Emirates Investment Bank

1. Company Overview & Earnings Context

Emirates Investment Bank P.J.S.C. (EIBank) is a Dubai-based investment advisory and wealth management bank operating under a restricted banking license from the Central Bank of the UAE. The Bank is 92.39% owned by Al Futtaim Private Company LLC. During H1 2026, Emirates Investment Bank continued implementing its multi-year strategic transformation program aimed at repositioning the business as a digitally enabled private banking institution, with investments in technology modernization, specialist talent, client experience, and operating efficiency.

2. Financial Performance Snapshot

• Operating Income: AED 95.66 Million (-4.0% YoY)

• Interest & Investment Income, Net: AED 72.40 Million (-5.8% YoY)

• Fee, Commission & Other Income, Net: AED 19.46 Million (+4.8% YoY)

• Profit Before Tax: AED 12.49 Million (-77.9% YoY)

• Net Profit: AED 11.14 Million (-77.4% YoY)

• Earnings Per Share (EPS): AED 1.11 (-77.5% YoY)

Compared with H1 2025:

• Operating income declined 4.0% to AED 95.66 million.

• Net interest and investment income declined 5.8% to AED 72.40 million.

• Fee, commission, and other income increased 4.8% to AED 19.46 million.

• Profit before tax declined 77.9% to AED 12.49 million.

• Net profit declined 77.4% to AED 11.14 million.

• Earnings per share decreased from AED 4.93 to AED 1.11.

3. Operational Highlights & Key Metrics

• Total Assets: AED 4.55 Billion

• Total Equity: AED 1.48 Billion

• Net Investments: AED 2.37 Billion

• Net Loans & Advances: AED 995.65 Million

• Customer Deposits: AED 2.98 Billion

• Cash & Cash Equivalents: AED 838.06 Million

• Gross Loans & Advances: AED 1.00 Billion

• Technology Transformation Commitments: AED 44.95 Million

4. Key Performance Drivers

The decline in profitability was primarily driven by a significant increase in operating costs as Emirates Investment Bank accelerated its strategic transformation. General and administrative expenses nearly doubled to AED 81.18 million from AED 40.79 million, with consultancy expenses rising sharply to AED 19.92 million and staff costs increasing to AED 41.18 million. The Bank specifically notes that some of these expenses were incurred toward its strategic transformation program. Meanwhile, fees, commissions, and other income increased, partially supporting operating income during the period.

5. Outlook & Forward Guidance

Emirates Investment Bank continues to execute its multi-year transformation program, with initiatives focused on modernizing its technology architecture, strengthening management and specialist capabilities, and redesigning operational processes. The Bank had AED 44.95 million of outstanding contractual commitments related to its technology transformation at the end of H1 2026, which are expected to be settled over the following 12 months in line with the implementation schedule.

6. Investor Takeaway

Emirates Investment Bank's H1 2026 profitability declined sharply as the Bank incurred significantly higher expenses related to its ongoing strategic transformation. However, operating income remained relatively resilient, fee and commission income increased, and loans and advances expanded during the period. With a substantial investment portfolio, AED 1.48 billion in equity, and continued investment in its digital private banking strategy, the Bank is prioritizing long-term transformation while absorbing elevated near-term costs.