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FAB reports full year 2020

Group Net Profit of AED 10.6 Billion, Proposed dividend of 74 fils per share Appointment of Hana Al Rostamani as FAB’s next Group CEO

FAB reports full year 2020


Resilient financial performance in unprecedented market conditions                 A robust foundation
  •    FY’20 net profit of AED 10.6 Billion, compared to AED 12.5 Billion in 2019
  • Total assets up 12% year-on-year to AED 919 Billion
  • Q4’20 net profit of AED 3.2 Billion, up 5% year-on-year, and 29% quarter-on-quarter


  • Customer deposits at AED 541 Billion, and loans and advances at AED 387 Billion, up year-on-year on an adjusted basis
  • FY’20 revenue of AED 18.6 Billion, 8% lower year-on-year
  • NPL ratio at 3.97%, provision coverage at 95%
  • Prudent provisioning with net impairment charges up 42% in FY’20 and cost of risk at 63 basis points. 


  • Operating costs improved 8% year-on-year amid continued digital and strategic investments.


  • Prudent risk management, strong liquidity, funding, and capital ratios underpin FAB’s ‘AA-‘ credit ratings.


  • Significant progress against key strategic initiatives, while accelerating our digital transformation.





FY’20 Key Performance Indicators
FY’20 Key Performance Indicators

Today, Abu Dhabi Bank (FAB), the UAE’s largest bank and one of the world’s largest and safest financial institutions, reported its financial results for the full year 2020.

FAB delivered a resilient performance in 2020 with a Group Net Profit of AED 10.6 Billion for the full year ended       31 December 2020, compared to AED 12.5 Billion in 2019. Profitability was lower year-on-year reflecting unprecedented market conditions, record low-interest rates and the pandemic-driven economic slowdown, resulting in lower revenue and higher impairment charges, partly mitigated by cost optimisation initiatives. The Bank consistently demonstrated balance sheet strength throughout the year, ending the period with solid liquidity, funding, capital ratios, and resilient asset quality metrics highlighting its conservative risk profile, supported by the relief measures under the UAE Central Bank TESS programme.


His Highness Sheikh Tahnoon Bin Zayed Al Nahyan - Chairman
His Highness Sheikh Tahnoon Bin Zayed Al Nahyan – Chairman


“2020 has been a year like no other, posing extraordinary challenges to the people and economies of the world that have been met with ingenuity, agility and collaboration. I am grateful to the UAE’s leadership for their guidance and decisive action in response to the pandemic and our board, management, employees and customers for their support and dedication throughout 2020.

“Against the turbulent and uncertain backdrop of 2020, FAB showcased strength, resilience and adaptability while supporting our customers, employees and communities in navigating unprecedented times and focusing on the long-term sustainability of our bank. We look back with pride on a year of leadership, collaboration and achievement, culminating in being named Banking Company of the Year at the 2020 Gulf Business Awards. In line with our commitment to deliver superior shareholder returns, FAB’s Board of Directors has recommended a cash dividend distribution of 74 fils1 per share for the full year ended 31 December 2020.

“As we look to the future and life after the pandemic, we are excited about the opportunity to deliver on our purpose to create value for our stakeholders by powering the UAE’s long-term growth. We are also committed to playing our part in creating a more sustainable world for the communities we serve and 2021 will see FAB continue to grow the bank around our customers wherever we operate, and to strengthen the foundation for our long-term success.”

“Today, we also announce that André Sayegh, Group Chief Executive Officer, will be retiring next month after 21 years with First Abu Dhabi Bank (FAB) and previously First Gulf Bank (FGB).  André Sayegh made a major contribution to the bank during his long tenure, culminating in 2020’s resilient performance despite the challenges facing the global banking sector and the wider economy. FAB’s board and I express our gratitude and appreciation for André Sayegh’s achievements during his tenure. We are pleased to nominate him to the Group’s Board of Directors, pending the Central Bank of the United Arab Emirates’ approval and the bank’s general assembly.

