Slides
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Fourth Quarter 2025 Earnings Presentation Fourth quarter and full year 2025 Earnings presentation January 2026 ABU DHABI COMMERCIAL BANK PJSC adcb.com/ ir
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Fourth Quarter 2025 Earnings Presentation This presentation is not an offer or solicitation of an offer to buy or sell securities. It is solely for use as an investor presentation and is provided as information only. This presentation does not contain all of the information that is material to an investor. By reading the presentation slides you agree to be bound as follows: This presentation has been prepared by Abu Dhabi Commercial Bank PJSC (“ADCB”), is furnished on a confidential basis and only for discussion purposes, may be amended and supplemented and may not be relied upon for the purposes of entering into any transaction . The information contained herein has been obtained from sources believed to be reliable but ADCB does not represent or warrant that it is accurate and complete . The views reflected herein are those of ADCB and are subject to change without notice. All projections, valuations and statistical analyses are provided to assist the recipient in the evaluation of the matters described herein. They may be based on subjective assessments and assumptions and may use one among alternative methodologies that produce different results and to the extent that they are based on historical information, they should not be relied upon as an accurate prediction of future performance . No action has been taken or will be taken that would permit a public offering of any securities in any jurisdiction in which action for that purpose is required . No offers, sales, resales or delivery of any securities or distribution of any offering material relating to any such securities may be made in or from any jurisdiction except in circumstances which will result in compliance with any applicable laws and regulations . This presentation does not constitute an offer or an agreement, or a solicitation of an offer or an agreement, to enter into any transaction (including for the provision of any services) . No assurance is given that any such transaction can or will be arranged or agreed. Before entering into any transaction, you should consider the suitability of the transaction to your particular circumstances and independently review (with your professional advisers as necessary) the specific financial risks as well as the legal, regulatory, credit, tax and accounting consequences . This presentation may include forward -looking statements that reflect ADCB's intentions, beliefs or current expectations . Forward -looking statements involve all matters that are not historical by using the words "may", "will", "would", "should", "expect", "intend", "estimate", "anticipate", "believe" and similar expressions or their negatives . 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This presentation is being communicated only to (i) persons who are outside the United Kingdom, (ii) persons who have professional experience in matters relating to investments falling within Article 19(5) of The Financial Services and Markets Act 2000 (Financial Promotion) Order 2005, or (iii) those persons to whom it may otherwise lawfully be distributed (all such persons together being referred to as “relevant persons”). This presentation is communicated only to relevant persons and must not be acted on or relied on by persons who are not relevant persons . Any investment or investment activity to which this presentation relates is available only to relevant persons and will be engaged in only with relevant persons. By accepting this document you will be taken to have represented, warranted and undertaken that (i) you are a relevant person (as defined above); (ii) you have read and agree to comply with the contents of this notice; and (iii) you will treat and safeguard as strictly private and confidential all such information and take all reasonable steps to preserve such confidentiality . Disclaimer 2
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Fourth Quarter 2025 Earnings Presentation Table of contents 3 1. Financial highlights 2. AI and digital transformation 3. ESG updates 4. Operating environment & 5-year and 2026 guidance 5. Appendix 04 19 21 23 26
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Fourth Quarter 2025 Earnings Presentation 1. Financial highlights
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Fourth Quarter 2025 Earnings Presentation Diversified growth by business streams % contribution to FY’25 operating income FINANCIAL HIGHLIGHTS Highlights FY’25 key highlights Others (2) 1% AED 0.310 bn Treasury and Investments 24% AED 5.413 bn Retail Banking 26% AED 5.859 bn Private Banking 8% AED 1.841 bn Corporate and Investment Banking 39% AED 8.760 bn 5 AED 22.2 bn • Record profit: Profit before tax of AED 12.843 bn for FY’25, an increase of 21% year on year (YoY), marking the 18th consecutive quarter of profit growth. Net profit after tax (1) was AED 11.445 bn, an increase of 22% YoY • Strong Q4 finish: Q4’25 profit before tax of AED 3.736 bn (up 30% YoY) and net profit after tax (1) of AED 3.342 bn, continuing the Bank’s growth trajectory into year -end • Higher returns: