Net Profit up by 7.4% YoY to QAR390mn (+63% QoQ)
Net Operating Income increased up 2% YoY to reach QAR613mn (+4.3% QOQ)
Net Interest Income remained stable (both YoY and QoQ) at QAR439mn
Total Assets remained stagnant QoQ at QAR52.4bn (+12.8% YoY)
Total Loans and advances and financing activities declined by 3.8% QoQ to QAR27.7bn (+13.1% YoY)
Total Customer Deposits and Unrestricted Investment Accounts declined by 1.1% QoQ to QAR31.4bn (+11.8% YoY)
NPL ratio declined to 3.41%; coverage 76.7%
Analyst comments:
Doha Bank's 1Q12 results surprised us positively and are 21.5% above our expectation of QAR321mn. Investment income came in quite strong, increasing by 34.6% YoY and was largely instrumental in our deviation. Investment income for 1Q12 stood at QAR53mn as against QAR39mn in 1Q11 and just QAR1mn in the previous quarter. Fee income, however, was down by 26% QoQ and 5.2% YoY. All in all, operating income recorded a gain of 4.3% during the quarter. Operating cost came down and efficiency improved with the cost to income ratio improving to 30.0% for the quarter.
Balance sheet growth remained stagnant at QAR52.4bn despite the issuance of USD500mn senior guaranteed notes during the quarter. Both lending and deposit mobilization during the quarter came down by 3.8% and 1.1% respectively. Asset quality deteriorated further with NPL ratio coming down to 3.41% from 3.35% in 4Q11. However, coverage improved slightly and stood at 76.7% during the quarter vs. 73.1% at the end of 4Q11.
-Ends-
For more information, contact:
Digvijay Tanwar, CFA
Senior Financial Analyst
Research & Publications
Global Investment House
t: (965) 2295 1275
f: (965) 2295 1299
e: dtanwar@global.com.kw
w: www.globalinv.net
P.O.Box: 28807 Safat, 13149 Kuwait
© Press Release 2012
