Dukhan Bank (DUBK) Q4 2025 earnings summary

Executive summary

• Achieved record net profit of QAR 1.41 billion for FY 2025, up 5% year-over-year, with strong asset quality, prudent risk management, and operational efficiency.

• Total assets reached QAR 123.8 billion, with financing assets at QAR 90.0 billion and customer deposits at QAR 87.8 billion, both showing healthy annual growth.

• Maintained robust liquidity and capital adequacy, with a focus on digital innovation, Sharia-compliant solutions, and strong government linkage.

• Recognized for excellence in digital transformation, private banking, and sustainability, winning multiple regional and global awards in 2025.

• Consolidated financial statements for the year ended 31 December 2025 were audited and present a fair view in accordance with AAOIFI standards as modified by QCB.

Financial highlights

• Net banking income grew 6% year-over-year to QAR 2.83 billion, supporting profitability.

• Financing assets grew 4% YoY to QAR 90.0 billion; customer deposits up 5% YoY to QAR 87.8 billion.

• NPL ratio improved to 4.2% from 4.6% last year; provision coverage rose to 75.7%.

• Cost-to-income ratio at 33.6%, reflecting disciplined cost management and digitalization initiatives.

• Earnings per share (EPS) was QAR 0.227, compared to QAR 0.244 in the prior year.

Outlook and guidance

• Expect mid-single digit balance sheet growth in 2026, led by wholesale and private banking.

• Profitability growth to mirror balance sheet expansion, with stable NIMS and cost of risk guided at 55-60 bps.

• ROE targeted to rise from 11% to 13% in two years, reaching 14%-15% in five years.

• Cost-to-income ratio expected to stabilize at 30% in 2026, with a long-term goal in the mid-twenties.

• The Group continues to monitor the impact of geopolitical events post-reporting date, with no material impact expected.