Delivered a Return on Average Equity (ROAE) of 15.3% for FY’25, demonstrating improved profitability and efficient capital utilisation • Income growth and efficiency: Operating income rose by 14% in 2025, driven by double digit growth in both net interest income and fee income. Cost to income ratio improved to 28.2% (from 31.0% in 2024), achieving a new efficiency benchmark for the Bank • Accelerated loan and deposit growth: Net loans grew 16% YoY to AED 406 bn, reflecting healthy credit demand across retail and corporate portfolios. Customer deposits increased 19% YoY to AED 500 bn. CASA deposits were 46% of total deposits, providing a stable funding base • Strong capital and liquidity: CET1 ratio strengthened to 13.79% as of Dec’25 (up from 12.56% in 2024), bolstered by retained earnings and the successful rights issue completed in Q4. Liquidity remained robust, with a liquidity coverage ratio of 131.3% and loan to deposit ratio at 81.2%, reflecting a prudent funding profile • Improved asset quality: The Bank maintained high asset quality metrics. Cost of risk of 0.59% in line with five-year guidance, NPL ratio improved to 1.83% (from 3.04% in 2024) and provision coverage increased to 146.4%, underlining conservative risk management and strong recovery efforts • Commitment to delivering sustainable and attractive shareholder returns: Recommended cash dividend of AED 0.63 per share for 2025 (subject to regulatory and shareholder approvals), totaling AED 4.985 bn (44% of net profit) Note: Figures may not add up due to rounding differences (1) Effective 1 January 2025, the UAE enacted a 15% Domestic Minimum Top -up Tax (DMTT) aligned with OECD Pillar Two Model rules. The Group has performed a detailed evaluation and meets the criteria for the Initial Phase of International Activity Exclusion (IAE) provisions. Consequently, the applicable statutory tax rate has b een reduced from the DMTT rate of 15% to the UAE Corporate Tax rate of 9% for the 2025 financial year. In Q3’25, the Group reversed an excess tax provision recognised in the first half of 2025 (2) Comprises of operations of subsidiaries not included in other segments, real estate management income of associate and rental income earned from properties of the Group Record full-year net profit marking strong start to five- year strategy YoY deposit growth YoY net loan growth +16% YoY +19% YoY AED +79 bn AED +55 bn Profit before tax AED 12.843 bn +21% YoY
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Fourth Quarter 2025 Earnings Presentation 2025 guidance achieved across all metrics, driven by disciplined execution of strategy 6 FY’25 actual vs. guidance (1) CoR: Net impairment charge on loans & advances and investments divided by net average loans & advances and investments (2) This statement represents a forward -looking projection and is subject to necessary approvals, including but not limited to board , regulatory, and shareholder approvals 2025 full- year guidance 2025 full- year actuals CET1 ratio >12% 13.79% Cost of risk (1) 63-68 bps 59 bps ROE c.15% 15.3% Profitability Double net profit to AED 20 billion within five years; c.20% annual growth rate AED 11.445 bn +22% YoY Dividend payout (2) Progressive year- on-year increase in paid -out dividends, with targeted total dividend payout of c. AED 25 billion over 5 -year period AED 0.63 per share
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Fourth Quarter 2025 Earnings Presentation 10.585 12.843 19.479 22.183 FY’24 FY’25 FY’24 FY’25 FINANCIAL HIGHLIGHTS 7 Strong FY’25 financial performance Note: Figures may not add up due to rounding differences (1) Including Islamic financing (2) After including share in profit of associates (3) Effective 1 January 2025, the UAE enacted a 15% Domestic Minimum Top -up Tax (DMTT) aligned with OECD Pillar Two Model rules. The Group has performed a detailed evaluation and meets the criteria for the Initial Phase of International Activity Exclusion (IAE) provisions. Consequently, the applicable statutory tax rate has b een reduced from the DMTT rate of 15% to the UAE Corporate Tax rate of 9% for the 2025 financial year. In Q3’25, the Group reversed an excess tax provision recognised in the first half of 2025 (4) For RoAE/RoAA calculations, net profit after tax attributable to equity shareholders has been considered, i.e. net profit aft er deducting coupon payments relating to Tier I capital notes (5) 2024 comparative figure restated based on reclassification (6) Diluted earnings per share for FY’25 is AED 1.44 and FY’24 is AED 1.17 (AED bn) Income statement (AED mn) FY’25 FY’24 ∆YoY% Total net interest income (1) 14,688 13,225 11 Non-interest income 7,495 6,254 20 Operating income 22,183 19,479 14 Operating expenses (6,246) (6,031) 4 Operating profit before impairment charge 15,937 13,448 19 Impairment charge (3,103) (2,874) 8 Profit before tax (2) 12,843 10,585 21 Income tax charge (3) (1,398) (1,166) 20 Net profit for the period 11,445 9,419 22 Profit before tax Operating income FY’25 profit before tax up 21% YoY driven by double -digit growth in operating income and improved efficiencies RoAA(4) 1.51% FY’24: 1.43% RoATE(4) 17.2% FY’24: 15.4% (5) RoAE(4) 15.3% FY’24: 13.5% Basic EPS (6) AED 1.45 FY’24: AED 1.17 21% 14%
