This website stores cookies on your computer. These cookies are used to improve your website experience and provide more personalized services to you, both on this website and through other media. To find out more about the cookies we use, see our Privacy Policy. We won't track your information when you visit our site. But in order to comply with your preferences, we'll have to use just one tiny cookie so that you're not asked to make this choice again.

QNB posts net profit of QR3.6bn for 1Q 2020; total assets up 9%

 QNB Group, the largest financial institution in the Middle East and Africa (MEA) region, reported a net profit of QR3.6bn ($1.0bn) for the three months ended March 31, 2020, in line with March 2019 profitability.

Total Assets reached QR964bn ($265bn), an increase of 9 percent from March 31, 2019. Strong growth in Loans and advances by 13 percent to reach QR708bn ($194bn), contributed to the growth in Total Assets. Strong customer deposits generation helped to increase customer deposits by 11 percent to reach QR706bn ($194bn) from 31 March 2019.

This helped QNB Group to maintain its loans to deposits ratio at 100 percent as at 31 March 2020.

Thanks to QNB Group’s robust risk management practices, the first quarter results of QNB Group were not materially impacted by the sudden onset of the covid-19 pandemic. QNB Group has taken all the necessary actions to protect the well-being of its employees, customers and shareholders. In addition, the Group opted to build more loan loss provisions during the first quarter of 2020 as a precautionary measure, QNB Group said in a statement yesterday.

QNB Group improved efficiency (cost to income) ratio from 25.9 percent to 25.6 percent, which is considered one of the best ratios among large financial institutions in the MEA region.
NPL ratio amounted to 1.9 percent as at 31 March 2020, one of the lowest amongst financial institutions in the MEA region, reflecting the high quality of the Group’s loan book and the effective management of credit risk. 

Also during this quarter QNB Group increased its loan loss provisioning by QR272m ($75m), as a precautionary measure in light of the recent turmoil due to covid-19 pandemic and the associated issues arising from lockdown and slowdown in the key markets where QNB Group operates.

Total Equity increased by 4 percent to reach QR89bn ($24bn) as at 31 March 2020. Earnings per Share maintained at QR0.36 ($0.10), in line with last year.

Group Capital Adequacy Ratio (CAR) as at 31 March 2020 amounted to 18.4 percent higher than the regulatory minimum requirements of the Qatar Central Bank and Basel Committee.

QNB Group serves a customer base of approximately 25 million customers supported by 29,000 staff resources operating from 1,100 locations

Share This Post

related posts

On Top