DOHA: Qatar National Bank (QNB) posted a 25.3 percent increase in first quarter profit as lending surged and returns from its push into Islamic banking more than doubled, the bank said yesterday.
Net profit in the three months to March 31 rose to QR1.27bn, compared to QR1bn in first quarter in 2009, the bank said in a statement. Loans, advances and financing activities increased by 44.3 percent (QR36.1bn) from the first quarter of 2009 to QR117.7bn while net profit from Islamic operations jumped 119 percent to QR 204.3m.
QNB Chairman of the Board of Directors, H E Yousuf Hussein Kamal disclosing the bank's financial results for the three months ended March 31, 2010, yesterday said this performance demonstrates the Bank's ability to maintain its strong track record of delivering a sustained growth in profitability for the benefit of shareholders.
"These outstanding financial results prove once again QNB's strong capabilities and its leading position in the area, along with the ability to record a strong and balanced growth across all its activities," he said.
Total assets grew since March 2009 to QR183.2bn, showing an increase of QR42.5bn or 30.3 percent. Customer Deposits and unrestricted investment accounts also grew by QR40bn (43.5 percent) during the period to QR131.9bn.
Net operating income increased by QR341.5m (25.9 percent) to QR1.7bn. The increase in net operating income is mainly due to the increase in net interest income and income from financing activities of QR355.9m (42.7 percent) to QR1.2bn. Net fees and commission income grew by QR44.6m (18.8 percent) to QR281.6m.
Total equity attributable to the Bank shareholders grew since March 2009 to QR19.9bn. This represented an increase of QR3.2bn or 19.4 percent.
QNB Al Islami also succeeded in achieving excellent results during the three months of 2010, with net profit increasing by 119 percent to QR204.3m. Financing activities increased by QR14.7bn (184 percent) to QR22.6bn. QNB Al Islami total assets increased by QR13bn (86.4 percent) to QR28bn.
QNB's Group Chief Executive Officer, Ali Shareef Al Emadi, said: "These excellent results reaffirm QNB's ability to deliver consistent growth in all activities and across all locations in which it operates."
"It is also a reflection of the successful implementation of strategic goals with effective risk management. At the same time, these results are a reflection of QNB's continuous focus on maintaining and enhancing service quality and providing customers with distinctive and innovative products that cater to their growing needs and expectations."
© The Peninsula 2010