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Fourth Quarter 2025 Earnings Presentation 1.30 1.48 1.51 1.61 1.63 1.81 1.93 1.99 2.00 2.01 2.43 2.59 2.68 2.88 2.91 3.033.17 3.74 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FINANCIAL HIGHLIGHTS 8 Note: Figures may not add up due to rounding differences (1) Including Islamic financing (2) After including share in profit of associates (3) Effective 1 January 2025, the UAE enacted a 15% Domestic Minimum Top -up Tax (DMTT) aligned with OECD Pillar Two Model rules. The Group has performed a detailed evaluation and meets the criteria for the Initial Phase of International Activity Exclusion (IAE) provisions. Consequently, the applicable statutory tax rate has b een reduced from the DMTT rate of 15% to the UAE Corporate Tax rate of 9% for the 2025 financial year. In Q3’25, the Group reversed an excess tax provision recognised in the first half of 2025 (4) Excluding net loss on discontinued operations (as applicable) and one- off gain recorded from the divestment of an 80% stake in A bu Dhabi Commercial Properties (ADCP) in Q4’23 (5) For RoAE/RoAA calculations, net profit after tax attributable to equity shareholders has been considered, i.e. net profit aft er deducting coupon payments relating to Tier I capital notes (6) 2024 comparative figure restated based on reclassification (7) Diluted earnings per share for Q4’25, Q3’25 and Q4’24 is AED 0.44, 0.39 and 0.34 respectively 18 consecutive quarters of growth, with Q4’25 net profit up 30% YoY (AED bn) 18 quarters of consecutive growth in profit before tax (4) Q4’25 profit before tax (AED bn) 3.736 bn +30% YoY +18% QoQ 2021 20232022 2025 Income statement (AED mn) Q4’25 Q3’25 Q4’24 ∆QoQ% ∆YoY% Total net interest income (1) 3,833 3,806 3,505 1 9 Non-interest income 1,734 2,068 1,962 (16) (12) Operating income 5,568 5,875 5,467 (5) 2 Operating expenses (1,647) (1,624) (1,565) 1 5 Operating profit before impairment charge 3,921 4,251 3,902 (8) 0 Impairment charge (183) (1,087) (1,020) (83) (82) Profit before tax (2) 3,736 3,166 2,884 18 30 Income tax charge (3) (394) (76) (311) 418 27 Net profit for the period 3,342 3,090 2,573 8 30 2024 RoAA(5) 1.69% Q4’24: 1.52% RoATE(5) 19.7% Q4’24: 16.8% (6) RoAE(5) 17.6% Q4’24: 14.9% Basic EPS (7) AED 0.44 Q4’24: AED 0.34
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Fourth Quarter 2025 Earnings Presentation (5,218) (5,352) (5,237) 8,723 9,159 9,071 3,505 3,806 3,833 (20,508) (20,435) 33,733 35,123 13,225 14,688 Q4’24 Q3’25 Q4’25 FY’24 FY’25 FINANCIAL HIGHLIGHTS Key highlightsNet interest income (AED mn) 2.58 2.48 2.49 2.45 2.39 1.89 2.01 1.67 1.68 2.24 Q4’24 Q1’25 Q2’25 Q3’25 Q4’25 Net interest margin Risk-adjusted NIM (2) 6.41 6.03 5.90 5.90 5.65 Q4’24 Q1’25 Q2’25 Q3’25 Q4’25 NIM and risk adjusted NIM (%)(1) Cost of funds (%) Asset yield (%)(1) 9 4.51 4.30 4.29 4.20 3.834.49 4.29 4.20 4.14 3.78 4.04 3.72 3.55 3.60 3.43 Q4'24 Q1'25 Q2'25 Q3'25 Q4'25 Cost of funds Average 3M SOFRAverage 3M EIBOR Note: Figures may not add up due to rounding differences (1) FVTPL assets are non -interest bearing, therefore excluded from the calculation of Interest earning assets (2) Risk adjusted NIM: Net interest income less impairment charge on loans and advances to customers, banks, and investments secu rities divided by average interest earning assets Interest expenseInterest income +9% +11% Strong growth in FY’25 net interest income supported by higher volumes 3 rate cuts from Sep’24 to Dec’24 FY’24 2.58 2.03 FY’24 6.57 FY’25 FY’25 5.86 2.45 1.90 4.20 5.02 5.06 FY’24 FY’25 3.57 4.10 4.16 • Net interest income increased 11% YoY to AED 14.688 bn in FY’25 and rose 9% YoY to AED 3.833 bn in Q4’25 driven by higher volumes • Net interest margin (NIM) was 13 bps lower YoY at 2.45% in FY’25 due to a lower interest rate environment • The Bank’s margins have remained resilient in the context of six benchmark rate cuts since September 2024 reflecting an optimised cost of funds, supported by a higher contribution of CASA balances in the deposit mix 3 rate cuts from Sep’24 to Dec’24 3 rate cuts from Sep’25 to Dec’25 3 rate cuts from Sep’25 to Dec’25
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Fourth Quarter 2025 Earnings Presentation FINANCIAL HIGHLIGHTS Net fees and commission income(2) (AED mn) Key highlights 10 • FY’25 non -interest income increased to 34% of total operating income, up from 32% a year earlier • FY’25 non -interest income growth was broad -based, with a 16% rise in net fees and commission income and a 32% increase in net trading income, which was driven by higher gains from foreign exchange, derivatives and a net gain from financial assets held at FVTPL • Q4’25 non -interest income decreased 12% YoY primarily due to a YoY decrease in other operating income from a high base in Q4’24, when the Bank recorded significant gains on extinguishment of corporate loans. Excluding this one -off gain booked in Q4’24, the underlying increase in Q4’25 non -interest income was 41% YoY +14% YoY FY’25 trade finance commission (gross) +61% YoY FY’25 liability related fees (gross) Non-interest income (AED mn) Q4’25 Q3’25 Q4’24 ΔQoQ% ΔYoY% FY’25 FY’24 ΔYoY% Net fees and commission income 887 971 722 (9) 23 3,607 3,101 16 Net trading income 637 648 436 (2) 46 2,716 2,064 32 Other operating income (1) 210 449 803 (53) (74) 1,172 1,089 8 Total non -interest income 1,735 2,068 1,962 (16) (12) 