al khaliji net profit rises 3% to QR372 mn in H1

Tribune News Network Doha Al Khalij Commercial Bank (al khaliji) on Thursday reported a net profit of QR372 million in the first half of 2021, representin...

Tribune News NetworkDoha Al Khalij Commercial Bank (al khaliji) on Thursday reported a net profit of QR372 million in the first half of 2021, representing an increase of 3 percent over the same period of last year.The bank’s net operating income grew 13 percent year-on-year to reach QR750 million.The bank’s operating expenses of QR168.5 million in the first half of 2021 resulted in a cost to income ratio of 22.5 percent, while loans and deposits increased by 12 percent and 9 percent year-on-year respectively.The capital adequacy ratio of the bank stood at a healthy 20.3 percent. Commenting on the results, al khaliji Chairman and Managing Director Sheikh Hamad bin Faisal bin Thani Al Thani said, “We are pleased to report a steady set of results for the first half of the year. These results demonstrate our continued focus and commitment to serving our customers and creating value for our shareholders. We also continue to make progress in implementing the merger announced with Masraf Al Rayan on January 7, 2021. In this respect, we have recently announced that Fahad Al Khalifa will be leading the merged entity as Group Chief Executive Officer. We will continue providing updates on significant developments and progress of the transaction.”Commenting on the performance for the first half of 2021, al khaliji Group Chief Executive Officer Fahad Al Khalifa said, “I am proud of our positive set of results for the first half of 2021. The increase in profitability comes on the back of strong growth of 13 percent in operating income, and diligent management of operating expenses, resulting in a net profit of QR372 million. As the economy returns to normalcy and major economic sectors open up for business, we have still maintained a cautious approach to provisioning, further strengthening our coverage. With a strong capital base, good liquidity, provision coverage and efficient control of costs, we are well-positioned to achieve our objectives for the year.”“While focusing on running al khaliji, the teams and I are also devoting significant time ensuring progress in implementing the merger with Masraf Al Rayan. In this regard, an Integration Management Office (IMO) has been set up, where teams from both banks with the support of a reputed international consultant have made significant progress in planning for the implementation of the merger. The Qatar Financial Markets Authority (QFMA) also approved the merger application filed with them. We also expect to hold the Extra Ordinary General Assemblies of shareholders at both banks within 2021 subject to prerequisite regulatory approvals, paving the way for completion of the merger. Our collective ambition is to deliver a best in class merged Islamic bank to our customers,” Khalifa said.