Doha - QNA
Al Khalij Commercial Bank (al khaliji) half year results show an increase in net profit up to QR 249 Million for the period ending June 30, up 122% from QR 112Million for the same period in 2010, according to the bank. The second quarter net profit reached 130 million, up 141% compared to Q2 of 2010.The net interest margin increased to 3.3% as of June 30 compared to 2.8% for the same period in 2010. Net interest income, at QR 300 Million, is 59% higher than the 188 Million in 2010, as interest expense decreased by 36% and interest income increased by 15%. The net operating income reached QR 497 Million on June 30, up 55% compared to the corresponding period in 2010, when it reached QR 321 Million. The improvement in the cost to income ratio continued and is at 38% compared to 58% on June 30. Al khaliji Chairman and Managing Director Sheikh Hamad bin Faisal bin Thani Al Thani said, \"We are very satisfied with the results achieved in the first half of 2011: al khaliji continued its impressive growth and realized strong benefits in spite of the regional uncertainty.\" \"In addition to achieving profits across wholesale, business banking, premium, and international businesses, we have increased productivity, improved efficiencies, and maintained our prudent approach to risk management.\" The bank\'\'s Earnings per share (EPS) increased to QR 0.69, 2.2 times H1 2010’s EPS. Return on average shareholder equity is 11% and return on average assets is 2.6 percent, compared respectively to 4.8% and 1.3% at 30 June 2010. The capital adequacy ratio is at 24% on June 30, confirming the group’s financial strength. Loans and advances increased by 17% since the beginning of the year, and reached QR 8.46 Billion on June 30. The results reflect the success of al khaliji’s wholesale led strategy – central to which is the Bank’s focus on supporting its preferred customers in Qatar, the UAE, and France, the bank said. The operation in Qatar\'\'s conventional banking activities contributed to 85% of the net operating income while Al Khaliji France S.A., the wholly owned subsidiary headquartered in Paris, France and present in four emirates in the UAE, contributed 14%.