7,495 6,254 20 Top-line growth marked by diversification, with FY’25 non -interest income up 20% YoY, representing 34% of operating income FY’25 AED 3,607 mn +16% FY’24 AED 3,101 mn Asset mgt./investment services: 217 Loan processing fees: 1,011 Trade finance commission: 667 Accounts related fees: 361 Card related fees: 648 Others (3): 195 Asset mgt./investment services: 267 23% Loan processing fees: 1,175 16% Accounts related fees: 581 61% Others (3): 252 29% Card related fees: 540 -17% Trade finance commission: 793 19% Note: Figures may not add up due to rounding differences (1) Other operating income includes net gains/(losses) from investment properties (2) All figures in the pie charts are net of related expenses (3) Others mainly includes POS/acquiring related fees, bond arrangement fees, insurance commission, etc. 36% 35% 31% 32% 34% Q4'24 Q3'25 Q4'25 FY'24 FY'25 Non-interest income/total income
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Fourth Quarter 2025 Earnings PresentationNote: Figures may not add up due to rounding differences Key highlightsCost to income ratioOperating expenses (AED mn) 11 • Cost to income ratio improved by 280 bps to an all-time low of 28.2% in FY’25 with strong top -line growth accompanied by significant efficiency gains, driven by AI & digital transformation as well as sustained cost discipline • Operating expenses increased by 4% YoY to AED 6.246 bn in FY’25 and were up 5% YoY to AED 1.647 bn in Q4’25 as the Bank continued to invest in talent and technology to drive growth 28.6% 27.6% 29.6% 31.0% 28.2% Q4’24 Q3’25 Q4’25 FY’24 FY’25 FY’25 cost-to-income ratio improved 280 bps to an all- time low of 28.2%, driven by income growth and AI & digital- led efficiencies General administrative expensesStaff costs Depreciation & amortisation of intangible assets FINANCIAL HIGHLIGHTS 886 914 930 573 591 597 105 120 1201,565 1,624 1,647 3,360 3,543 2,257 2,255 414 448 6,031 6,246 Q4’24 Q3’25 Q4’25 FY’24 FY’25 -280 bps+100 bps+4%+5%
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Fourth Quarter 2025 Earnings Presentation CET1 ratio 13.79% CAR 17.00% FINANCIAL HIGHLIGHTS 12 Note: Figures may not add up due to rounding differences (1) Euro commercial paper (2) Liquidity ratio: Liquid assets/total assets. Liquid assets include cash and balances with Central Banks, deposits and balances due from banks (excluding loans to banks), reverse repo placements, trading securities, and liquid investments (excluding unquoted investments) 12.56% 12.70% 13.79% Dec’24 Sep’25 Dec’25 16.13% 16.00% 17.00% Dec’24 Sep’25 Dec’25 LTD ratio 81.2% Dec’24: 83. 3% LCR 131.3% Dec’24: 137.3% Liquidity ratio(2) 34.7% Dec’24: 32.4% Strong balance sheet expansion during the year, driven by 16% growth in net loans and 19% in deposits Balance sheet (AED mn) Dec’25 Sep’25 Dec’24 ΔQoQ ΔYoY Total assets 773,654 744,273 652,814 4 19 Net interest earning assets 649,440 627,196 555,289 4 17 Net loans and advances to customers 405,967 401,356 350,638 1 16 Net loans and advances to banks 28,380 33,723 30,679 (16) (7) Investment securities 166,137 159,292 142,989 4 16 Deposits from customers CASA Time deposits 499,775 232,016 267,759 482,440 215,936 266,504 421,060 185,869 235,191 4 7 0 19 25 14 Borrowings (including ECP) (1) 98,514 102,182 94,840 (4) 4 Total shareholders’ equity 88,737 79,505 75,562 12 17
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Fourth Quarter 2025 Earnings Presentation FINANCIAL HIGHLIGHTS Net loans (AED bn) 13 Government & PSE 23% Personal 18% Trading 10% Financial institutions 11% Hospitality 1% Others (1) 26% Real estate investment 11% By economic sector Overdrafts (retail & corporate) 4% Credit cards 2% Mortgages 5% Trade finance 7% Retail loans (2) 11% Corporate loans 71% By product Key highlights • Significant credit growth during the year, driven by key sectors including energy, trading, transport and communication and financial institutions • Loans outside the UAE increased to 27% of the total portfolio from 21% a year earlier, as the Group continued to support cross -border investment by UAE entities and clients operating across key regional economic corridors, notably Saudi Arabia and Egypt Net loans up AED 55 bn across key economic sectors amid strong UAE fundamentals and growing cross -border capital flows Outside UAE 27% Dubai 20% Other Emirates 5% Abu Dhabi 48% By geography Gross loans by geography (AED bn) 285 312 302 76 102 112 360 413 414 Dec'24 Sep’25 Dec’25 Within the UAE Outside the UAE Note: Figures may not add up due to rounding differences (1) Others include: agriculture, energy, transport, manufacturing, services and others (2) Retail loans include personal loans, auto loans and others AED 73 bn Repayments in FY’25 Corporate & Investment Banking Group Private Banking GroupRetail Banking Group 238 292 297 66 65 6747 44 42351 401 406 Dec’24 Sep’25 Dec’25 Net loans +16% YoY AED 130 bn New credit extended in FY’25Gross loans: AED 414 bn
