al khaliji bank reports three per cent increase in net profits for Q1 2017
Al Khalij Commercial Bank (al khaliji) P.Q.S.C., in Qatar, announced its financial results for Q1 of 2017, reporting a net profit of QAR 160.9 million, representing an increase of three per cent over its financial results for the same period of last year.
According to HE Sheikh Hamad Bin Faisal Bin Thani Al Thani, Chairman and Managing Director , these results prove the bank’s determination in continuing its franchise growth despite the global and regional economic conditions, to continue accomplishing success during 2017, taking into consideration the moderate energy price at the current levels, while keeping a focus on the best interest shareholders.
“Our results for the three months ended 31 March 2017 reflect the ongoing development of our franchise in Qatar with growth in key financial metrics. The financials demonstrate our ability to grow our Net Interest Income and Fee and Commission revenue streams while continuing to diversify our funding base. Our Private banking business has been the primary driver of growth in both sides of the Balance Sheet in Q1,” said Fahad Al Khalifa, al khaliji’s Group Chief Executive Officer.
Al Khalifa added that in recognition of the current operating environment, al khaliji bank will continue to effectively manage its credit risk and prudently build its impairment provisions. Despite this net profit showed an increase of three per cent YoY to QAR 160.9 million. The bank has achieved a cost to income ratio of 26.8 per cent through ongoing efficient management of its cost base and increased revenue generating capability. The Capital Adequacy Ratio, per Basel III, was 16.2 per cent at the end of March.
Net Profit for the first quarter of this year was QAR 160.9 million compared to QAR 156.2 million for the same period in 2016, while net interest income increased by one per cent, to QAR 230.9 million at quarter end March 2017. Net fee and commission income reached QAR 62.1 million, up 11 per cent compared to QAR 56.1 million at quarter end March 2016. Earnings per share were QAR 0.45 in the first quarter of 2017.
Al Khaliji total assets stood at QAR 59 billion as at March 31, 2017. The overseas branches in France and UAE represented 10 per cent of the Group’s total assets, while loans and advances grew two per cent on the same period last year to reach QAR 35.8 billion by end of March 2017. Deposits amounted to QAR 34 billion, up 16 per cent compared to Q1, 2016 and up 5 per cent from the previous quarter ending December 2016.
The bank’s capital adequacy ratio at Q1 2017 was 16.2 per cent as per Basel III.