Emirates NBD Bank (EMIRATESNBD) Q2 2025 earnings summary

Executive summary

• Income rose 12% year-over-year to AED 23.9 billion in H1 2025, driven by strong loan growth, improved deposit mix, and expanded product offerings, with nearly half of loan growth from the international network.

• Net profit for H1 2025 was AED 12.5 billion, down 9% year-over-year, impacted by higher taxes and lower recoveries.

• Total assets increased to AED 1,085.6 billion as of 30 June 2025, up from AED 996.6 billion at year-end 2024.

• Emirates Islamic delivered nearly AED 2 billion profit, with 13% growth in customer financing, and the group completed the acquisition of the remaining 0.1% stake.

• Moody’s upgraded the credit rating in May, now at par with leading global banks.

Financial highlights

• Operating profit rose 9% to AED 16.7 billion; profit before tax was AED 15.4 billion, with net profit at AED 12.5 billion, down 9% year-over-year due to higher taxes and lower recoveries.

• Net interest income grew 10% year-over-year to AED 16.8 billion; non-funded income surged 18% to AED 7.1 billion.

• Total assets increased 17% year-over-year to AED 1,086 billion; deposits rose 18% to AED 737 billion.

• Cost-to-income ratio improved to 30.3% in H1 and 29.8% in Q2, within guidance.

• NPL ratio improved to 2.8% from 4.2% year-over-year, with coverage at 155%.

Outlook and guidance

• Loan growth guidance revised up to low double digits for the full year, with NPL guidance improved to less than 3% and cost-of-risk guidance lowered to 20-40 basis points.

• Net interest margin expected to finish 2025 in the 3.3%-3.5% range, with DenizBank margins anticipated to recover.

• Cost-to-income ratio expected to remain below 33% for 2025.

• Management expects continued impact from hyperinflation in Türkiye and evolving tax regulations.

• Results for the six months are not necessarily indicative of the full year ending 31 December 2025.