First Abu Dhabi Bank, the largest lender in the United Arab Emirates by assets, reported operating income of AED 19.5 billion for the first half of 2026, an increase of 7% on the same period a year earlier, according to a statement published on the bank's website alongside its second-quarter results.
The group posted a first-half profit before tax of AED 13.20 billion, with second-quarter profit before tax of AED 7.08 billion rising 16% quarter on quarter and 6% year on year. Net profit for the first six months came in at AED 10.73 billion, up 1% year on year, with the second quarter contributing AED 5.72 billion, up 14% quarter on quarter and 4% year on year.
NET INTEREST INCOME UP 14 PERCENT
Net interest income rose 14% year on year, the strongest contributor to the top-line performance. FAB said the increase reflected balance-sheet growth and a still-supportive interest-rate environment across the UAE and wider Gulf region, where policy rates have tracked the US Federal Reserve given the dirham's peg to the dollar.
The second-quarter improvement in profitability was more pronounced than the first-half comparison suggests, with pre-tax profit up 16% versus the first three months of the year. Management pointed to broad-based momentum across the group's corporate and investment banking, consumer banking and treasury and markets franchises, with client activity holding up across most business lines.
The results also reflect the first full period of operating under the UAE's federal corporate tax regime, which was introduced in 2023 and continues to weigh on headline net profit growth relative to pre-tax comparisons. The modest 1% year-on-year rise in first-half net profit compared with the 5%+ increase in pre-tax profit is largely a function of this tax effect.
GROUP DELIVERS STRONG H1 2026 RESULTS
In its statement, FAB described the results as a strong first half for the group, citing operating income growth of 7%, double-digit net interest income growth and the sequential improvement in second-quarter profit before tax. The bank said its franchise had continued to gain traction across the region while supporting client activity in the UAE, in line with its multi-year growth strategy.
FAB was formed through the 2017 merger of National Bank of Abu Dhabi and First Gulf Bank and is majority-owned indirectly by the Abu Dhabi government. The lender is regulated by the Central Bank of the UAE and is a constituent of the Abu Dhabi Securities Exchange, where it is one of the largest-weighted stocks.
The bank remains one of the largest financial institutions in the Middle East and North Africa by assets and equity and has been an active issuer in international debt capital markets over recent years, including sustainable and sukuk formats, giving it a diversified funding base across currencies and maturities.
Full quarterly financial statements and the earnings presentation were made available to investors alongside the results release, providing additional detail on segmental performance, asset quality and capital ratios for the group. The bank's international network spans Egypt, the United Kingdom, France, Switzerland, Singapore, Hong Kong and other markets, giving it one of the broader global footprints among Gulf lenders and a substantial cross-border franchise for Middle Eastern corporate clients.