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Fourth Quarter 2025 Earnings Presentation FY’25 cost of risk of 59 bps in line with guidance, while NPL ratio at a record low of 1.83% reflecting continued improvement in asset quality 14 FINANCIAL HIGHLIGHTS Cost of risk Cost of risk Net impairment charge (AED mn) Note: CoR: Net impairment charge on loans & advances and investments divided by net average loans & advances and investments (1) Provisions on loans and advances, including fair value adjustments and IFRS 9 reserve 110.0% 187.3% 146.4% Dec'24 Sep’25 Dec’25 Non-performing loans (AED mn) and NPL ratio 11,893 8,325 8,075 Dec'24 Sep’25 Dec’25 NPL ratio Provision coverage ratio(1) Provision coverage ratio including collateral NPL ratio 3.04% 1.86% 1.83% 188% 289% 249% 741 588 525 1,020 646 1,186 1,087 183 2,874 3,103 0.67% 0.48% 0.42% 0.72% 0.49% 0.88% 0.82% 0.16% 0.58% 0.59% Q1’24 Q2’24 Q3’24 Q4’24 Q1’25 Q2’25 Q3’25 Q4’25 FY’24 FY’25 FY’24 Impairment charge: AED 2,874 mn Cost of risk: 0.58% FY’25 Impairment charge: AED 3,103 mn Cost of risk: 0.59% • Cost of risk was 59 bps in FY’25, below full- year guidance of 63- 68 bps and five -year guidance of 60 bps • Impairment charges 8% higher YoY at AED 3,103 mn in FY’25, largely due to a build of provisions on a small number of legacy corp orate accounts recorded in Q2’25 and Q3’25. Impairment charges in Q4’25 significantly lower at AED 183 mn reflecting higher recoveries and provision releases
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Fourth Quarter 2025 Earnings Presentation 15 Highly-rated portfolio of investment securities increased 16% YoY to AED 166 bn, with bonds representing 99.6% of the portfolio FINANCIAL HIGHLIGHTS Investment securities: AED 166,137 mn(2)Investment securities (AED mn) Asia 15% Other GCC countries 21% Europe 17% Rest of the world 9% Domestic 29% Banks and FI 13% Public sector 16% Others 4% Government 66% Total bond portfolio Government and Non-Government bond portfolio: AED 165,430 mn Level 2 Valuation techniques using observable inputs 4% Level 1 Quoted market prices 96% UAE Sovereign (4) 0.2% BBB+ to BBB - 10% AAA to AA- 51% A+ to A- 36% BB+ to unrated 2% Maturity profile (AED mn)(3) 142,989 159,292 166,137 Dec’24 Sep’25 Dec’25 Fair value hierarchy Credit ratings By region By issuer Invested in the UAE and GCC (Dec’24: 53%) 50% Invested in bonds 99.6% +16% 29,561 22,253 21,901 18,460 73,255 2026 2027 2028 2029 2030 & beyond USA 9% Note: Figures may not add up due to rounding differences (1) Includes AED 82 bn investments carried at amortised cost (31 Dec 2024: AED 92 bn) (2) Includes equity instruments and mutual funds (3) Excluding investments in equity and funds (4) UAE Sovereign internal rating in Grade 3 - and maps to external rating between AA to A - • Rated A -or better: 92.1% • Rated BBB+ to BBB- : 7.1% • Rated below investment grade: 0.7% (BB+ and below including unrated) Non-Government bond portfolio • Carried at amortised cost: 49% • Carried at FVTOCI: 51% Investment securities • Standard & Poor’s, or equivalent of Fitch or Moody’s. Issuer/guarantor’s- based ratings are used, where bonds are unrated Credit ratings (1) (2)
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Fourth Quarter 2025 Earnings Presentation 1.8 46.2 1.7 0.0021.9 3.2 0.7 8.7 2.0 5.2 2.1 20.7 56.9 8.8 5.3 4.3 23.3 2026 2027 2028 2029 2030 & beyond 16 Customer deposits up 19% in FY’25 to reach AED 500 bn, with CASA inflows of AED 46 bn representing 59% of deposit growth FINANCIAL HIGHLIGHTS CASA split by business (AED mn)Customer deposits (AED bn)Liability mix Key highlightsMaturity profile (AED bn)Wholesale funding ECP Bilateral loansRepo and CD MTN/GMTN and Islamic sukuk notes AED 685 bn CASA deposits Time depositsRetail Banking Private Banking CIBG Treasury 206 247 261 91 104 10958 61 6466 70 66421 482 500 Dec'24 Sep’25 Dec’25 186 216 232235 267 268 Dec’24 Sep’25 Dec’25 Customer deposits 73% Euro commercial paper 1 % Other liabilities 6% Derivative financial instruments 4% Borrowings 13% Due to banks 3 % • Customer deposits increased AED 79 bn or 19% YoY to AED 500 bn • CASA deposits up AED 46 bn or 25% YoY to AED 232 bn, accounting for 59% of deposit growth during the year and 46% of total deposits at December - end, up from 44% a year earlier • Corporate CASA deposits up AED 21 bn (+20%) YoY, reflecting strong client engagement and a growing share of cash management and transaction banking activity, while retail CASA grew AED 20 bn (+30%) • As at Dec- end, ADCB was a net lender of AED 33.5 bn in the interbank markets (2) As at 31 Dec 2025 Total deposits CASA CASA % Contribution to Group’s CASA % Commercial 32,298 28,331 87.7% 12% CIBG (1) 228,671 97,741 42.7% 42% PBG 63,763 17,767 27.9% 8% RBG 109,073 87,726 80.4% 38% Subtotal 433,805 231,565 53.4% 100% Treasury 65,970 451 0.7% 0% ADCB Group 499,775 232,016 46.4% 100% Note: Figures may not add up due to rounding differences (1) Excludes Commercial (2) Excludes loans to banks of AED 28.4 bn from deposits and balances due from banks, net, but includes certificate of deposits with central banks of AED 3.4 bn and overnight placement with Central Bank of AED 21 bn As at 31 December 2025 AED bn Global medium -term notes (GMTN) 34 Repurchase agreements 42 Euro commercial paper 9 Bilateral loans 6 Certificate of deposits 6 Subordinated notes – fixed rates 2 Total 99 Subordinated notes
