Al Khaliji posts QR563mn ’14 profit

26/01/2015 08:59 AST

Reflecting the “progress made” since launching the three-year strategy, Al Khaliji bank has posted a net profit of QR563mn in 2014 compared with QR550.9mn in 2013.

The bank’s total assets reached QR51.2bn last year, up 24% on QR41.3bn registered in 2013. Loans and advances grew to QR26.9bn in 2014, 30% higher compared with the previous year, while deposits grew 38% and stood at QR27.4bn last year compared to QR19.9bn in 2013. Earnings per share (EPS) stood at QR1.56 in 2014, up 2% on the previous year.

The bank’s capital adequacy ratio under Basel III was 15.3%.

Al khaliji said net operating income topped the QR1bn level for the first time last year and was 8% higher than 2013. This growth, the bank said, was “driven mainly” by a 27% growth in net interest income and 39% growth in net fee and commission income that reached QR749.5mn and QR198.1mn respectively in 2014.

The revenue was generated mainly from conventional banking activities in Qatar and Al Khaliji France, its wholly owned subsidiary headquartered in Paris with its four branches in as many emirates in the UAE.

The bank’s financial results were released after a meeting of Al Khaliji’s board of directors in Doha yesterday.

Al Khaliji said the board recommended to the bank’s annual general assembly to distribute a cash dividend of 10% of the nominal share value, which translates into QR1 a share. Sheikh Hamad bin Faisal bin Thani al-Thani, Al Khaliji chairman and managing director, said, “We are pleased with Al Khaliji’s 2014 results. It reflects the progress made since the launching of our three-year strategy. We continue to be well-positioned to benefit from the economic expansion in Qatar that will remain robust along with the Gulf region and we look forward to a very successful 2015.

“I know that we have the resources and experience for our bank and our clients to succeed. While our focus is on maintaining the growth momentum, we remain committed towards ensuring ongoing value for our shareholders, investors and all stakeholders. “We extend our deepest gratitude to Qatar and the Qatar Central Bank for their ongoing support and efficient role in guiding and helping the Qatari financial institutions and local businesses in their progress toward success”.

Al Khaliji group chief executive officer Fahad al-Khalifa said, “The financial results for 2014 reflect a solid performance for the bank. We continue to drive our profitability from our wholesale operations and our award winning premium and private banking offering.

“Profits for the year exhibit a strong growth in our banking franchise, combined with a prudent approach to risk, and effective management of costs. Contribution from our overseas operations, which includes our new subsidiary Qatar Capital Limited based in the DIFC (Dubai International Financial Centre), now account for 24% of total revenues. We look forward with confidence to 2015 and aim to further increase shareholder value through the successful execution of our strategy.”

Gulf Times