Abdul Rahman Al Owais
During its annual general meeting held at the Sharjah Chamber of Commerce and Industry, the general assembly of Sharjah Islamic Bank approved a distribution of eight per cent cash dividends for the shareholders of the Bank. The meeting was chaired by, HE Abdul Rahman Al Owais, Chairman of the Board of Directors, and attended by the board members and the executive management. The strategic decision was taken after the bank posted net profits of AED 510.4 million in 2018, as compared to AED 477.7 million in 2017, up by seven per cent, leading the earnings per share to rise to AED 0.17 compared with AED 0.16 last year.
The general assembly also witnessed the presence of the Bank’s shareholders and representatives from the Securities and Commodities Authority and the Department of Economic Development. The consolidated financial statements for the fiscal year, ending 31st December 2018 were also presented during the annual meeting.
“Despite the competition in the UAE banking sector, Sharjah Islamic Bank’s revenues and net profits have continued to grow remarkably in 2018. This is in line with the strategic objectives set by the board of directors, which has been a driving force of the economic development of the country,” said Al Owais.
Al Owais affirmed that the Bank’s strong financial position and the customers’ confidence in the Bank have led to its expansion in the industry. With a vast network of 34 branches supported by 149 ATMs across the UAE, e-services and sophisticated smart apps, the Bank has exceeded customer expectations every step of the way.
Expressing his sincere gratitude and appreciation to His Highness Sheikh Dr Sultan Bin Muhammed Al Qasimi, Supreme Council Member and Ruler of Sharjah, the top supporter of the emirate’s economic development, Al Owais emphasised that HH Sheikh Sultan’s ambitious vision would always be the cornerstone of the Bank’s future development projects. He also acknowledged the ruler’s continued patronage, confidence and support for being a driving force in helping the Bank achieve its milestones.
In addition to the distribution of the cash dividend, the meeting also discussed and shed light on the balance sheet, which showcased strong performance and improved financial position of the Bank, with total assets standing at AED 44.7 billion by the end of 2018, documenting an increase of 17 per cent compared to AED 38.3 billion in 2017. Customer deposits increased by 18.5 per cent or AED 4.1 billion to a total of AED 26.4 billion compared with AED 22.3 billion at the end of 2017. The Bank's robust performance is a positive reflection of the financial indicators of the Bank’s capital adequacy as per Basel III capital requirements which meet 17 per cent and exceed the UAE Central Bank’s requirement of 12.375 per cent.
Last year, the Bank issued AED 500 million worth of Sukuk with a maturity of five years from the date of issue, this being part of the US$ 3-billion Sukuk medium-term programme. This issuance, the sixth of its kind since 2006, has not only reinforced the Bank’s international Sukuk-related position but has also supported its strategic plan to diversify funding sources. As a result, the total existing Sukuk valued at AED 5.5 billion by the end of 2018.
Also, a large number of local and international investors showed great interest in subscribing to these Sukuk, which is a testament of the Bank’s growing strength, stability and immense promising potential.