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Fourth Quarter 2025 Earnings Presentation 2.574 3.827 4.099 4.319 4.985 2021 2022 2023 2024 2025 Capital adequacy ratio walkthrough (%)(1) 17 Dividend history and shareholders’ returns (AED bn)Risk weighted assets walkthrough (AED bn) Successful rights issue strengthens capital position to support further organic growth and remain ahead of evolving regulatory requirements FINANCIAL HIGHLIGHTS Note: Figures may not add up due to rounding differences (1) UAE CB minimum CET1, Tier 1 and CAR requirements; 10%, 11.50% and 13.50% (2) Includes increase in credit valuation adjustment charge (3) 2022 dividend consisted of cash and stock dividend in the ratio of 33% (cash dividend of AED 0.18 per share) and 67% (stock d ividend in lieu of cash of AED 0.37 per share) respectively 382.5 427.616.5 11.4 31.3 35.9 45.2 (5.1) 4.5 31-Dec-24 ∆ Credit risk ∆ Market risk ∆ Operational risk 31-Dec-25(2) 430.3 CRWA MRWA ORWA Dividend amount 474.9 0.37 0.56 0.63 Dividend per share (AED) 0.55 (3) 12.56 13.792.03 1.851.54 1.36 2.41 1.28 0.03 0.17 (0.15) (1.05) (0.14) (1.53) (0.15) 16.13 17.00 31-Dec-24 FY’25 net profit Rights issue Creation of IFRS reserve Proposed dividend Tier 1 Coupon Others ∆ Credit risk ∆ Market risk ∆ Operational risk 31-Dec-25 CET1 ratio AT1 ratio Tier 2 ratio 0.59
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Fourth Quarter 2025 Earnings Presentation Successful completion of AED 6.1 bn rights issue following exceptional investor demand 18 Key highlights of the transaction AED 12bn+ Funded commitments vs AED 6.1 bn target 3x oversubscription Excluding Mubadala Investment Company Largest on ADX Largest -ever rights issue by a company with a primary listing on the ADX ADCB in-house expertise Sole lead manager, sole bookrunner and sole receiving bank on the transaction Rights issue rationale (for further details, please click here) Accelerating ADCB’s growth momentum • ADCB has significantly scaled its operations and profitability since 2020 • The rights issue supports ADCB’s ambition to double net profit to AED 20 bn within five years, with proceeds specifically allocated to advancing organic growth and strengthening capital Strengthening capital ahead of regulatory shifts • In recognition of the Bank’s rapid growth & stature among the UAE’s largest financial institutions, higher capital buffers have been introduced for ADCB as a Domestic Systemically Important Bank effective from June 2026 • The rights issue ensures ADCB remains well- capitalised ahead of the new requirements , while continuing to pursue accelerated growth in a disciplined manner Enhancing long -term shareholder value • ADCB delivered a TSR of 46% (1) over the past 12 months • Provided an opportunity for shareholders to participate in the Bank’s continued success, through the subscription for new shares issued at a discount to the prevailing share price at launch of the rights issue • Dividend guidance reaffirmed at c. AED 25 bn over the next five years – a 50% uplift over the previous period 7.0% 7.0% 0.5% 1.0% 2.5% 2.5% 0.5%10.0% 11.0% Current New CBUAE minimum CET1 requirements Countercyclical buffer (CCyB) Capital conservation buffer (CCB) D-SIB buffer Minimum capital requirement Evolving regulatory requirements • Proactive capital management to support accelerated organic growth and strong pipeline along with evolving regulatory requirements in 2026 ⎼ Full impact of 50 bps from 1 January 2026: Countercyclical Buffer (CCyB) 50 bps phased in during 2025 ⎼ Additional 50 bps from June-end 2026: Domestic Systemically Important Bank (D-SIB) buffer in recognition of the Bank’s rapid growth and stature among the country’s largest financial institutions CCyB +0.5% 1-Jan-26 D-SIB +0.5% 30-Jun-26 (1) As at 31 December 2025 1 2 3 For further details, please click here FINANCIAL HIGHLIGHTS
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Fourth Quarter 2025 Earnings Presentation 2. AI and digital transformation
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Fourth Quarter 2025 Earnings Presentation ADCB advanced AI transformation in Q4’25, rolling out new use cases that are already improving productivity Rapid progress on Group -wide AI and digital transformation 20 • ‘Enterprise Knowledge’ providing employees with instant, voice enabled access to internal policies and regulatory documents to support faster, well -informed decision -making • ‘Board Observer’ to equip leadership with real time verified insights • Expanded use of ‘Credit Companion ’ that analyses complex credit documents, enabling faster, data driven processes • Mobile banking development teams have achieved an uplift of approximately 30% in coding efficiency through AI assisted engineering Launch of AI -led transformation programme ADCB announced a Group -wide AI-led transformation programme in October 2025, positioning artificial intelligence as a key catalyst for strategy delivery. The programme aims to unlock AED 4 billion in financial value over the coming years through additional revenue generation, cost efficiencies and enhanced risk management, while improving customer experience and strengthening compliance, fraud detection, cybersecurity and operational resilience • In retail banking , biometric authentication and in -app approvals replaced SMS -based verification, significantly reinforcing fraud controls while delivering faster, more reliable customer journeys • In corporate banking , host-to-host connectivity and instant invoice payment solutions in trade finance improved processing efficiency, accelerated payment flows and supported higher