QIB net profit rises 11.8% to QR1.6 bn in H1

July 15, 2021

Qatar Islamic Bank (QIB) on Wednesday announced that bank’s net profit attributable to the shareholders amounted to QR1.595 billion for the first six months of 2021, representing a growth of 11.8 percent over the same period in 2020.
Total assets of the bank now stand at QR184 billion, higher by 5.4 percent compared to December 2020 and a growth of 10.9 percent compared to June 2020.
Financing activities that are the primary driver for the asset growth has now reached QR127 billion having grown by 6.7 percent compared to December 2020 and up by 13.2 percent compared to June 2020.
Customer deposits of the bank now stand at QR125 billion, higher by 6.1 percent compared to December 2020 and a growth of 17.6 percent compared to June 2020.
Total Income for the six months’ period was QR4.112 billion registering a growth of 3.5 percent compared to QR3.972 billion for the same period in 2020.
Income from financing and investing activities reached QR3.543 billion almost in line with the first half of 2020, reflecting a healthy performance in its core operating activities despite the sharp drop in the global interest and profit rates.
Total expenses for the six months’ period was QR535 million, lower by 2.8 percent compared to the same period in 2020.
Strict cost controls supported by higher operating revenues enabled further enhancement of efficiencies with cost to income ratio improving from 21.1 percent to 17.5 percent in the first half of 2021, the best in Qatar’s banking sector.
QIB was able to maintain the ratio of non-performing financing assets to total financing assets at 1.4 percent reflecting the quality of the bank’s financing assets portfolio. The bank continued to create additional precautionary impairment charge on financing assets for QR915 Million for the first six months of 2021 as against QR602 million set aside during the same period last year.
In line with the bank’s conservative impairment policy the coverage ratio for non-performing financing assets as of June 2021 was improved to 95.2 percent compared to 92.3 percent as of December 2020.
Total shareholders’ equity of the bank reached QR 19 billion, up by 3.8 percent compared to December 2020 with a growth of 13.1 percent compared to June 2020.
Total capital adequacy of the bank under Basel III guidelines is 18.4 percent as of June 2021, higher than the minimum regulatory requirements prescribed by Qatar Central Bank and Basel Committee.
In May this year, Moody’s Investors Service affirmed the Long-term deposit ratings at “A1”. In April 2021, Capital Intelligence Ratings (CI) affirmed the bank’s long-term currency rating (LTCR) of ‘A+’. In March 2021, Standard & Poor’s (S&P) affirmed the bank’s credit rating at ‘A-’ while upgrading the bank’s stand-alone credit profile. In November 2020, Fitch Ratings affirmed the bank’s credit rating at ‘A’.
In the first half of 2021, QIB has received a number of prestigious awards from well-respected international publications. QIB Group CEO Bassel Gamal has also entered Forbes’ prestigious Top CEOs in the Middle East ranking.
QIB has recently received the prestigious ‘Islamic Bank of the Year in Qatar’ for the 9th consecutive year, and ‘Islamic Bank of the Year in The United Kingdom’ at The Banker Magazine’s Islamic Bank of the Year 2021 Awards.

qatar-tribune


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