QNB, the largest financial institution in the Middle East and Africa (MEA) region, has announced its financial results for the six months ending June 30, 2024.
The bank reported a net profit of $2.2 billion (QAR 8.2 billion), marking a 7% increase compared to the same period last year. Operating income grew by 9% to reach $5.5 billion, reflecting QNB’s ability to maintain growth across diverse revenue sources.
Total assets as of June 30, 2024, stood at $346 billion, up 5% from June 30, 2023. This growth was primarily driven by a 7% increase in loans and advances, which reached QAR 879 billion (USD 242 billion). Customer deposits also saw a 6% rise, reaching QAR 891 billion (USD 245 billion), contributing to a loans-to-deposits ratio of 98.7%.
In addition to these solid financial results, QNB’s Board of Directors authorized an interim cash dividend distribution of 33% of the nominal share value (QAR 0.33 per share). This dividend is payable to shareholders on record as of the close of trading on July 17, 2024, pending approval from the Qatar Central Bank (QCB). This interim dividend, a first in QNB’s 60-year history, is intended to reward the bank’s long-term shareholders.
QNB’s efficiency ratio (cost to income) was 22.4%, one of the best among large financial institutions in the MEA region. The bank’s ratio of non-performing loans to gross loans was 3%, reflecting the high quality of its loan portfolio and effective credit risk management. Additionally, the loan loss coverage ratio reached 100%, indicating a prudent approach to non-performing loans.
Total equity increased to $30 billion, a 6% rise from June 2023, and earnings per share were $0.22 (QAR 0.82)
QNB’s strong performance and historic dividend highlight its robust financial health and commitment to delivering value to shareholders while maintaining a leading position in the MEA region.
