Doha Bank Announces Over 5% Profit Growth with Industry Best Operating Ratios
His Excellency Sheikh Fahad Bin Mohammad Bin Jabor Al-Thani, Chairman of the Board of Directors of Doha Bank, announced Doha Bank’s financial results for the first half of 2012. Net profit for the first half of 2012 recorded an impressive QAR 740 million which represented a growth of 5.4% as compared to QAR 702 million for the same period in 2011. H.E. Sheikh Fahad said “This is another outstanding result and is clear demonstration that Doha Bank continues to perform through any business cycle.”
Doha Bank increased net operating income by 3.5% to QAR 1,222 million. Total assets increased by more than QAR 2.3 billion, a growth of more than 4.7%, from QAR 49.5 billion as at 30 June 2011 to QAR 51.9 billion as at 30 June 2012. Net Loans & Advances increased to QAR 29.7 billion from QAR 27.7 billion for the same period last year, registering a growth of 7.0%. Deposits showed a year on year increase of 3.9% from 29.2 billion to QAR 30.3 billion as at 30 June 2012 which is evidence of the strong liquidity position of the Bank.
His Excellency Sheikh Abdul Rehman Bin Mohammad Bin Jabor Al-Thani, Managing Director of Doha Bank said “Through the strategic utilization of shareholder’s funds in order to maximize our performance levels, the return on average equity is 22.7% as at 30 June 2012 which is one of the highest in the Qatar. The Bank, given the scale of operations, has achieved a very high return on average assets of 2.84% as at 30 June 2012 which is a clear demonstration of optimum asset allocation strategies”.
Dr. R Seetharaman, Group Chief Executive Officer, highlighted the key innovations, achievements and initiatives by Doha Bank in the second quarter of 2012. He said “This quarter saw Doha Bank unveiling the new branch identity at the Gate Branch, which is designed and developed keeping in mind the customer’s personalized expectations and preferences to sustain their trust and deliver a new format of banking. This also reflected during its opening of the new Museum Branch which is located at Al Mathaf Street.
It has been deliberately designed with a modern zoning concept for the customers to deliver an engagingly exciting banking experience. Doha Bank Treasury & Investments department launched the bullion initiative which allows its customers to buy physical gold from the branches over the counter. Doha Bank in partnership with China UnionPay the biggest and most advanced bankcard association in the Chinese bankcard industry has announced a strategic cooperation to offer greater convenience to China UnionPay Cardholders on Doha Bank ATMs and POS terminals by the end of this year. Doha Bank has also made arrangements for banking and remittance services for overseas Filipino workers with United Coconut Planters Bank from the Philippines. In addition, Doha Bank has placed exclusive relationship managers for its customers at the International Relations Centre to take care of their banking and remittance needs locally in Qatar as well as in their home country.”
He went on to comment on further initiatives, “In line with last year’s summer offer, Doha Bank launched “5-6-7-8” promotion running from May to August 2012. Doha Bank credit card customers will get 5% cash back in May and 6% in June for all foreign currency spends. In July, there will be 7 lucky winners and in August there will be 8 lucky winners refunded their month’s spend”. During the promotion, those shopping for gift items, perfumes, chocolates, electronics or anything else at the Qatar Duty Free in Doha International Airport with a Doha Bank credit card will earn 5% cash back.
Doha Bank’s Al Dana savings scheme which is the best scheme in the market will distribute around QAR 12 million during 2012. Accordingly, this quarter also saw monthly winners being declared with prizes from QAR 50,000 to QAR 1,000,000 and laptops & PlayStations being given out to Young Savers. Doha Bank and Vodafone Qatar, have announced a new partnership to provide more value added benefits for their customers. Under this initiative, all Doha Bank credit cardholders can now enjoy the flexibility of buying Samsung branded handsets from Vodafone retail stores across the country and conveniently pay for them in equal monthly installments. Doha Bank, in partnership with Regency Travel Group, the leading Travel Agency in Qatar re-introduced the benefits of its co-branded TRAVELLER pre-paid Master card to its esteemed corporate clientele. Doha Bank in association with its partners and merchants provided exciting offers to its credit card customers. The offers included discounts and BUY NOW, PAY LATER AT 0% INTEREST scheme. Some of the prominent partners included Quality Hypermarket, Renaissance Doha City Center Hotel, Malabar Gold and Jarir Book store.
