Sharjah Islamic Bank (SIB) reported profits of AED67.5m ($18.4m) for the first quarter of 2010, a 20.6 per cent decline compared to AED85m in the same period last year, due to lower income from murabaha and leasing activities.

Income from murabaha and leasing stood at AED177m at the end of March this year, according to a statement posted on the Abu Dhabi Securities Exchange (ADX) website.

Customer deposits reached AED10.1bn, a 2 per cent decline compared with AED9.9bn since the end of 2009.

However, according to the bank’s results released on 17 April, SIB’s overall balance sheet expanded by 1.25 per cent in the first three months of 2010, with total assets reaching AED16.2bn compared with AED16bn in December 2009.   

Total liquid assets increased by 11 per cent to reach AED3.5bn, representing 22 per cent of total assets compared to AED3.2bn at December 2009.

Total shareholder equity amounted to AED4.2bn, equivalent to 26 per cent of the total assets and reflecting the bank’s strong capital base.