Qatar National Bank (Q.P.S.C.) (QNBK) Q1 2025 earnings summary

Executive summary

• Net profit for Q1 2025 reached QAR 4.344 billion (USD 1.17 billion), up 3–3.3% year-over-year, with EPS at QAR 0.43 (USD 0.12); excluding new global minimum taxes, net profit rose 11%.

• Operating income increased to QAR 10.85 billion (USD 3 billion), reflecting broad-based revenue growth.

• QNB is the largest bank in MEA by all balance sheet metrics, present in over 28 countries with about 31,000 employees.

• Strong Turkish franchise performance drove an upgrade in full-year profitability guidance.

• QNB's brand value rose 11% to USD 9.4 billion, ranking 39th globally and first in MEA for the 12th consecutive year.

Financial highlights

• Total assets grew 7% year-over-year to QAR 1.324 trillion (USD 364 billion).

• Loans and advances rose 9.2% to QAR 947.3 billion (USD 260.2 billion); customer deposits increased 6% to QAR 930.5 billion (USD 255.6 billion).

• Cost-to-income ratio remained strong at 22.7%; net interest margin at 2.66%.

• Non-performing loan ratio stable at 2.8% with 100% coverage; total provisions at QAR 35.6 billion.

• International operations contributed 37% of net profit, 22% of loans, and 43% of deposits as of March 2025.

Outlook and guidance

• Upgraded full-year profitability guidance: pre-tax profit expected to rise 10–12%, post-tax profit up 2–4%.

• Balance sheet growth guidance maintained at 5–7%; NIM guidance unchanged at 260–265 bps.

• Cost of risk guidance remains at 80–90 bps; Q1 at midpoint.

• Effective tax rate for the year expected near Q1's 18.5%, subject to inflation trends.

• Dividend payout ratio guidance unchanged at 35–40%; payout may be calculated on profit excluding global minimum taxes if impact is significant.