transaction volumes, strengthening the Bank’s position in digital trade finance Continued progress on the ‘digital-first’ transformation programme through initiatives to enhance security, efficiency and scalability across retail and corporate banking platforms • First bank certified by the UAE Central Bank to participate in the Al Tareq Open Finance platform, and completion of the first ever transaction • Launch of a centralised platform that brings customer, transaction and financial data together in one place and connects directly to the national system, ensuring full regulatory alignment and laying a strong foundation for future AI -driven personalisation • Hosting of the first Open Finance Hackathon to bring together fintechs, developers and partners to co create next generation AI -enabled solutions ADCB strengthened its leadership in Open Finance in 2025 AI AND DIGITAL TRANSFORMATION
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Fourth Quarter 2025 Earnings Presentation 3. ESG updates
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Fourth Quarter 2025 Earnings Presentation ESG Ratings 22 • FTSE Russell ESG score upgraded to 4.0 driven by a 100% score in ‘Governance’ and improvement in ‘Social’ score • S&P Global ESG score improved from 38 to 59 out of 100, underpinned by strengths in areas such as data privacy and security, sustainable finance, business ethics and tax transparency • Developed ‘ADCB Sustainable Product Framework’ in line with recent ICMA and LMA green, social and sustainability -linked principles and latest industry practices • Published important policies including: ADCB Group Responsible Marketing and Human Rights Statements • Initiated climate transition assessment and engagement with high priority clients in the Oil & Gas and Power sectors ADCB is ranked the #1 bank in the UAE by major international ESG ratings providers 4th globally in Bloomberg ESG score (1) As at 8 January 2026 ESG Reports 2025 ADCB Green Bond Report ADCB Green Bond Report adcb.com/esgreport ADCB Group ESG Report Bank Country ESG score(1) 1. Caixabank Spain 7.8 2. Mega Financial Taiwan 7.0 3. O-Bank Taiwan 6.9 4. ADCB UAE 6.8 5. Mizrahi Tefahot Israel 6.7 6. Amalgamated Bank US 6.6 7. Woori Financial Korea 6.6 8. Banco Santander Chile 6.6 9. BNP Paribas Bank Poland 6.5 10. DBS Group Singapore 6.5 For further details on our approach to sustainability and related policies visit adcb.com/esg • ADCB’s Bloomberg ESG score has also recently been upgraded, ranking ADCB as the 4 th commercial bank globally and 1st in the UAE (1) • Ranked the #1 Bank in the UAE by the following international ESG ratings: S&P Global, Sustainalytics, Bloomberg, and MSCI (joint 1 st) October 2025 14.6 Low Risk October 2025 AA December 2025 59 January 2026 6.8 ESG UPDATES Q4’25 progress vs. sustainable finance target Commit to lend, invest, and facilitate AED 125 bn (USD 34 bn) by 2030 71.9 50 125 Progress 2021 – Q4'25 2025 Target 2030 Target (AED bn)
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Fourth Quarter 2025 Earnings Presentation 4. Operating environment & 5-year and 2026 guidance
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Fourth Quarter 2025 Earnings Presentation 24 Strong UAE macro -economic fundamentals supporting positive business and consumer confidence UAE: Oil price at a comfortable level for the UAE; Output to increase, including with a baseline adjustment in 2025 Global: Further interest rate cuts priced in by the market, including 50 bps by the Fed in 2H2026 US: Probability of a recession has moderated though expect high uncertainty to weigh on economic activity % Source: Bloomberg, Federal Reserve, BoE, ECB, RBA, BoC, ADCB Economic Research Source: Bloomberg, ADCB Economic ResearchSource: NY Federal Reserve, Bloomberg, ADCB Economic Research % USD p/b (LHA), ‘000 b/d (RHA) UAE: PMI data remains in strongly expansionary territory in 2025 with supportive domestic demand backdrop UAE: Gross deposits continue to outpace credit growth in absolute terms, supporting system- wide liquidity UAE: Net system -wide deposits rose in 11M 2025, driven by private sector and government Source: S&P Global, ADCB Economic Research Source: Central Bank of the UAE, ADCB Economic ResearchSource: Central Bank of the UAE, ADCB Economic Research Index: A reading above 50 indicates an expansion L-D Ratio (LHA); % change y -o-y (RHA) (AED bn) OPERATING ENVIRONMENT & 5 -YEAR AND FULL -YEAR GUIDANCE 2.0 2.5 3.0 3.5 4.0 0 20 40 60 80 100 120 140 Dec-18 Dec-19 Dec-20 Dec-21 Dec-22 Dec-23 Dec-24 Dec-25 UAE Oil Production (RHA) Brent Crude (LHA) 30 35 40 45 50 55 60 65 70 Dec-18 Dec-19 Dec-20 Dec-21 Dec-22 Dec-23 Dec-24 Dec-25 PMI New Orders Output Index -1 0 1 2 3 4 5 US Canada UK Australia Eurozone Benchmark Rate at the Start of 2022 Current Benchmark Rate as of 16th of January Market Priced Rate at end-2026 0 20 40 60 80 Nov-08 Nov-10 Nov-12 Nov-14 Nov-16 Nov-18 Nov-20 Nov-22 Nov-24 Nov-26 NY Fed Probability of Recession in the US (12-month ahead) -200 0 200 400 600 800 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Q2 22 Q3 22 Q4 22 Q1 23 Q2 23 Q3 23 Q4 23 Q1 24 Q2 24 Q3 24 Q4 24 Q1 25 Q2 25 Oct-25 Nov-25 GRE Net Deposits Government Net Deposits Government and GRE Net Deposits Total System-wide Net Deposits (5) 0 5 10 15 20 75 80 85 90 95 100 Nov- 20 Nov- 21 Nov- 22 Nov- 23 Nov- 24 Nov- 25 Loan- to-Deposit Ratio (LHA) Gross Credit Growth, y- o-y (RHA) Deposit Growth, y- o-y (RHA)
