DOHA: Commercialbank, Qatar’s largest private sector bank, posted a net profit of QR 818m in the first half of this year ended June 30. Abdullah bin Khalifa Al Attiyah, Chairman of the Board of Directors of Commercialbank said, “Despite the continued slow and uncertain pace of recovery in global markets, the Qatar economy has grown in 2010 and is set to continue to grow steadily in the year ahead led by government spending.”

The bank’s net operating income was QR1.243bn for the six months ended June 30, 2010 compared to QR1.496bn in the first half of 2009 which included an exceptional gain of QR165m arising from the sale of a real estate asset and dividend income of QR56m from the local equities which were sold to the Government of Qatar.

Net interest income was up 2 percent to QR801m in the first half of 2010 compared to QR 787m in 2009 and also up by 6 percent to QR412m in the second quarter of 2010 against QR389m in the first quarter. The Bank’s tight balance sheet management continued to deliver a strong net interest margin which was 3.7 percent in the first half of 2010 compared with 3.2 percent for the same period in 2009. The increase in net interest income was, however, offset by lower fee and commission income, dividend income and other income.

“Commercialbank’s financial performance in the first half of the year reflects the bank’s solid business foundation which was developed through our revised risk based strategy in 2009,” said Hussain Al Fardan, Commercialbank’s Managing Director.[Read More]