Bank of Sharjah PJSC (Abu Dhabi SE: BOS) (the “Bank” or the “Group”), one of the leading commercial banks in the UAE, today announced its audited financial results for the year ended 31 December 2022. Despite economic challenges, the Group demonstrated strong financial performance, and continued to adhere to a disciplined and focused approach in lending, recovery, and funding.
The Group’s net profit for the year ended 31 December 2022 was AED 245 million, up from AED 225 million in 2021. Total comprehensive income reached AED 220 million, while total equity increased by 7% to AED 3,416 million. The Bank maintained a solid capital position, with a regulatory capital adequacy ratio of 11.51% and a Tier 1 capital ratio of 10.33%.
Customers’ Deposits grew by 5% to AED 27,773 million, highlighting the Bank’s ability to attract and maintain a solid and loyal customer base. Furthermore, Total Equity rose by 7% to AED 3,416 million, showcasing the Bank’s strong capital position and commitment to a sustainable growth strategy.
The Group’s operations in Lebanon, through its subsidiary Emirates Lebanon Bank SAL (“ELBank”), are subject to the accounting standards IAS 29 and IAS 21 due to the economic situation in the country. After applying these standards, the reported net loss amounted to AED 159 million, and the reported total comprehensive loss was AED 12 million. However, these adjustments do not present a true representation of the financial position and the Bank has agreed with regulators to maintain regulatory capital ratios based on pre-IAS 21 and IAS 29 accounts.
Sheikh Mohammed Bin Saud Al Qasimi, Chairman of Bank of Sharjah, stated, “Bank of Sharjah remains steadfast in its commitment to supporting the economic growth of the Emirate of Sharjah and the UAE. The Group’s financial performance in 2022 is a testament to its dedication to meeting the highest standards in the banking industry, ensuring a bright future for all our stakeholders. Our focus on ESG principles, sustainable financing, and strategic partnerships reflects our determination to build a resilient and thriving community. As we celebrate our 50th anniversary, we are proud to be a driving force in the region and will continue to work tirelessly to ensure long-term growth and value for our customers and shareholders.”
In March 2023, the Bank successfully raised a benchmark issuance amount of USD 500 million in the public USD debt markets through an offering of senior unsecured notes from its EMTN Programme. This reflects market confidence in the institution as it approaches its Golden Jubilee.
About Bank of Sharjah
Under the Honorary Chairmanship of H.H. Dr. Sheikh Sultan bin Mohammed Al Qasimi, Member of the Supreme Council Ruler of Sharjah, a decree was issued calling for the creation of Bank of Sharjah on December 22, 1973, operations started in May 1974. The Bank was the first financial institution in Sharjah and the fifth in the Federation, the first to make 40% of its capital available for public subscription.