QIIB announces its results for the first quarter (Q1) of 2021

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  • Assets increased by 3.5%, to QR 62.3 billion
  • Financing assets grew by 9.2% and amounted to QR 42.0 billion
  • Net profits reached QR 280.7 million with a growth rate of 5.1%
  • Net operating income to QR 436.5 million with a growth rate of 2.5%
  • Earnings per share stood at 0.19 and Capital Adequacy Ratio at 17.38%

 

His Excellency Sheikh Dr. Khalid bin Thani: “The positive trends of the local business sector in the first quarter reflected on our results.”

Dr. Al-Shaibei: “We strongly seek to encourage innovation, provide suitable technological and financing solutions and expedite our digital transformation.”

DOHA, April 27, 2021: QIIB Chairman and Managing Director HE Sheikh Dr Khalid bin Thani bin Abdullah al-Thani announced the results of the bank’s activities for the first quarter that ended on 31/3/2021, which showed positive results and remarkable progress in the various items of the Bank's balance sheet.

At the end of the first quarter (Q1) of 2021, the bank was able to achieve a net profit of QR 280.7 million compared to QR 267.0 million at the end of Q1-2020, with a growth rate of 5.1%

At the end of the meeting of the bank’s Board of Directors held to discuss the results of the first quarter of 2021, HE Sheikh Dr Khalid bin Thani said, “We are pleased with the bank's continuing performance amid the challenges. It is clear that QIIB was able to adapt its strategy to the latest market developments and benefit from the great potentials of the Qatari economy in all fields and sectors, with the support, patronage and guidance of His Highness Sheikh Tamim bin Hamad al- Thani, the Amir of the State of Qatar".

He said, "The positive trends seen in the local business sector in the first quarter of 2021 have reflected on our results. In fact, we are reaping today fruits of the wise decisions taken by the government since last year to face repercussions of the Coronavirus pandemic, which had the greatest impact on many sectors. And praise be to God, the Qatari economy was able to keep its steady growth and achievements, and maintain its leadership and prosperity, which reflected on the banking sector and its ability to achieve its plans and strategies".

HE the Chairman and Managing Director noted, “QIIB succeeded in facing unexpected risks and continued to achieve growth and positive results. Most importantly, it was able to transform challenges into opportunities and expedite its digital transformation plans in a very effective manner, which positively impacted on its operating efficiency. In fact, this is very encouraging because it opens up new horizons for the bank, and makes us rely on the experiences we have accumulated for the benefit of our bank, customers and shareholders alike".

He affirmed, "QIIB continued to work with the various sectors and participate in the financing of many projects, such as infrastructure and those related to SMEs. The bank also actively interacts with various business sectors, reflecting the confidence of these sectors in QIIB as a major provider of banking services and the Bank’s ability to respond to market competition and take its financing activities to a whole new level, while maintaining a distinguished risk management policy. This has been attested by the low level of bad or non-performing debts, which are considered among the lowest in the local banking sector".

HE Sheikh Dr Khalid bin Thani expressed his satisfaction with QIIB’s continuous path towards excellence and ability to achieve strong financial position reflected by the bank’s credit ratings.

“Capital Intelligence affirmed QIIB’s rating at ‘A’ with a stable outlook, preceded by Fitch that affirmed the bank’s already strong rating at ‘A’ with a stable outlook. Similarly, Moody’s affirmed the bank’s rating at ‘A2’ with a stable outlook”.

HE the QIIB Chairman and Managing Director expressed his optimism about the upcoming period and the bank’s continuous positive performance, especially with the new stimulus package approved by the government to face any possible repercussions that may result from the lockdown decisions due to the spread of the Coronavirus.

With regard to the banking sector, these decisions mainly stipulated that Qatar Central Bank will continue to support the liquidity of local banks, as needed, which would strengthen the positions of Qatari banks and give them exceptional support to face the market's latest developments”.

HE Sheikh Dr Khalid stressed, “The bank will continue to focus its strategy during the upcoming period on the local market, while cooperating with the various economic sectors, financing multiple projects and paying special attention to small and medium enterprises, as they are key contributors to serving the Qatari community, in line with the principles of Qatar National Vision 2030.”

