EARNINGS RELEASE First Half 2019
• Net profit of QAR 352 million, an increase of +5% year on year
• Net Operating Income grew 5% quarter on quarter, ending at QAR 592 million
• Operating expenses of QAR 161 million, 3% lower compared to H1, 2018
• Impairments at QAR 66.5 million, 38% lower compared to H1, 2018
Doha, July 24, 2019: Al Khalij Commercial Bank (al khaliji) P.Q.S.C., announced its financial results for the half year ended June 30, 2019, reporting a Net Profit of QAR 352 million. This represents an increase of 5% over its financial results for the same period of last year.
His Excellency Sheikh Hamad Bin Faisal Bin Thani Al Thani, Chairman and Managing Director stated:
“We are pleased to report another quarter of improved profitability. We have had a successful first half as we have selectively navigated and capitalized on opportunities during this period. Qatar’s economy is sound and we have seen growth picking up in the banking sector. We are confident of achieving our targets for the year”.
Commenting on the performance for the first half of 2019, Fahad Al Khalifa, al khaliji’s Group Chief Executive Officer said:
“al khaliji is reporting a consistent set of results for the first half of 2019, which are the outcome of our efforts to selectively pursue assets and manage margins. In achieving these results, we have continued to maintain an efficient cost base, and built adequate provision buffers. With these efforts, we are pleased to report a half-yearly net profit of QAR 352 million, 5% higher year on year.
We continued to focus on managing our margins in the second quarter of the year, and managed to lower our cost of funding. While our interest bearing assets are lower than last year, our yield has improved.
The bank continues to focus on maintaining an efficient cost base, and for H1, 2019 our costs are 3% lower year on year, with a cost to income ratio of 27.2 % - one of the lowest in Qatari banks.
Credit quality also remains high on our agenda, and while we continued to remain prudent in our provisioning, impairments charges are 38% lower year on year.
We are experiencing good momentum in the sector and expect growth in the second half. This will contribute positively to the income statement and growth of the bank.”