“I am delighted to announce that Hana Al Rostamani, Deputy Group Chief Executive Officer and Head of Personal Banking, will succeed André Sayegh as the new Group Chief Executive Officer. Hana Al Rostamani has more than 22 years of local and international experience in the banking and financial services industry and has served as an independent director in Emirates Integrated Telecommunication Company (DU) and was vice-chairperson the Emirates Institute for Banking and Financial Services (EIBFS). She is currently the Chairperson of FAB Private Bank Suisse (SA).

“FAB has always been an organisation that champions diversity and the appointment of our first female Group CEO to lead our company into the future is truly something to value.”

André Sayegh--Group Chief Executive Officer
André Sayegh–Group Chief Executive Officer


“FAB delivered a resilient financial performance despite the extraordinary events of 2020 with a full-year net profit of AED 10.6 Billion. We successfully adapted to a rapidly changing environment, effectively managing key risks while maintaining a strong balance sheet, enabling us to provide a deep level of support to our customers and partners, complementing the relief measures under the UAE Central Bank’s Targeted Economic Support Scheme, and the bank’s own initiatives. In a year of heightened uncertainty, FAB maintained solid business momentum, demonstrating leading expertise and execution capabilities, and further deepening client relationships. FAB was the only bank to feature in the top five rankings across all regional league tables in 2020, a notable achievement. Our underlying strength and superior credit profile also saw us continue to stand out globally among the safest and strongest banks, with our AA- credit rating reaffirmed by all three major rating agencies.

“In 2020, we focused not only on the immediate challenges created by the pandemic but also on positioning ourselves for future success, making significant progress against our strategic agenda, accelerating our digital transformation journey and unlocking value for our stakeholders. In particular, we demonstrated our ability to leverage data, technology, and innovation to elevate the customer experience and increase efficiency and productivity. With an eye squarely on thriving in the future, we invested in ADQ’s new digital bank, announced plans to carve out our payments business, and introduced many new banking innovations to the market. Our recent agreement to acquire Bank Audi-Egypt is another milestone and FAB’s first international acquisition, which will enable us to expand in a high potential market in line with our targeted growth plans in MENA.

“The appointment of Hana Al Rostamani as FAB’s next Group CEO is an important milestone for our bank and our industry. Having successfully led our retail banking division for many years, she is exceptionally well placed to deliver on its customer and digital-first vision.

“I am proud of what we were able to achieve in such adverse conditions in 2020, and I am fully confident in our ability to deliver sustainable value for our shareholders and stakeholders, as we continue to build on our strengths, deliver on our purpose and mission, and embed Environmental, Social, and Governance factors into the way that we do business.”

James Burdett - Group Chief Financial Officer
James Burdett – Group Chief Financial Officer


“The Group delivered a net profit of AED 10.6 Billion for the full year 2020, buoyed by a strong performance in the fourth quarter with net profits of AED 3.2 Billion, an increase of 29% from the third quarter. This solid result, against the backdrop of one the most challenging periods in history for banks globally, was achieved through continued cost and risk discipline, sustained business momentum, exceptional client engagement, as well as targeted management initiatives, which partially offset the headwinds from the record low-interest rates and the overall economic slowdown brought about by the pandemic. Our prudent risk management approach has held us in good stead throughout this difficult year as we continued to strengthen our provision buffers with provision coverage at 95%, and net impairment charges up 42% year-on-year to AED 2.6 Billion, with recovery efforts on a few legacy accounts yielding positive results in the second half of the year. While operating costs were 8% lower year-on-year, we will continue to invest in our digital and technology infrastructure to enhance productivity further, create future efficiencies and an agile operating model. Our liquidity position remains very strong, and our robust capital position enables us to reward our shareholders whilst maintaining sufficient capacity, comfortably above regulatory thresholds.

Looking ahead and despite ongoing uncertainties, we expect a gradual recovery as the COVID-19 vaccine rollout gathers momentum, and government stimulus measures support the economic rebound. Against this backdrop, FAB enters 2021 in a position of strength, well placed to leverage on our commanding local positioning, our strategic initiatives and strong execution capabilities, to support our long-term growth and transformation journey.”


Q4/FY’20 Summary Financials

Q4/FY’20 Summary Financials
Q4/FY’20 Summary Financials

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