He praised the sincere efforts made by QIIB executive management and staff in order to achieve positive results, improve performance and respond to competition, and challenges related to the unexpected circumstances, while seeing positive trends in various performance indicators.

He urged all QIIB employees to continue their efforts in order to strengthen the Bank’s position and achieve the best results for the benefit of all”.

For his part, QIIB CEO Dr. Abdulbasit Ahmed al-Shaibei detailed the bank’s results for Q1-2021, and stated, “QIIB’s net operating income at the end of the first quarter amounted to QR 436.5 million compared to QR 426.0 million at the end of the first quarter of 2020, with a growth rate of 2.5%, meanwhile the bank also continued to improve its operation efficiency, which contributed to further drop of the cost-to-income ratio to be at 18.9%, which is considered one of the best ratios in the Qatari banking sector. The bank maintained a low ratio of non-performing loans at the level of 1.57%, which confirms the quality of the bank's financing portfolio”

 

"QIIB’s total assets at the end of the first quarter increased by 3.5% to QR 62.3 billion  compared to QR 61.3 billion during the corresponding period of 2020".

Dr Al-Shaibei said, "The bank's financing assets increased to QR 42.0 billion by the end of Q1- 2021 compared to QR 38.5 billion at the end of the corresponding period of 2020, which represents a growth rate of 9.2% ".

The CEO pointed out, "The volume of deposits increased to QR 38.2 billion at the end of Q1, 2021, while the capital adequacy ratio (under Basel III) reached 17.38%, higher than the ratio required by the Qatar Central Bank, which is 12.5%”.

He affirmed, "QIIB results during the first quarter reflect harmony with the indicators of the Qatari economy, which was able to overcome the various emerging circumstances, especially those related to the Coronavirus pandemic and the global market turmoil resulting from the persistence of the pandemic in various countries around the world”.

Dr Al-Shaibei stated, “We are following up the implementation of our strategic and interim plans set by the bank’s board of directors, which focus on the local market and the financing of various large and infrastructure projects. We are also paying special attention to SME’s enterprises, on account of their tremendous impact on development, as QIIB continues to partner with Qatar Development Bank in this regard.

“Moreover, we believe that the government’s decision to extend the national guarantee program to support these projects will have a positive impact on their continuity at a good pace”.

The CEO pointed out, “During the first quarter of 2021, QIIB continued to encourage innovation with a view to provide technological and financing solutions that meet the needs and aspirations of our customers. We were able to make a qualitative addition to our bouquet of digital services by providing financing to customers through digital channels (mobile banking and internet banking).

“Clients can now obtain personal financing without need to visit the bank’s branches, which is one of the solutions provided by the bank in the context of its digital transformation process. Many similar steps have already been taken by the bank in response to the emerging circumstances and challenges”.

In terms of digital transformation, Dr al-Shaibei stated, “QIIB was the first bank in Qatar to announce the launch of the visual banking phone service, which is an important channel, which customers can use through their mobile phones to acquire many banking services without the need to visit the bank’s branches. The bank recently launched QIIB-Pay platform for contactless payment services. And we are currently focusing on developing our digital channels, as most of the bank's services are now available through these channels. We hope that all services will be provided through the digital platforms in order to easily meet the customers’ banking needs and increase QIIB operating efficiency”.

Dr. Al-Shaibei expressed his optimism about the upcoming period and the ability of QIIB to achieve the targeted growth numbers and gradually implement the established plans, while relying on its high financial worthiness and ability to benefit from the opportunities available in the local market, responding to the market challenges and competition and choosing the appropriate external low risk opportunities”.

In the field of human resources, the QIIB CEO affirmed, “QIIB continues to implement its Qatarisation policy and attract Qataris to join the bank’s various departments, while providing them with career advancement opportunities through qualification and training, and appointing them in specialised and supervisory positions with the aim of enhancing the presence of Qataris across all cadres of the Bank".

With regard to corporate social responsibility, Dr. Al-Shaibei pointed out, “QIIB places its role in serving the community at the top of its priorities, thus seeking to offer banking products and services that bring value addition to society and meet the society’s needs in an efficient and appropriate manner. The Bank also continues to build partnerships as well as support and sponsor many community initiatives in various fields, with a focus on education, obviously because of its role in the progress and development of society”.