QNB Group's Net Profit Rises by 4% to QAR 11.2 Billion in Q3 2019

 

Ø  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.

 

Ø  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.

 

Ø  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.

 

Ø  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.

 

Ø  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.