Doha Bank Announces Over 14% Profit Growth with Best Operating Ratios
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 half of 2011. Net profit for the first half of 2011 recorded an impressive QAR 702 million which represented a growth of 14.3% as compared to QAR 615 million for the same period in 2010. H.E. Sheikh Fahad said “This is another outstanding result and is clear demonstration that Doha Bank continues to perform through any business cycle.”
Doha Bank increased Net interest income by 29.2% to QAR 782 million. Total assets increased by more than QAR 4.6 billion, a growth of more than 10.3%, from QAR 44.9 billion as at 30 June 2010 to QAR 49.5 billion as at 30 June 2011. Net Loans & Advances increased to QAR 27.7 billion from QAR 26.6 billion for the same period last year, registering a growth of 4.3%. Deposits showed a year on year increase of 7.2% from 27.2 billion to QAR 29.2 billion as at 30 June 2011 which is evidence of the strong liquidity position of the Bank.
His Excellency Sheikh Abdul Rehman Bin Mohammad Bin Jabor Al-Thani, Managing Director of Doha Bank said “Through the strategic utilisation of the shareholder’s funds in order to maximize our performance levels, the return on average equity is 24% as at 30 June 2011 which is one of the highest in the GCC. The Bank, given the scale of operations, has achieved a very high return on the average assets of 2.9% as at 30 June 2011 which is a clear demonstration of the effective utilization of shareholder’s funds and optimum asset allocation strategies”. Further, H.E. Sheikh Abdul Rehman said “The Bank’s core revenue streams have shown strong growth over the prior year period reflecting on the Bank’s intrinsic strength towards recurring earning capacity and also on the Bank’s productive operational performance”.
Mr. R Seetharaman, Group Chief Executive officer, highlighted the key innovations, achievements and initiatives by Doha Bank in the second quarter of 2011. He said “In compliance with the sound directives of H.H. Sheikh Hamad bin Khalifa Al-Thani, the Emir of the State of Qatar, calling for increasing the percentage of Qatari nationals in all sectors, Doha Bank participated in the Qatar Career Fair to support the Qatar National Vision 2030. Doha Bank was the Gold Sponsors promoting the Bank as the preferred employer for Qatari Nationals. Doha Bank has envisioned a Qatari Development Strategy that will build a strong and quality Qatari Labor force and groom tomorrow’s Leaders of the Banking Industry”.
In line with the new revised regulations issued by Qatar Central Bank (QCB), Doha Bank has fully applied the new regulations on loans against salaries granted to individuals. While commenting on this, Mr.R.Seetharaman said, “Doha Bank has acclaimed the prudent decisions of QCB and viewed the new regulations as constructive since they directly benefit our customers. We are convinced that the new ceiling on personal loans will not curtail consumer lending.
On the local and international expansion strategy, Doha Bank celebrated the opening of two new branches at Umm Salal and Aspire Zone in Doha and inauguration of their Central European representative Office in Germany. In addition, Doha Bank also opened its 1st Payroll Card Centre E-Branch which is located at Grand Hamad Avenue which customized to cater to the employees of corporate customers who benefit from the Payroll Card solution package.
He further commented, “Doha Bank’s Al Dana savings scheme declared the biggest winner for Q.R 2,022,000, 10 lucky winners of QR 20,220 each and a winner of 2022 grams of Gold ascertaining that it the best scheme in market, a program that is imperative to everyone insightful of a money multiplier savings account that will suit the aspirations for winning the best and biggest prizes in town. The supreme pioneering scheme which was first launched in the year 2004 has preserved the upmost credibility throughout the years and essentially suited Qatar as the finest savings program ever. In addition to this, the promotions had the customers elated in the last quarter. The 25% Cash Back at the Qatar Duty Free in the Doha International Airport and 5% cash back every time customers spend overseas for all the Dream Credit Card holders and whopping 25% is the talk of the town. With the launch of LULU-DOHA BANK MasterCard credit card, which is a FREE FOR LIFE CARDS and an INSTANT LOYALTY program, we have gone a step ahead to guarantee customers a 10% savings (until end of August 2011) and 5% savings each time they shop at LULU, elsewhere in QATAR or anywhere around the world”. Not just with the cards, but the Personal Loan promotion we also had a treat to offer with the lowest interest rates in Qatar.
While commenting on the achievements of Doha Bank in last quarter, Mr.R.Seetharaman said, “The Islamic Banking window of Doha Bank, Doha Islamic along with its branches and operations unit has been certified with the coveted ISO 9001:2008 Certification for its Quality Management System. We are the first bank in Qatar to obtain this certification for its Islamic Banking division”. He also added, “The certification marks yet another milestone in Doha Bank’s progressive growth, in ensuring superior quality services to its customers. We had also won this year’s prestigious “Golden Peacock Global Award for Corporate Social Responsibility” appreciating our efforts towards setting the example as a responsible corporate.
On the Corporate Social Responsibility front, Doha Office & UNESCO jointly celebrated the World Environment Day to pay tribute to the “Forests: Nature at your Service” and also launched the nationwide ECO-Schools LOGO Competition along with the launching of the ECO-Schools Program & website. The program began its awareness campaign through a LOGO Competition whereby a number of entries received from various schools all around Qatar. The Top 3 LOGO competition winning entries were awarded by the ECO-Schools Committee based on its symbolism, simplicity and representation impact to the society.
Doha Bank conducted a knowledge sharing session titled ‘Customer Advantage in the Contemporary Financial market’ at Four Seasons Hotel, Doha-Qatar. Mr. R. Seetharaman addressed the gathering as the keynote speaker and explained in detail the impact of the ongoing financial crisis in the functioning of the global economy, on the customer, on currency, commodity, bond, stock and property markets. In addition, Mr. R Seetharaman also moderated a panel discussion comprising of industry experts to discuss the advantages to customer encompassing technology, insurance and convergence, regulatory and accounting trends.
The Business & Investment in Qatar Forum was held in New York was attended by Top International and Arab Bankers, economists and business professionals. Mr. R. Seetharaman attended the panel discussion on Finance and Banking and speaking on the panel he explained the current scenario prevailing in the global economy and the basic challenges economies face in moving from crisis to stability. He stated that “Global economy is expected to grow at 4.4% in 2011. He also highlighted on the agreement by the G20 indicators for measuring imbalances include public and private debt and level of private savings”. In addition to this, Mr. R. Seetharaman, delivered a keynote address on “GCC economy and emerging trends in GCC Bond Market” in the Fixed Income event hosted by Thomson Reuter’s in Doha and also participated in the Panel discussion on “Financial Services: The view from India” at The Global Business Community hosted at the Global India Business Meeting in Naples, Italy.