The QNB Group, which completed the acquisition of 99.88% stake in Turkey’s Finansbank this year, has reported 11% jump year-on-year in net profit to QR9.7bn in the first nine months of 2016.
“After completing the acquisition of Finansbank, QNB Group solidified its position as the largest financial institution in the Middle East and Africa (MEA) region. This is a result of QNB Group’s strong financial position, high quality of its assets and its largest position in the financial services sector,” said a spokesman of the largest bank in the MEA region.
Total assets soared 37% to QR713bn; the highest ever achieved by the group in the MEA region.
The growth in assets was driven by loans and advances which grew 38% to QR507bn. At the same time it increased its customer funding by 31% to QR501bn, which led the group’s loans-to-deposit ratio reach 101.3%.
QNB’s prudent cost control policy and strong revenue generating capability allowed it maintain an efficiency ratio (cost-to-income ratio) of 30%, considered one of the best ratios among large financial institutions in the region.
The group was able to maintain the ratio of non-performing loans to gross loans at 1.8%, a level considered one of the lowest amongst large banks in the MEA region, reflecting the high quality of its loan book and the effective management of credit risk.
The bank’s conservative policy in regard to provisioning, improved the coverage ratio to reach 130% as on September 30, 2016. Total equity increased by 26% to QR76bn at the end of nine months ended September 30, 2016. Earnings-per-share was QR11.5 at the end of September this year compared to QR10.4 in the comparable period of 2015.
Capital adequacy ratio stood at 14.3% as on September 30 this year, which is higher than the regulatory minimum requirements of the Qatar Central Bank and the Basel Committee.
Based on the group’s continuous strong performance and its expanding international presence, QNB maintained its position as the most valuable bank brand in the MEA region. This continues to recognise QNB’s position as the largest financial institution across the region and the value inherent in the QNB brand.
The QNB Group, through its subsidiaries and associate companies, is present in more than 30 countries across three continents providing a comprehensive range of products and services. Staff in the Group exceeds 27,300, serving more than 20mn customers through 1,200 locations and 4,300 ATMs.
LEAVE A COMMENT Your email address will not be published. Required fields are marked*
Japan’s inflation data shows BoJ stimulus barely moving price dial
Pakistan textile exports jump to $1.20bn in May
Opec agrees modest oil output hike after Saudi and Iran compromise
Ex-1MDB investigator is new Malaysian central bank chief
Indonesia’s growing thirst for coffee drains premium bean supplies
Google engineers refused to build security tool to win military contracts
World stock markets shrug off opening salvoes in trade war
India trade officials plan talks with US on tariffs next week
Telecom sector could become investors’ favourite on Wall St