Sharjah Islamic Bank (SIB) is one of the leading Sharia-compliant financial institutions in the UAE. Notably, it has announced an impressive increase in its profit of Dh697.2 million in net profit for the first half of 2025.
It is a 25 percent increase from Dh558.7 million in H1 2024. This data has highlighted the continued success of this bank in providing strong financial performance due to a balanced growth strategy as well as risk management methods.
Experience-Backed Financial Growth in the Sharjah Islamic Bank
As we told you before, the SIB has a robust H1 2025 performance that highlights its power to accept and grow despite global and regional economic fluctuations. The income of the bank from Islamic financing and sukuk investments rose 6.4% year-on-year. Surprisingly, the income reached Dh1.9 billion, which shows the confidence of investors and consistent portfolio performance.
At the same time, total distributions to depositors and sukuk holders grew to Dh1.1 billion. This factor highlights the commitment of the bank to fair and equitable profit-sharing in alignment with Islamic finance principles.
Expertise in Revenue Diversification
The 53.5% surge in net fee and commission income is a unique achievement of this bank at this time. It has taken a long jump from Dh179.8 million in H1 2024 to Dh276 million in H1 2025. It showcases the bank’s expertise in broader income sources apart from traditional financing.
The total operating income increased 13% year-on-year to Dh1.2 billion is further strengthening the growth. The net operating income of this bank before impairment provisions jumped to Dh757.2 million, which is an 11% increase that highlights the operational efficiency and strategic growth planning.
Authoritative Performance Metrics
There are solid insights of the Sharjah Islamic Bank that highlight its position as a trusted and authoritative player in the Islamic banking environment in the country. So, see the top of those metrics below:
- Impairment charges stood at Dh67.3 million in 2024 H1. However, the bank recorded a net reversal of Dh9.3 million in the first half of 2025. It points to enhanced asset quality and proactive credit risk management.
- Return on Assets (ROA) increased to 1.70%. However, the same number was 1.44% a year earlier.
- Return on Equity (ROE) climbed to 14.88%, which is a significant improvement from 12.76%.
These figures show the strong oversight in the management and financial strategies.
Trust-Building Through Balance Sheet Strength
SIB continues to build trust through consistent balance sheet expansion and capital strength. As of June 30, 2025, the bank’s total assets reached Dh84.7 billion, which is higher 6.9% from Dh79.2 billion at the end of 2024.
Here are the key indicators of this fact::
- Customer financing rose by 12.9%. The figure is reaching Dh43 billion in H1 2025.
- Customer deposits increased to Dh52.7 billion.
- Financing-to-deposit ratio improved to 81.5% from 73.6%. It showcases a healthy financial intermediation.
- Liquid assets stood at Dh17.8 billion, which is 21.1% of total assets. It confirmed enough liquidity for current and future obligations.
SIB’s cost-effective expansion is proven by its increased net income. However, a 16.9% rise (Dh405.4 million) in general and administrative expenses from investments in talent and digital transformation.
Commitment to Ethical and Sustainable Banking
The consistent adherence of the Sharjah Islamic Bank to Sharia principles and commitment to ethical banking and customer-centric services is boosting the long-term trust across stakeholders. Digital innovation, cybersecurity, and human capital investments are enabling sustainable growth and value creation for the bank and the wider banking ecosystem.
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