QIIB’s net profit surges 6.1% to QR544mn in H1

QIIB chairman and managing director Sheikh Dr Khalid bin Thani bin Abdullah al-Thani (left), and CEO Dr Abdulbasit Ahmed al-Shaibei.

QIIB has posted a half yearly (H1) net profit of QR543.9mn, up 6.1% on the same period last year.   The prominent Islamic bank’s results were announced by its chairman and managing director Sheikh Dr Khalid bin Thani bin Abdullah al-Thani yesterday. QIIB’s earnings per share during H1 stood at QR0.36. Sheikh Dr Khalid said, “The bank’s results for the period that ended on June 30, 2021 confirm that QIIB is proceeding with the implementation of its plans in appropriate manner, relying on the strength of the Qatari economy, which enjoys the highest levels of solvency and credit rating- regionally and internationally, thus providing growth and sustainability factors for the banking sector and for various business sectors, thanks to the support and patronage of His Highness the Amir, Sheikh Tamim bin Hamad al-Thani”. He noted, “The most important thing that can be seen from these distinguished results achieved by QIIB is the ability of the bank to face the unexpected challenges and risks related to the repercussions of the Covid-19 pandemic. Our bank was able to transform challenges into opportunities, as manifested in the solid results and growth figures achieved and the significant improvement seen in our operating environment.” “A review of the bank’s financial position in H1 clearly reflects QIIB’s ability to achieve most of its goals set in the Bank’s strategic plans, although our ambition is still greater. The bank benefited from its strategy that focuses on local opportunities. Sheikh Khalid further explained, “The encouraging indicators and positive results achieved by the bank in H1 are gaining more importance with the rapid increase of competition in the banking sector, which we welcome. QIIB is pleased to respond appropriately to competition, which has been reflected in the steady increase of our customer base”. “In particular, what has been achieved during the past period in the field of digital transformation is a milestone in improving the bank’s performance at various levels. It also contributes effectively to enhancing the bank’s operating efficiency and keeping pace with the most important developments in banking technology at the global level”. “The Bank will continue to enhance its digital channels, provide the necessary technological infrastructure and resources in order to achieve all objectives of its ambitious plan in this field”. “The outstanding performance achieved by QIIB prompted international credit rating agencies to acknowledge the strength of its financial position and the solidity of its various indicators. “The bank maintained high credit ratings of ‘A2’ from Moody’s, ‘A’ from Fitch and ‘A’ from Capital Intelligence, all with a stable outlook. All these ratings reflect the bank’s prestigious position at the local, regional and international levels”. QIIB chief executive officer Dr Abdulbasit Ahmed al-Shaibei, elaborated further on the bank’s H1 financial results and said, “The bank’s total revenues reached QR1,264mn during the first half representing a growth rate of 4.3% compared to the same period of the previous year. QIIB’s total assets increased to QR62.5bn compared to QR59.3bn at the end of the first half of 2020, with a growth rate of 5.3%. The bank’s financing assets reached QR40.6bn in H1 and represent a growth rate of 16%, while the customers’ deposits increased by 11.6% to reach QR38.8bn.” QIIB was able to significantly enhance its operating efficiency during H1, contributing to a further reduction of its (cost-to-income) ratio to be 18.3% compared to 21.4% at the end of the corresponding period last year. It also confirms the success of QIIB’s plans to face the challenges faced by the banking sector during the last period. Al-Shaibei spoke about the quality of the bank’s financing assets portfolio, affirming its continuous improvement by reducing the NPL ratio from 2% at the end of H1, 2020 to reach 1.6% in H1, 2021. “The total equity at the end of the H1, 2021 amounted to QR8.3bn, while the bank’s capital adequacy ratio under Basel III in H1 stood at 17.3%, which is higher than the regulatory requirements, thus confirming the bank’s high solvency”. QIIB CEO stressed, “The bank’s results in the H1, 2021 are the outcomes of the plans and goals that have been accomplished as part of the bank’s short and long-term strategy by facing emerging challenges and various market factors, which we were able, praise be to God, to adapt to and achieve the targeted growth figures”. He noted, “There are many factors that contributed to QIIB growth, and at the forefront comes Qatari economy and the opportunities it provides for the banking sector, where we built our plans for a long time now around the local market, and the circumstances and experiences proved that our decision was sound and had outstanding results.” Al-Shaibei stated, “The bank launched during H1 a series of innovative products and services that were highly appreciated by the customers and the business sector in general, some of which were designed for companies such as the corporate and business cards, while others for individuals such as QIIB mobile financing service, in addition to many other services. These include ‘Visual IVR’, thus becoming the first bank in Qatar to provide this ultra-modern, technology-driven service to its customers. QIIB Visual IVR Service provides many services to customers, including information on accounts and money transfers. This reflects our interest in promoting innovation and benefiting from the latest technology solutions in the banking sector”.