While commenting on the achievements of Doha Bank in last quarter, Dr. R.Seetharaman said, “Doha Bank has won Best Bank in Qatar 2012 and Most Innovative Bank in the Middle East 2012 from Global Banking and Finance Review. We have also won this year’s prestigious Golden Peacock Global Award for Corporate Social Responsibility appreciating our efforts towards setting the example as a responsible corporate. In another moment of pride for Doha Bank, its website Dohasooq was adjudged the ‘Best E-Commerce Website in the Financial Services’ category at the Internet Awards Middle East 2012”.
Doha Bank’s presence at the Qatar Career Fair reinforced the Bank’s commitment to Qatar’s Vision 2030, set by H.H. Sheikh Hamad bin Khalifa Al-Thani, the Emir of the State of Qatar. In accordance with the directives of the Board of Directors of Doha Bank and its Executive Management, a five-year Qatarization plan has been set in place. It aims at attracting, training and preparing Qatari nationals who hold secondary school certificates, diplomas, and graduate certificates, but have no work experience. Further, on the Corporate Social Responsibility front, Doha Bank and Qatar Charity announced the institution of the Dirhams Program which allows all Doha Bank customers to sign an arrangement to transfer automatically the excess dirhams in their account at the end of each day to Qatar Charity to carry out humanitarian projects inside and outside Qatar.
Doha Bank and Blue Mosaic, in association with Sotheby’s, hosted “Between 2 lines” an exhibition of Islamic calligraphy at the Doha Bank Tower. The event provided a private viewing of a suite of paintings by the late renowned artist M.F. Hussain. Dr. R Seetharaman gave insights on calligraphy during the event which was attended by ambassadors, diplomats and charge de affairs representing respective foreign embassies operating in Qatar and customers of Doha Bank.
During the quarter, and for his unique and invaluable contribution to society in the fields of Banking, knowledge management, Corporate Social Responsibility and Global Governance Dr. R Seetharaman was conferred with an honorary degree, Doctor of Laws 2012 during the 229th commencement function by Washington College. He was also honored with Doctorate of Honoris Causa 2012 by the European University, one of the world’s top business schools in Geneva, Switzerland during their 2012 Graduation ceremony.
The United Nations General Assembly’s “High-Level Thematic Debate on the State of the World Economy” was held at ECOSOC Chamber, North Lawn Building, United Nations, New York in May 2012. Dr. R. Seetharaman spoke on “Increasing Stability, Predictability and Transparency in the Financial Sector”. In another event by The US-Qatar Business Council in Washington, DC, Dr. R. Seetharaman spoke on “Qatar Land of opportunities.” The event was well attended by various members of the US-Qatar Business Council, key industry players and Business professionals. Dr. R Seetharaman also participated in The International Arab Banking Summit 2012 in June held in Berlin, Germany. International and Arab bankers, economists, top business professionals and key industry players participated in this event. The theme of this summit was “The Change” and Dr. R. Seetharaman spoke on “EU- MENA Economic relations following the Regional and International developments”.
On the successful completion of the Senior Debt Issue, Dr. R.Seetharaman said, “Doha Bank has successfully completed the Senior bond issue of USD 500 million under Doha Bank’s Euro Medium Term Note Program (EMTN) of USD 2 billion. The Bond is listed on the London Stock Exchange. The issue generated an overwhelming response from investors across Asia, the Middle East and Europe resulting in an oversubscription of the bond by nearly 8 times. This reflects the exceptionally high profile of Qatar and Doha Bank in the global market space.”