Masraf Al Rayan, a leading bank in Qatar and the region, announced today its financial
results for the nine months ended 30 September 2018, delivering a net profit of QAR 1,632
million with an increase of 4.5% compared to the similar period in 2017, with assets growing
by 1.0% to reach QAR 99,603 million. The quality of the bank assets (both financing assets & investments)
continues to be one of the highest in the region and globally, maintaining a non-performing financing ratio
(NPL) of 0.64% which has been maintained consistently within this level for the last many years.
Masraf Al Rayan continues to lead the banking sector with one of the best operational efficiency ratio of 23.12% compared to its peers in the market.
On the profitability indicators,
Masraf Al Rayan again continued to
maintain its leading position with return
on average assets at 2.15% and return on
average equity at 16.72%, despite depositors'
share of profits increasing by 12.9% due to
higher cost profits on deposits at local and international levels.
In his comments on the results, His Excellency Dr. Hussain Al Abdulla, the Chairman and Managing Director of Masraf Al Rayan, expressed his satisfaction over the results, stating that it is within
expectations and in line with the positive indicators of the Qatari economy. The positive results were backed by a rise in international oil and gas prices and a strong performance of exports, which
constitute an additional surplus in the State’s budget at a time when financial markets are still suffering from successive disruptions.
His Excellency Dr. Al Abdulla added: “We are focusing our attention in Masraf Al Rayan on the meaningful contribution to the national economy through our support to infrastructure projects and projects
that add value to the national economy. In order to fulfill Masraf Al Rayan’s responsibilities towards its community, we are also working to ensure the success of Qatar's pioneering experience in hosting
the 2022 World Cup, and contributing to the implementation of Qatar National Vision 2030”.
Mr. Adel Mustafawi, Masraf Al Rayan's Group Chief Executive Officer, credited the announced financial results to the methodical implementation by the executive management of the prudent strategy
set by the Board of Directors, which paved the way to develop high quality assets while maintaining diversity and serving a wide range of customer segments.
Mr. Mustafawi noted that the bank's financial position remains solid with consistent asset quality and profitability.
This came in line with the management’s ability to adapt to the current market conditions by working with dynamism and
flexibility, which reflected positively on all financial indicators. He further disclosed the following consolidated financial statements results:
- The bank has constantly shown the ability to rapidly respond to changes in the economic environment leading to growth in profitability of 4.5% YoY to reach QAR 1,632 million in the nine months of the year.
- Total assets reached QAR 99,603 million compared to QAR 98,613 million as of 30 September 2017, an increase of 1.0%.
- Financing activities reached QAR 74,157 million compared to QAR 68,482 million as of 30 September 2017, an increase of 8.3%.
- Investments reached QAR 19,462 million.
- Customer deposits increased to QAR 64,477 million compared to QAR 60,052 million as of 30 September 2017, an increase of 7.4%
- Shareholders' equity reached QAR 12,834 million compared to QAR 12,766 million on 30 September 2017, an increase of 0.5%
Masraf Al Rayan Products & Services
- Return on average assets continues to be one of the highest in the market at 2.15%.
- Return on average shareholders' equity of the bank reached 16.72%.
- Earnings per share for the period reached QAR 2.18 compared to QAR 2.08 for the period ended 30 September 2017.
- Book value per share reached QAR 17.11 compared to QAR 17.02 as of 30 September 2017.
- Capitalization remains strong with CET 1 at 18.18% and total CAR at 19.04%, well above the regulatory requirements including all buffers under BASEL III and Qatar Central Bank standards.
- Cost income ratio is 23.12% due to optimal management of costs which is an incredibly efficient position in current market situation.
- Non-performing financing (NPF) ratio remained at 0.64% reflecting a very strong and prudent credit risk management policies and procedures.
Masraf Al Rayan continues to focus on providing integrated
Sharia- compliant financing solutions for retail and businesses customers, as the bank has traditionally provided banking and financing solutions for individuals to meet their increasing different needs.
In the corporate sector, Masraf Al Rayan has a wide range of banking and financing solutions, all of which are compatible with the provisions of the Islamic Sharia.
Masraf Al Rayan focuses also on developing its use of advanced technological resources offering comprehensive
banking services via alternative channels such as retail and corporate internet banking, mobile banking App and telephone banking.
Masraf Al Rayan continues to focus on diversifying its products and advancing its services to meet the increasing needs of its client base with the required flexibility and maximum
level of ease, using new technologies to enable optimal customer experience.
Human resources and training
Masraf Al Rayan’s executive management continues to avail the necessary resources,
training and development to all employees across the organization and especially Qataris to enable them to provide the best quality of customer service.
Social and environmental responsibility
Masraf Al Rayan continues to honor its societal role, taking responsibility,
and providing great support to members of the community in several categories to improve their living conditions and build a better society.
The participation of Masraf Al Rayan is not confined to public issues, but extends to other important domains, including preserving the environment and avoiding harmful behavior, and encouraging healthy and sporting activities of individuals in various fields