Ahlibank reports QR353mn net profit for first half

Ahlibank has earned a net profit of QR353.2mn during the first half of 2018, up 3.2% or QR11.0mn over the same period last year, it was announced in a statement yesterday.

The bank said it was able to grow its net interest income, non-interest income, and total operating income in the first six months of 2018, over the first half of 2017. Meanwhile, operating expenses remained under control over the previous corresponding period, it further said.

Ahlibank’s loans and advances grew by 5.1% over June 2017 to QR28.2bn, while total customer deposits increased by 2.1% as against June 2017 to QR22.5bn “despite challenging market conditions.”

Total operating income increased by 3.9% to QR538.1mn on account of higher net interest income and higher non-interest income year over year. Cost to income ratio for the six months remained steady at 29.0%, reflecting efficient management of bank’s operations.

The return on average assets (ROAA) and return on average equity (ROAE) stood solid at 1.85% and 13.9%, respectively despite higher average asset balances and equity base.

Non-performing loans ratio (NPL) stood at 1.25% as of June 2018 reflecting bank’s focus on asset quality over balance sheet growth. Loan loss provisions, including IFRS 9 expected credit losses as of June 2018 were sufficient to cover 184% of non-performing loans.

Ahlibank chairman and managing director Sheikh Faisal bin AbdulAziz bin Jassem al-Thani said: “Ahlibank’s financial performance reflects Qatar’s economic climate, which proved resilient, stable, and made consistent progress. The half yearly results were therefore very satisfactory.

“We are committed to our vision, which is to be at the heart of the community, a journey that started 35 years ago and continues with full vigour. We are also determined to ensure sustained delivery of steady results and creating value for our shareholders. Our focus on building infrastructure continues with investments in technology that will support future growth.”

He added: “We are pleased to see that Moody’s has affirmed Ahlibank’s A2/Prime-1 deposit ratings. Fitch Ratings has also affirmed Ahlibank’s Long Term Issuer Default Rating (IDR) at ‘A’.

“Both the rating agencies have revised the outlook to stable. These ratings make us proud of what we have achieved. On a final note I would like to thank the Qatar Central Bank for their leadership, support and guidance.”

“We are committed to our vision, which is to be at the heart of the community, a journey that started 35 years ago and continues with full vigour,” says Sheikh Faisal.