Qatar Islamic Bank (QIBK) Q3 2024 earnings summary

Executive summary

• Net profit for nine months ended September 30, 2024, reached QAR 3.265 billion, up 6.9% year-over-year; Q3 net profit was QAR 1.2 billion, up 9.1% year-over-year and 8.1% sequentially from Q2 2024.

• Largest Islamic bank in Qatar with 36% of total assets among listed Islamic banks and second largest overall by assets, financing, and net profit.

• Maintains a strong domestic presence with selective international operations in the UK, Sudan, and Lebanon.

• Supported by strong government backing, robust brand, and ongoing digital transformation initiatives.

• Reviewed interim condensed consolidated financial statements as of 30 September 2024, with no material misstatements identified by the independent auditor.

Financial highlights

• Total assets reached QAR 197.5 billion, up 5.7% year-over-year and 4.4% from December 2023.

• Financing assets grew to QAR 127.7 billion, up 4.9% year-over-year and 4.4% year-to-date, driven by private sector credit.

• Customer deposits increased to QAR 126.4 billion, up 4.6% from December 2023.

• Total income before cost of deposits reached QAR 8.6 billion for the nine months, up from QAR 7.8 billion year-over-year.

• Basic and diluted EPS for the nine months was QAR 1.38, compared to QAR 1.29 for the same period last year.

Outlook and guidance

• Management expects to maintain NIMs with only marginal impact from potential rate cuts; no significant deterioration anticipated.

• Loan book growth is expected to remain in the 5%-6% range for the year, in line with medium-term sector expectations.

• Interim cash dividend of QAR 0.25 per share (QAR 590.7 million) approved for the six months ended 30 June 2024.

• Cash dividend of QAR 0.725 per share (QAR 1,713.1 million) paid for 2023.

• Operates in one of the fastest-growing economies, with strong government and regulatory support.