Al Khaliji Q1 net profit reaches nearly QR161mn

20/04/2017 05:58 AST

Al Khalij Commercial Bank (Al Khaliji) has posted a net profit of QR160.9mn in the first quarter of this year, up 3% on the same period in 2016. The bank’s total assets stood at QR59bn in March. The overseas branches in France and UAE represented 10% of the group’s total assets.

Loans and advances grew 2% on the same period last year to reach QR35.8bn by end-March. Deposits amounted to QR34bn, up 16% on Q1, 2016 and up 5% on the previous quarter that ended in December 2016.

The bank’s net interest income increased by 1% to QR230.9mn, while net fee and commission income reached QR62.1mn in March this year, up 11% compared to QR56.1mn in Q1, 2016. Al Khaliji’s earnings per share was QR0.45 in the first quarter of 2017.

The bank’s capital adequacy ratio (as per Basel III) in the first quarter of this year was 16.2%.

Al Khaliji chairman and managing director Sheikh Hamad bin Faisal bin Thani al-Thani said, “We are pleased to announce our financial results for the first quarter of this year. These results prove our determination in continuing our franchise growth despite the global and regional economic conditions. We are well prepared to continue accomplishing success during 2017, taking into consideration the moderate energy price at the current levels, while keeping our focus on the best interest for our shareholders.”

On the first quarter 2017 performance, group chief executive officer Fahad al-Khalifa said, “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.

“In recognition of the current operating environment, we continue to effectively manage our credit risk and prudently build our impairment provisions. Despite this, our net profit showed an increase of 3% year-on-year to QR160.9mn.

“The bank has achieved a cost to income ratio of 26.8% through ongoing efficient management of its cost base and increased revenue generating capability. Our capital adequacy ratio, per Basel III, was 16.2% at the end of March.”

Gulf Times