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Fourth Quarter 2025 Earnings Presentation OPERATING ENVIRONMENT & 5 -YEAR AND FULL -YEAR GUIDANCE Summary and guidance (1) CoR: Net impairment charge on loans & advances and investments divided by net average loans & advances and investments (2) This statement represents a forward -looking projection and is subject to necessary approvals, including but not limited to board , regulatory, and shareholder approvals 25 Summary • Strong start to ADCB’s five- year strategy , meeting guidance on all key metrics, driven by disciplined execution • Sustained growth momentum across interest income and fee- generating business lines in the context of robust UAE economic fundamentals • AI and digital transformation programme driving significant operational efficiencies • Strong capital position to support further organic expansion in the coming period 5-year guidance 2026 guidance CET1 ratio >12% >12% Cost of risk (1) <60 bps <60 bps ROE >15% >15% Profitability Double net profit to AED 20 billion within five years; c.20% annual growth rate Double net profit to AED 20 billion within five years; c.20% annual growth rate Dividend payout (2) Progressive year -on-year increase in paid -out dividends, with targeted total dividend payout of c. AED 25 billion over 5- year period Progressive year -on-year increase in paid -out dividends, with targeted total dividend payout of c. AED 25 billion over 5-year period
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Fourth Quarter 2025 Earnings Presentation 5. Appendix
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Fourth Quarter 2025 Earnings Presentation AED mn Dec’25 Dec’24 ΔYoY % Cash and balances with Central banks, net 63,019 46,223 36 Deposits and balances due from banks, net 56,594 50,214 13 Financial assets at fair value through profit or loss 21,686 12,870 69 Derivative financial instruments 15,160 18,973 (20) Investment securities, net 166,137 142,989 16 Loans and advances to customers, net 405,967 350,638 16 Investment in associates 306 329 (7) Investment properties 1,193 1,716 (30) Other assets, net (1) 35,245 20,143 75 Property and equipment, net 689 1,047 (34) Intangible assets 7,658 7,672 (0) Total assets 773,654 652,814 19 Due to banks 19,086 11,277 69 Derivative financial instruments 28,264 23,891 18 Deposits from customers 499,775 421,060 19 Euro commercial paper 8,720 6,153 42 Borrowings 89,794 88,687 1 Other liabilities 39,274 26,179 50 Total liabilities 684,913 577,247 19 Total shareholders’ equity 88,737 75,562 17 Non-controlling interests 4 5 (20) Total liabilities and shareholders’ equity 773,654 652,814 19 APPENDIX Balance sheet as at 31 December 2025 27 Note: Figures may not add up due to rounding differences (1) Includes right of use asset
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Fourth Quarter 2025 Earnings Presentation Quarterly trend Full year trend AED mn Q4’25 Q4’24 ΔYoY% FY’25 FY’24 ΔYoY% Interest and income from Islamic financing 9,071 8,723 4 35,123 33,734 4 Interest expense and profit distribution (5,237) (5,218) 0 (20,435) (20,508) 0 Net interest and Islamic financing income 3,833 3,505 9 14,688 13,225 11 Net fees and commission income 888 722 23 3,607 3,101 16 Net trading income 637 436 46 2,716 2,064 32 Other operating income (1) 210 803 (74) 1,172 1,089 8 Non-interest income 1,734 1,962 (12) 7,495 6,254 20 Operating income 5,568 5,467 2 22,183 19,479 14 Staff expenses (930) (886) 5 (3,543) (3,360) 5 General administrative expenses (597) (573) 4 (2,256) (2,258) (0) Depreciation and amortisation of intangible assets (120) (105) 14 (448) (414) 8 Operating expenses (1,647) (1,565) 5 (6,246) (6,031) 4 Operating profit before impairment charge & taxation 3,921 3,902 0 15,937 13,448 19 Impairment charge (183) (1,020) (82) (3,103) (2,874) 8 Share in profit of associates (2) 1 NM 9 11 (18) Profit before tax 3,736 2,884 30 12,843 10,585 21 Income tax charge (2) (394) (311) 27 (1,398) (1,166) 20 Net profit 3,342 2,573 30 11,445 9,419 22 APPENDIX Income statement for the full year period ended 31 December 2025 28 Note: Figures may not add up due to rounding differences (1) Other operating income includes net gains from investment properties (2) Effective 1 January 2025, the UAE enacted a 15% Domestic Minimum Top -up Tax (DMTT) aligned with OECD Pillar Two Model rules. The Group has performed a detailed evaluation and meets the criteria for the Initial Phase of International Activity Exclusion (IAE) provisions. Consequently, the applicable statutory tax rate has been reduced from the DMTT rate of 15% to the UAE Corporate Tax rate of 9% for the 2025 financial year. In Q3’25, the Group reversed an excess tax provision recognised in the first half of 2025
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Fourth Quarter 2025 Earnings Presentation Click to view our reports ADCB Investor Relations adcb.com/annualreport Contact information For more information, please visit our website: adcb.com/ir or contact ADCB Investor Relations at ir@adcb.com 2024 Annual Report adcb.com/integratedreport 2024 Integrated Report adcb.com/esgreport 2024 ESG Report adcb.com/greenbondreport ADCB Green Bond Report