Qatar First Bank announces full year financial results

• Full year net loss reduced by 24%
• QAR 1.2 million net profit recorded in Q4 attributable to equity holders of the bank
• Total expenses reduced by 6.9%
• Product related income and other income increased by 58% & 17% respectively

Qatar First Bank (QFB), the first independent Shari’ah compliant bank authorized by the QFC Regulatory Authority (QFCRA) and a listed entity in the Qatar Stock Exchange (QSE) has released its financial results for the fourth quarter and year ended 31 December 2020.

Despite challenging market conditions QFB continued to exhibit strong growth momentum for the year ending 31 December 2020 by reducing its overall net loss by 24%. The bank recorded a net loss of QAR 226.7 million for 2020 compared with a QAR 298 million loss for 2019. QFB ended the year strongly by posting a net profit of QAR 1.2 million in the fourth quarter with product fees and commissions being the main contributing factors. QFB’s efforts to implement strict internal controls, increase operational efficiency and rationalize expenditures led to the improved performance and a 6.9% reduction in overall expenses. In addition to a sustainable fee income stream, a drop in funding costs along with a better managed deposits book helped improve the bank’s balance sheet and overall liquidity position. A testament to its accelerated growth, QFBs share price outperformed the market, delivering greater value to its shareholders and investors base.
Sheikh Faisal bin Thani Al-Thani, QFB Chairman, commenting on QFB’s 2020 financial performance:

“Despite COVID19’s negative impact on investor confidence, QFB’s performance in 2020 improved and is heading in the right direction. We are pleased with the bank’s achievements and enhanced financial indicators. Our vigilant measures on corporate governance, clear strategic direction, sourcing of profitable investments, prudent risk management framework and a well-disciplined execution are bearing fruit.”

QFB remain focused on executing its adaptive strategy while implementing its well-disciplined approach to managing investments and liquidity in order to drive sustainable growth and value creation. The bank’s investment arm performed exceptionally well during 2020 acquiring a stream of high-quality Real Estate assets and was a driving force behind its fourth quarter profit. These assets received an overwhelmingly positive response from investors with most investment products being fully subscribed in a matter of days.

The transformation the bank underwent as the new management took reins yielded very positive results. Looking ahead, QFB intends to cement its position as a leading investment product provider in Qatar focused on delivering innovative financial solutions. The entire team is committed to keeping the upward trend going and is gearing for greater heights in 2021.

Qatar First Bank acquires The HQ of “Huntsman International” located in Texas

Qatar First Bank (QFB), the first independent Shari’ah compliant bank authorized by the QFC Regulatory Authority (QFCRA) and a listed entity in the Qatar Stock Exchange, has completed the acquisition of Waterway Plaza I, a class A+ office tower spanning more than 223,0000 square foot located in suburban Houston, Texas, USA. Waterway Plaza I marks QFB’s first acquisition for the year in the USA, following only by a matter of days the bank previous acquisition of the Lulu Al Messila Hypermarket in Qatar.  Growing ever more QFB income-generating real estate portfolio open to client investments, Waterway Plaza I has already attracted sizeable commitments from the bank’s trusted customer base and the investment will remain open for subscription until March.

Waterway Plaza I is an immaculate and truly stunning Class A+ building located in the Woodlands, the most desirable suburban area of Houston. A testament to its architectural merits and spectacular design, the office tower was awarded the 2012 TOBY (“The Outstanding Building of the Year”) award for best mid-rise. The glass and aluminum façade of the 9-story property offers an incredible panorama of the Woodlands Town Center and its penthouse with full-height glazing was designed to maximize the views of the water canal, offering an expansive vista of Woodlands Waterway and its wooded surroundings. Impeccably maintained and constantly improved by its current tenant in place since 2004, Waterway Plaza I serves as the headquarters for Huntsman International, a multi-billion manufacturer of chemical products and a Fortune 250 company. Huntsman, one of the leading US marketer of performance products and adhesives, counts among its customers the likes of BMW, Procter & Gamble and Unilever.

Commenting on the acquisition, Sheikh Faisal bin Thani al Thani, Chairman of the board said: “I am happy to see QFB’s offering getting some traction. In 2020 we planted the seeds of the turn-around strategy. It was a test year for the bank and I think we succeeded.  In 2021 it’s time to be more proactive. It’s time for QFB to accelerate a bit, and to present more opportunities to the market”

QFB continues to handpick the best income-generating investments to offer its trusted personal clients international opportunities usually only accessible to select institutional investors. These investments are available through a Shari’ah-compliant platform.

Commenting on the acquisition, Mr. Abdulrahman Totonji, Acting Chief Executive Officer said: “Another acquisition and another success I predict for the bank and our customers. We already have syndicated a good portion of the offering only relying on word of mouth. All of this within a few days of the new year and before going officially to market. We spend sleepless nights securing what we believe are the very best investments offered in Qatar, and it’s good to see our efforts being recognized. We take our fiduciary duty towards our clients very seriously, we have a vision and the bank is working tirelessly to make it reality.”

This investment opportunity is offered on private placement basis to “Qualified Investors” meeting the investment eligibility requirements in accordance with the rules and regulatory requirements of QFC Regulatory Authority (QFCRA).