Consolidated Statement of Cash Flows
Consolidated statement of cash flows
for the year ended 31 December
| 2021 | 2020 | ||
| Note | AED’000 | AED’000 | |
| Cash flows from operating activities | |||
| Profit for the year | 22,758 | 20,900 | |
| Adjustments for: | |||
| Depreciation of property, fixtures and equipment | 13,450 | 15,208 | |
| Interest on lease liabilities | – | 171 | |
| Share of result of equity accounted investee | 2,906 | 307 | |
| Dividend income from investments | (10,012) | (24,230) | |
| Loss on disposal of investments | |||
| carried at fair value through profit or loss | (4,169) | 1,023 | |
| Net change in fair value of investments carried at fair | |||
| value through profit or loss | (11,639) | (7,439) | |
| Net impairment loss on loans and advances and Islamic assets | 52,892 | 74,098 | |
| Allowance for impairment of Islamic Assets | 200 | – | |
| Provision for employees’ end of service | |||
| benefits | (597) | 352 | |
| ————————- | ————————- | ||
| 65,789 | 80,390 | ||
| Changes in: | |||
| Islamic financing and investing assets | 29,876 | 28,644 | |
| Loans and advances | 33,196 | 211,404 | |
| Increase in placement with banks maturing above three months | 1,044 | -1,044 | |
| Interest receivable and other assets | 16,467 | (65,318) | |
| Insurance receivables and contract assets | (64,184) | 59,491 | |
| Customers’ deposits and margin accounts | (207,574) | (546,848) | |
| Unearned premiums | 2,009 | (15,522) | |
| Gross claims outstanding | 25,786 | (1,655) | |
| Interest payable and other liabilities | 54,243 | (13,950) | |
| Decrease in lease liabilities | (2,356) | (4,913) | |
| ————————- | ————————- | ||
| Net cash used in operating activities | (45,704) | (269,321) | |
| ————————- | ————————- | ||
| Cash flows from investing activities | |||
| Purchase of investments carried at fair value through | |||
| other comprehensive income | (36,467) | (6,272) | |
| Proceeds from sale of investments carried at fair value | |||
| through other comprehensive income | 62,278 | 130,028 | |
| Purchase of investments carried at fair value through profit or loss | (49,206) | (9,147) | |
| Proceeds from sale of investments carried at fair value | |||
| through profit or loss | 34,634 | 72,245 | |
| Proceeds from sale of investments carried at amortized cost | 3,673 | – | |
| Purchase of investments carried at amortized cost | (1,847) | (3,673) | |
| Purchase of property, fixtures and equipment | (18,563) | (7,094) | |
| Disposal of property, fixtures and equipment | 4,425 | – | |
| Purchase of investments in equity accounted investee | – | ||
| Dividend received | 10,012 | 24,230 | |
| ————————- | ————————- | ||
| Net cash generated from investing activities | 8,939 | 200,317 | |
| ————————- | ————————- | ||
| Cash flows from financing activities | |||
| Repayments of short-term borrowings | (250,000) | (173,100) | |
| Repayment of Medium-term loans | (25,000) | (75,003) | |
| Proceed from Short Term borrowings | 393,750 | 298,160 | |
| Proceed from Medium Term loan | 100,000 | – | |
| Movement in Tier 1 Sukuk | (3,650) | (550) | |
| Tier 1 SUKUK coupon paid | (18,246) | (20,797) | |
| Cash dividend paid | (5,749) | (8,359) | |
| Directors’ remuneration paid | (1,957) | (1,223) | |
| Purchase of treasury shares | (29,823) | – | |
| ————————- | ————————- | ||
| Net cash generated from financing activities | 159,325 | 19,128 | |
| ————————- | ————————- | ||
| Net increase /(decrease) in cash and cash equivalents | 122,560 | -49,876 | |
| Cash and cash equivalents at 1 January | 446,607 | 496,483 | |
| ————————- | ————————- | ||
| Cash and cash equivalents at 31 December | 18 | 569,167 | 446,607 |
| =========== | =========== |
The notes on pages 15 to 113 are an integral part of this consolidated financial statements.
