DOHA: Qatar Islamic Bank (QIB ) has reported QR1.32bn in net profits for 2009 and will recommend 60 percent cash dividend for the shareholders.

A statement issued by the bank said yesterday the profits mainly stem from operating revenues and represent a 23 percent growth over 2008.

Total shareholders' equity increased to QR9bn as of December 31, 2009, a 26 percent growth over the previous year. ROE rated at 20.4 percent and Earnings per Share (EpS) amounted to QR6.44 per share.

Based on these achievements, QIB 's Board of Directors will recommend to the Bank's annual general meeting (AGM) which will be held on Fepuary 23, to distribute a 60 percent cash dividend to the shareholders for 2009.

try{document.write(_banner_zone('zone9339')); }catch(e){} The bank's Chairman, Sheikh Jassem bin Hamad bin Jassim bin Jabor Al Thani, announcing the financials said: "During 2009, QIB adopted a well-structured plan for dealing with the downturns pought about by the global financial crisis and their impact on the Gulf region. QIB has successfully achieved the goals of the second year of its strategic five-year plan, in particular regarding the elements relative to consolidating growth, structuring a sound and balanced financial position, enriching our effective risk management and strengthening business expansion at local and international levels."

The initiatives taken by the government through acquiring a stake in the national banks' capitals via the Qatar Investment Authority , played a significant role in consolidating confidence in the Qatari banking sector, and therefore, in the national banks' financial positions, he added.

The bank's additional 2009 financial highlights included a rise in financing income from QR1.328bn in 2008, to QR1.826bn last year, a growth of 37.5 percent. Depositors' profit share increased from QR388m in 2008, to QR510m in 2009, a 31.4 percent rise.

The bank's assets grew 17 percent, increasing to QR39.3bn while ROAA attained was 3.6 percent to further consolidate the Bank's Financial Utilisation Adequacy.

As for QIB 's Financing portfolio, it has grown to QR22.7bn as of December 31st, 2009, a 20 percent growth compared to the 2008 rate of QR18.8bn. Domestic Financing represented 94.6 percent of the portfolio. The Bank's Investment portfolio amounted to QR4.6bn at end of 2009, compared to QR6.3bn in 2008. Customers Current and Investment Accounts achieved a 23 percent growth rate, amounting to QR20.3bn by 2009-end compared to 2008's QR16.6bn in 2008, a result that reflects customers' increasing confidence in the bank's performance.

QIB 's CEO, Salah Jaidah, said of the results: "The bank's local activities witnessed a positive growth in 2009, despite the worldwide economic situation and recession. QIB initiated several financing operations in the contracting, automotive, cables industries, as well as in public trading sectors."

Jaidah added that QIB excelled throughout the year in organising large Islamic financing operations for well-known institutions such as the QR4bn deal for Qatari Diar in which QIB was named Initial Mandated Lead Arranger (MLA) and Sole Bookrunner for this Shariah-compliant finance project.

© The peninsula 2010