The bank’s board of directors, at their meeting held in Doha Monday, recommended a cash dividend distribution of QR2 per share, representing 20% of the paid-up capital.
The recommendation is subject to the approval of the shareholders at their general assembly scheduled to be held on February 25.
Masraf Al Rayan chairman and managing director Dr Hussain al-Abdulla said, "The results achieved are considered satisfactory in light of the current situation in the region and the recent declines in energy prices, especially as these results represent growth of Masraf Al Rayan on more than one level, which the board of directors, in collaboration with the executive management and employees of the bank, seeks to achieve year after year. The growth is moreover in line with the overall growth achieved by the State of Qatar, thanks to the policies set by the Qatari leadership.”
Al-Abdulla “expressed his satisfaction” with the figures highlighted by the financial indicators, which placed Masraf Al Rayan among the “leading banks” in Qatar, especially in terms of operational efficiency and the low ratio of non-performing financing.
“This was reflected in the profitability and earning per share which maintained its stability throughout the year.”
Group chief executive officer Adel Mustafawi said the “results achieved were decent” with the increase in net profit.
He said the bank’s total assets reached QR97.2bn in December 2018 compared to QR102.9bn in December 2017.
Financing activities reached QR72.1bn in end-2018 compared to QR72bn in December last year, while investments amounted to QR19.5bn compared to QR23.9bn.
Customers' deposits totalled QR61.5bn in end-2018 compared to QR62.5bn in December 2017.
Shareholders' equity before distribution reached QR13.2bn compared to QR13.1bn in December 2017.
Masraf Al Rayan said its return on average assets continues to be one of the highest in the market at 2.13%
Return on average shareholders' equity of the bank, before distribution, was 16.1%. Earnings per share for 2018 reached QR2.84, compared to QR2.70 for 2017
Book value per share, before distribution, was QR17.7, compared to QR17.59 in December 2017.
Capital adequacy ratio reached 19.23% compared to 19.32% in 2017.
Non-performing financing (NPF) – analogous to non-performing loans – ratio of 0.83% continues to be one of the lowest in the banking industry, reflecting a very strong and prudent credit risk management policies and procedures
Moody's Global Investors Services has reaffirmed the outlook for Masraf Al Rayan to "stable" and therefore the current rating of Masraf Al Rayan is A1 / Prime-1 with a stable outlook.
This rating reflects the bank’s strong government-linked position in Qatar, its ability to diversify sources of income, stability in asset quality and a low NPF ratio.