QR 501.6 Mn in semi-annual Net Profits for QIB

This is a 6.4% growth (30 million) over last year's half-year results which stood at QR471.2 million.

According to QIB CEO Mr. Salah Al Jaidah, who made the declaration, the Net Operating Income for the stated period equated to QR655 million compared to QR592 million in 2006. Unrestricted investment accounts holders' share of profit amounted to QR76 million.

Mr. Al Jaidah said that total assets for the first 6 months had increased to QR18 bn compared to last year's figures of QR11 bn at half-year 2006, an increase of 64%. This was mainly as a result of the increase in the financing portfolio which grew from QR6 bn to QR10 bn, a 67% growth which in essence reflects the positive impact of QIB's core business.

In addition, the investment portfolio for the first 6 months grew by 100% to reach QR 3.2 bn up from QR 1.6 bn during the same period last year. Return on assets reached 7% during this period which reflects the quality and efficiency of QIB's assets, achieving, thereby, one of the best returns in the banking industry.

Customers' current and investment accounts have increased to QR 10.3 bn during this half from QR 8 bn during the same period last year. This represents a 28.8% growth reflecting increased depositors' confidence in the bank.

Moreover, shareholders' equity increased to QR 3.9 bn as of June 2007 providing a return on equity of 32.6 % compared to a 30.6 % return for the year 2006. Furthermore, earning per share amounted to QR 4.2 .

Mr. Al Jaidah has informed that the above results reflect a growing trend in all elements of the balance sheet, and complements the success derived from year 2006. He further mentioned that QIB had successfully consolidated its banking, financing, and investment activities locally and abroad and intends to maintain sustainable growth and maximize profitability.

Mr. Al Jaidah noted that the fiscal year 2007 would be a year of new record results in all banking activities. He listed a number of distinctive transactions with potential customers over the 1st quarter, such as: the financing of an (Airbus A340-600) transaction for Qatar Airways, and the syndicated QR225-million financing of the 'Al Waab' city project.

Mr. Al Jaidah stated that QIB has been mandated, jointly with QNB-Islami and CBQ's Al Safa, by Salam Bounian to issue a USD150 mn Sukuk for the financing of the construction of "The Gate" project in West Bay district. He further noted that QIB will be acting as Investment Agent in this transaction.

He mentioned as well the opening of the Asian Finance Bank in Malaysia as part of its regional and international expansion strategy. QIB has also established a new investment bank under the name of 'QInvest', and the 'European Finance House', proposed to start its activities soon.

QIB has been assigned an A- rating by Fitch, was selected by the 'Arabian Business Magazine' as one of the 50 best GCC performing institutions, and was awarded the prize of the best Islamic property financier in Qatar at the beginning of this year.

Finally, Mr. Al Jaidah associated the above results to the support of the bank's Board of Directors, headed by H.E. Sheikh Jassim Bin Hamad Bin Jassim Bin Jabor Al Thani. He further expressed his confidence that QIB shall keep this pace of ongoing achievements and successes in the future.