Qatar Islamic Bank’s (QIB) net profit, attributable to the bank’s shareholders, amounted to QR1.16bn for the six months period ended June, 2017 (H1, 17), reflecting a 10 percent growth compared to the corresponding period in 2016.
The country’s leading Islamic bank’s total assets increased by 9.2 percent compared to June 2016 and 5 percent compared to December 2016.
Financing activities reached QR110bn, up 13.6 percent compared to June 2016 and 11.7 percent increase compared to December 2016.
Customer Deposits of the Bank reached QR97bn, up 2 percent compared to June 2016 and December 2016. The bank’s total Income for H1, 17 stood at QR3.14bn, registering 18.4 percent growth from a year ago.
Income from financing and investing activities has grown by 22 percent to reach QR2.78bn at the end of H1, 17 compared to QR2.28bn recorded during the first half of 2016, reflecting a healthy growth in the Bank’s core operating activities.
Total expenses decreased by 1.5 percent on year-on-year to reach QR547m.
Strict cost controls supporting higher operating revenues enabled further enhancement of efficiency.
This helped bringing down the cost to income ratio to 25.3 percent for the first six months of 2017 as compared to 30.4 percent for the same period in 2016.
QIB was able to maintain the ratio of non-performing financing assets to total financing assets at around 1 percent, one of the lowest in the industry, reflecting the quality of the Bank’s financing assets portfolio and its effective risk management framework.
QIB continues to pursue the conservative impairment provisioning policy with the coverage ratio for non-performing financing assets moving up from 87 percent as at December 2016 to reaching 118 percent as of June 2017.
Total Shareholders’ Equity of the bank reached QR14.3bn. Meanwhile, the Total Capital adequacy of the Bank under Basel III guidelines is 16.6 percent for the first half of 2017. This is higher than the minimum regulatory requirements prescribed by Qatar Central Bank and Basel Committee.
In May 2017, Moody’s Investors Service, (“Moody’s”) has for the first time assigned Long term deposit ratings to QIB at “A1”.
In April 2017 Capital Intelligence Ratings (CI), has affirmed QIB’s Financial Strength Rating (FSR) at ‘A’.
In April 2017, Fitch Ratings has also affirmed QIB’s Long Term Issuer Default Rating (IDR) at ‘A+’ and S &P has reaffirmed QIB’s rating at “A-”.
