AL KHALIJI RECORDS 6% GROWTH IN NET PROFIT WITH QAR 320.3 MILLION IN H1 2016
• Net profit of QAR 320.3 million, 6% higher than the same period in 2015 • Total assets grew by 8% to reach QAR 60.6 billion in H1 2016 • Loans and advances stood at QAR 35.3 billion, up 19% YOY • Deposits increased 3% to QAR 30.5 billion • Net operating income at QAR 590 million, up 5% on the same period last year
Doha, July 20, 2016: Al Khalij Commercial Bank (al khaliji) P.Q.S.C., announced its financial results for the first six months of 2016, reporting a Net Profit of QAR 320.3 million. This represents an increase of 6% over its financial results for the same period of last year.
His Excellency Sheikh Hamad Bin Faisal Bin Thani Al Thani, Chairman and Managing Director stated:
"the H1 results reflect our determination to continue achieving growth. During this period, we have successfully completed the issuance of the first tranche of Tier 1 Capital instruments. We have also seen al khaliji recognition globally increasing whereas the bank has remarkably succeeded to tap international markets to diversify its funding source. We will continue implementing our new mid-term strategy 2016-2018 which focuses on delivering excellence in services, respond to business needs of both private and public sectors, promote branding of al khaliji to the best interest of our esteemed shareholders and other stakeholders”.
Commenting on the first quarter 2016 performance, Fahad Al Khalifa, al khaliji’s Group Chief Executive Officer said:
“Despite markets conditions, al khaliji is achieving growth in various banking activities, where the first half net profit recorded 320 million riyals. This is an evidence of our solid position and our determination to stress on growth. The bank has succeeded in the first half in positioning its strategy by diversifying source of funding through mid-long term private placements and commercial papers from international markets, and raising adequate capital for the growth of the business. The capital adequacy ratio of the bank was at a comfortable level of 15.8% at the end of June 2016.
We continue in our prudent cost management which reflected a significant improvement in cost to income ratio, which stood at 32.0% as at June 2016, compared to 35.6% in the same period of the previous year. We will continue our efforts to increase our market share and profitability through enhanced customers base and improved presence abroad“.
Income Statement highlights
Net Profit for the first half of this year is QAR 320.3 million compared to QAR 302.4 million for the same period in 2015.
Net fee and commission income reached QAR 112.7 million, up 18% compared to QAR 95.9 million by the end of June 2015.
Earnings per share increased to QAR 0.89 in the first half of 2016 from QAR 0.84 in the first half of 2015.
Balance Sheet highlights
Total assets reached QAR 60.6 billion in the first six months of 2016, up 8% from H1 2015 and up 7% year to date.
Al khaliji France S.A., headquartered in Paris with branches in UAE, represented 10% of the Group’s total assets.
Loans and advances grew 19% on the same period of last year and 6% higher than the fourth quarter of 2015 to reach QAR 35.3 billion by end of June 2016.
Deposits are at QAR 30.5 billion, up 3% compared to the first six months of 2015.