Mashreq continued its earnings slump on Sunday as Dubai's third-biggest lender by assets posted a 24.8 percent fall in third-quarter net profit, weighed by putting aside more cash to cover for bad loans.
The lender made a net profit of 414.95 million dirhams ($112.98 million) in the three months to September 30, it said in a statement, a decrease on the 551.44 million dirhams recorded for the corresponding period of 2015.
Mashreq, which had reported falling profits in the preceding four quarters, suffered in the latest quarter as allowances for impairments jumped by 82 percent over the period to reach 470 million dirhams.
Banks in the United Arab Emirates are facing a more difficult operating environment as the more-than-two-year collapse in oil prices feeds through into higher levels of soured loans and compressed net interest margins.
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