QIB Profit Grows by 22 Pct in 2015

Doha, January 19 (QNA) - Qatar Islamic Bank (QIB) has announced a net profit (attributable to the shareholders of the bank) of QR 1.95 billion for the year 2015, a 22 percent increase over 2014, the bank said Tuesday in a press release. Basic earnings per share reached QR 8.27 compared to QAR 6.78 in December 2014. In line with the improved profitability, QIB board of directors proposed a profit distribution to shareholders of 42.5% of the nominal share value (QAR 4.25 per share), subject to approval of Qatar Central Bank and general assembly. Total assets of the bank has increased by 32% compared to 2014 and now stands at QAR 127 billion driven by a robust growth in the financing activities that have now reached QAR 87 billion having added QAR 28 billion, representing a 46% growth over 2014. Customer deposits of the bank have registered a strong growth of 37% compared to 2014 and now stand at QAR 92 billion. Total income for the year ended December 31, 2015 was QAR 4,508 million, registering 24% growth compared to QAR 3,633 million for 2014. Income from financing and investing activities has grown by 26% to reach QAR 3,893 million at the end of 2015 compared to QAR 3,093 million for 2014, reflecting a healthy growth in the bank's core operating activities. The statement added that QIB was able to maintain the ratio of non-performing financing assets to total financing assets at less than 1%, one of the lowest in the industry, reflecting the quality of the bank's financing assets portfolio and its effective risk management framework. QIB continues to pursue the conservative impairment policy with the coverage ratio for non-performing financing assets reaching 113% as of December 2015 up from 102% as of December 2014. QIB Chairman HE Sheikh Jassim bin Hamad bin Jassim bin Jaber Al Thani said that "these positive financial results reflect the successful implementation of the bank's strategy to grow its financing and investment activities during 2015." "The bank has also managed to strengthen the key performance and risk metrics through proactive financial and risk management," he added. He concluded the board meeting by expressing his deep gratitude to QIB's shareholders and clients for their trust in the bank, and his appreciation to the board of directors and employees for their contribution and continuous efforts towards achieving positive results. International ratings agency Fitch has upgraded QIB's long term IDR to 'A+' from the previously held 'A' with a stable outlook. Capital Intelligence (CI) has rated QIB's Financial Strength Rating (FSR) of 'A', with 'stable' outlook in view of the significant improvement in financing asset quality and stabilized return on average assets. Standard and Poor's Rating Services has retained QIB's counterparty credit rating at 'A-' with a stable outlook. (QNA)