QIB Q1 profit jumps 12.6% to QR625.2mn

Qatar’s leading Islamic Bank QIB has posted a net profit of QR625.2mn in the first quarter of the year, up 12.6% on Q1, 2017. The bank’s total assets increased 6% to QR151.8bn, driven by continued growth in the financing and investing activities. Financing activities reached QR104.6bn in Q1, having grown 5.2% compared to March 2017.  QIB’s customer deposits stood at QR102.3bn in the first quarter of the year.  The bank’s total income for the first quarter stood at QR1.63bn in March, up 9.3% on QR1.49bn posted in the same period last year.
QIB’s total assets increased 6% to QR151.8bn, driven by continued growth in the financing and investing activities

Income from financing and investing activities grew by 8.6% to QR1.44bn in end-March, compared to QR1.32bn in Q1, 2017, reflecting what QIB termed “a healthy growth in the bank’s core operating activities.” QIB was able to maintain the ratio of non-performing financing assets to total financing assets at 1.2%, reflecting the quality of the bank’s financing assets portfolio and its effective risk management framework.  The bank continues to pursue the conservative impairment provisioning policy with the coverage ratio for non-performing financing assets at 106.2% as of March 2018.

Total shareholders’ equity reached QR13.7bn in the first quarter. Total capital adequacy of QIB (under Basel III) is 17.4% as of March 2018, higher than the minimum regulatory requirements prescribed by the Qatar Central Bank and the Basel Committee.    In April 2018, Fitch Ratings affirmed QIB’s credit rating at ‘A’; Standard & Poor’s ‘A-’ and Capital Intelligence at ‘A’.  In May 2017, for the first time Moody’s assigned long-term deposit ratings to QIB at ‘A1’.

During the first quarter of 2018, QIB won awards that “confirmed its leading position” in Qatar’s and the region’s banking sector.  QIB took centre stage at the recently Global Finance Magazine annual awards for the “World’s Best Islamic Financial Institutions 2018”, where it won the following six awards: ‘Best Islamic Financial Institution in the Middle East’; ‘Best Islamic Financial Institution in Qatar’; ‘Best Islamic Financial Institution for Large Corporate’; ‘Best Islamic Project Finance Provider’; ‘Best Real Estate Deal of the Year’ and ‘Best Sukuk Deal of the Year’.

QIB also received three awards from Islamic Finance News (IFN) for 2017: ‘Best Islamic Bank in Qatar’; ‘Best Deal of the Year in Qatar’ and ‘Structuring Deal of the Year.’  These awards recognise the impressive progress QIB has made in establishing itself as a leading banking institution in the Middle East while cementing its leadership position in Qatar, its home market.


Sources and photo-credits: Gulf Times