Doha Bank achieves 2.9% profit growth with impressive ratios

Doha – (Masaader News)

His Excellency Sheikh Fahad Bin Mohammad Bin Jabor Al-Thani, Chairman of the Board of Directors of Doha Bank, announced Doha Bank’s financial results for the first quarter of 2017. Net profit for the first quarter of 2017 recorded an impressive QAR 364 million as compared to QAR 354 million for the same period in 2016 showing an increase of 2.9%. H.E. Sheikh Fahad said “This is another outstanding result and is clear demonstration that Doha Bank continues to perform consistently.”

The Bank increased net operating income by 1.0% to QAR 724 million. Total assets increased by QAR 6.1 billion, a growth of 7.2%, from QAR 84.6 billion as at 31 March 2016 to QAR 90.7 billion as at 31 March 2017. Net loans and advances increased to QAR 59.5 billion as at 31 March 2017 from QAR 56.8 billion for the same period last year, registering a growth of 4.6%. Customer deposits showed a year on year increase of 5.0% from QAR 51.4 billion to QAR 54.0 billion as at 31 March 2017 which is evidence of the strong liquidity position of the Bank.

H.E. Sheikh Abdul Rehman Bin Mohammad Bin Jabor Al-Thani, Managing Director of Doha Bank said “The Bank has become extremely strong over the years with total equity, as at 31 March 2017, at QAR 13.0 billion, registering an increase of 2.0% during the last twelve months. Through the strategic utilization of the shareholder’s funds by way of increasing our performance levels the return on average shareholders’ equity is 16.3% as at 31 March 2017 one of the best in the industry. The Bank, given the scale of operations, has achieved a very high return on the average assets of 1.61% as at 31 March 2017 which is a clear demonstration of the effective utilization of shareholder’s funds and optimum asset allocation strategies”.

In light of the bank’s strong performance, Doha Bank approved and distributed 30% cash dividend to the shareholders for the year 2016. During the quarter, the EGM agreed to increase the bank’s capital by 20% by way of a Right’s issue. Dr. R. Seetharaman, Chief Executive Officer of Doha Bank, said “Despite the challenging market conditions, Doha Bank’s strong performance throws light on its superior products and services, ongoing customer demand, capitalizing on market synergies.”

Doha Bank continued its growth through key innovations, achievements and initiatives. In the first quarter of 2017, the bank has unveiled a new first-of-its-kind mobile application ‘Doha Bank My Book Qatar’. The app is an ever-growing source of deals and voucher schemes that cover dining, beauty and wellness, leisure activities, health services and kids’ activities. Furthermore, to meet customer expectations, the bank has launched new international Money Transfer to 200+ countries via Mobile, improved customer experience on log-ins and payments on the mobile app, a new home loan campaign with attractive interest rates and grace period. In addition, the bank has relocated its Airport road branch during the quarter. During the year, Doha Bank signed an agreement with Mastercard to introduce a number of payment solutions in Qatar. Dr. R Seetharaman said: “This partnership is in line with Doha Bank’s overall strategy to bring the utmost value to employers and equally to payroll customers within the entire framework of the Wage Protection System (WPS) implementation.” The bank has also entered into a tie up with Ahli United Bank in Egypt for e-remittance services to existing and new customers.

In recognition of Doha Bank’s ability to maintain strong growth trajectory, total asset growth, loan growth and deposit growth year-on-year, Doha Bank’s credit ratings were re-affirmed by various credit rating agencies. Capital Intelligence affirmed Doha Bank’s current ratings, upgraded the Long-Term Foreign Currency Rating to ‘A+’ and revised the outlook to ‘Stable’. Additionally, Moody’s has assigned A2 / Prime-1 deposit rating to Doha Bank in their semi-annual update published in March. S&P has affirmed the BBB+ financial rating of Doha Bank Assurance Company, 100% owned subsidiary of Doha Bank Commenting on the ratings, Dr. R. Seetharaman said “These ratings recognizes Doha Bank’s sustainable business model in response to changing market conditions in Qatar and in overseas.”

During the quarter, Doha Bank held a knowledge sharing session in Qatar on the topic ‘Changing International Dynamics on Foreign Policies and Allied Opportunities’. This was preceded by Breakfast Meetings with the theme ‘Financial & Business Solutions for SMEs’ and a business meet in South Korea, which was well attended by senior government representatives and business community. In addition, the Bank participated in a panel discussion focusing on the topic of ‘E-Commerce as a tool for better SME integration into Global Value Chains’. Furthermore, the Bank has also conducted an SME camp at one of their key branches to address customer needs and identify new prospects.

Through participation in career fairs, Doha Bank is committed to hiring the best talent in the country. During the quarter, the bank participated in the career fairs organized by Qatar University and Community College. The Bank also participated in career fairs held in Kuwait and Dubai. As part of employee engagement, the Bank organized various sports events involving the staff with their families.

During the quarter, Doha Bank was awarded the ‘Best Commercial Bank, Qatar 2016’ at the International Financial Magazine Awards 2016 and two awards at the EMEA Finance Middle East Banking Awards 2017 – ‘Best Local Bank in Qatar’ and ‘Most Innovative Bank in the Middle East’. Dr. R. Seetharaman lauded the efforts of the team and said, “Doha Bank has been at the forefront of developing leading banking solutions for our valued customers in Qatar and across the region.” Recently, Doha Bank was honored with ‘Golden Peacock Award for Corporate Social Responsibility in the Global Category’ by the Institute of Directors, ‘Best Trade Finance Bank’ at the Global Finance Awards 2017 and ‘Company of the Year Award’ by Qatar University. Making it 10 years in a row, Doha Bank has renewed the ISO 20000-2011 certification for its continuous compliance to global standard for IT Service Management.

As part of its commitment to society, environment and raising awareness of sustainable development issues, Doha Bank was involved in various activities during the year. Doha Bank organized the 12th edition of ‘Al Dana Green Run’ in January where in as many as 6000 residents supported the event. Earlier during the year, Doha Bank organized its annual ECO-Schools Programme awards, which aims to recognize schools that play an active role in propagating the concept of eco-consciousness amongst students and demonstrated a high degree of innovation and creativity in successfully completing their green projects as part of the Programme. Doha Bank also joined hands with Hamad Medical Corporation to hold blood donation drive. In its continued support of Earth Hour, Doha Bank participated by switching off the lights in its corporate headquarters and branches across Qatar.

 

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