QNB Group's Net Profit Rises by 4% to QAR
11.2 Billion in Q3 2019
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Net Profits: The Bank reported an increase of 3.60% at the end of the third
quarter of 2019 to QAR 11,210 million, compared to QAR 10,822
million for the same period in 2018, while the bank’s earnings
per share amounted to QAR 1.13 versus QAR 1.14 for the
corresponding period of 2018. This decline in the EPS is due to
the increase in the interest on capital, noting that during the
second half of 2018, the bank has issued an additional tranche
of capital to support the solvency ratios by QAR 10 billion. As
for the profits of the third quarter, they rose 3% to QAR 3,864
million.
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Comprehensive Income: The bank recorded an assessment loss through the statement of
comprehensive income of about QAR 903.3 million, compared to a
loss of about QAR 4,468.7 million for the same period in 2018 as
a result of the fair value of cash hedges. It is worth
mentioning that the bank has recorded an assessment of foreign
exchange differences for the current period amounting to QAR 222
million, compared to a loss of about QAR 5,508 million for the
corresponding period of 2018.
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Operating Income: The Bank's operating income increased by 4.7% to QAR 849 million
to reach about QAR 18,755 million. This improvement was due to
an increase in the net interest income by 5.70% and QAR 805
million, as well as an increase in foreign exchange earnings by
about QAR 52 million.
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Operating Expenses: Operating expenses increased by 7.00% to QAR 457.5 million
compared to the same period in 2018. The increase in expenses
resulted from an increase in the expected credit losses for
loans and advances by about QAR 265 million, in addition to the
increase in staff expenses and depreciation.
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Loans & Deposits: The loan portfolio grew by 7.50% during the period, which is
comparable to the growth in customer deposits, which increased
by 7.10% to stabilize the ratio of loans to customer deposits at
98.6%. Non-performing loans accounted for 1.9% of total loans.
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