Dukhan Bank has announced that it recorded a net profit of QR1,193 million (QR1.2 billion) for 2021. The bank’s robust financial performance during the year has resulted in its total assets increasing to QR110.7 billion, representing a significant growth of more than 28 percent as compared to last year driven by growth under the financing assets and investment securities.
Notably, financing assets continued to grow to QR75.2 billion in 2021 from QR58.5 billion in 2020, representing a remarkable growth of 29 percent. Further customers’ deposits balance raised to QR77.4 billion at end of 2021, which mainly supported the assets growth, increased considerably by 44 percent compared to QR53.9 billion for 2020.
The bank’s total equity soared to QR14 billion from QR11.5 billion whereas the total capital adequacy ratio stands at 18.4 percent in 2021, in accordance with the Basel III guidelines, maintaining a sufficient buffer above the minimum supervisory ratio as specified by Qatar Central Bank and Basel Standards.
Dukhan Bank’s strong asset-liability management capabilities enabled it to improve its financing to deposits ratio to under 98 percent from above 100 percent at end of 2020 reflecting the improvement in the bank’s overall liquidity position.
The total income for the year increased to QR4,050 million, resulting in a growth of 7 percent compared to QR3,788 million during 2020, while net operating income reached the level of QR2,068 million as compared to QR1,974 million marking a year-on-year growth of 5 percent.
The bank’s drive for operational efficiency coupled with strong revenue sources has helped Dukhan Bank to improve cost to income ratio from 28 percent to 27 percent during the year as well.
Reflecting on the strong performance, Dukhan Bank’s board of directors proposed a dividend distribution to shareholders of QR1.4 per share or 14 percent of the nominal share value up from QR1.0 per share or 10 percent of the nominal share value last year, subject to the approval of general assembly meeting of the shareholders.
Moreover, the bank has been affirmed the rating of ‘A’ by Fitch Ratings and “A2/Prime-1” with a stable outlook by the international rating agency Moody’s.
Reflecting on Dukhan Bank’s strong financial performance in 2021, Dukhan Bank Chairman and Managing Director Sheikh Mohammed bin Hamad bin Jassim Al Thani said, “Despite the ongoing global market uncertainties, Qatar’s banking sector remains robust with rising profitability and strong capitalisation. Dukhan Bank has successfully navigated through the ongoing economic environment generating a significant 17 percent year-on-year growth in net profits.”
“Supported by assets of QR110 billion, we began 2022 with a robust strategy to propel the bank upward to even greater heights. Building on the progress already achieved, Dukhan Bank is determined to generate stronger returns for our shareholders while simultaneously ensuring a superior banking experience for all our customers,” he said.
Dukhan Bank CEO Khalid Al Subeai said, “The major elements of Dukhan Bank’s outstanding performance and continued growth lies in the bank’s relentless pursuit of advanced technologies and innovations that empower our customers. This allows the bank to adopt the latest technologies to transform the digital products and services offered to customers. Dukhan Bank has consistently aimed to improve the customers’ experience, build trust and increase loyalty by developing multiple banking channels that answer their myriad needs easily and conveniently.”
Confirming its position as the leading digital bank in Qatar, Dukhan Bank introduced a number of new and innovative digital products and services during 2021 that provide added value for customers.
Contactless payment platform Dukhan Pay (D-Pay) now enables individual and corporate customers to conduct all their transactions online easily and securely by integrating seamlessly and securely with payment services like Apple Pay, Fitbit Pay, and Garmin Pay.
Recently, Dukhan Bank unveiled the services provided by ‘Rashid’, its virtual assistant service that will respond to the customers’ various inquiries online quickly and easily through the bank’s website and mobile applications.
Powered by artificial intelligence, cloud technology and machine learning, Rashid offers fast solutions and quick responses to customer enquiries in both Arabic and English. The year 2022 promises to offer Dukhan Bank customers further services with ‘Rashid’.
Digital banking at Dukhan Bank reached new heights in 2021 with the launch of an upgraded Corporate Banking Digital Platform offering corporate customers a range of digital services suited for business with a secure, seamless transition between web and mobile apps.