The Group Securities: Overview of the Key Indicators of Consolidated Financial Statements of Qatari Banks Listed on Qatar Stock Exchange for H1 2019

 

Doha, August 04, 2019

 

The Group Securities presents its review of the key indicators of the consolidated financial statements of Qatari banks listed on Qatar Stock Exchange for the first half of 2019, as reflected in the financial statements for the period ended 30/06/2019, namely net consolidated profit, net interest margin, loan portfolio growth, customer deposits, capital adequacy, and non-performing loans. The chart published in this report summarizes the key indicators of the consolidated financial statements of Qatari banks listed on the Qatar Exchange for the first half of 2019.

 

-        The net consolidated profit of Qatari banks climbed by 4.7% to reach QAR 12.55 billion for the first half of 2019, compared to QAR 11.99 billion for the same period last year. Qatar National Bank’s (QNB) net profit accounted for 59% of the period’s consolidated net profit, followed by Qatar Islamic Bank (QIB), which accounted for 11%. The highest profit growth percentage was 10%, achieved by Doha Bank, followed by Commercial Bank’s 9.25%.

 

-        The average net interest margin (the difference between the interest paid on deposits and debt instruments to interest received on loans, investments and cash instruments adjusted to interest bearing assets) amounted to 2.4% for the first half of 2019. QIB recorded the highest by 3.7%, while Al Khaliji and Commercial Bank stood at 1.8% and 1.9%, respectively.

 

-        In terms of loans, Qatari banks recorded an average growth rate of 1.3% in their loan portfolio during this year’s first half. Qatar International Islamic Bank (QIIB) recorded the highest loan portfolio growth rate at 13%, while Al Khaliji Bank's loan portfolio declined by about 16%.

 

-        Customer deposits average growth rate stood at 1.4% during this first half. Ahli Bank achieved the highest ratio at 18%, while customer deposits at Al Khaliji Bank declined by approximately 33%.

 

-        In terms of the quality of assets, the banking sector’s average level of non-performing debt amounted to about 2.5%, the lowest of which was Masraf Al Rayan’s 0.8%, while the highest was 5.8% at Doha Bank. As for capital adequacy (The line of defense for depositors' funds. It measures the bank's ability to cope with potential losses. High efficiency ratios reflects the strength of the bank's financial position), the banking sector posted an average of about 17.7%, the highest of which was 19.5% at Masraf Al Rayan, and the lowest was recorded by QIIB at approximately 15%.