Dear Shareholders and Board Members,
Today, we are proud to say that our sound balance sheet and solid capital structure have not only contributed to a robust growth at QNB Finansbank, but also continued to contribute to the Turkish economy in 2019. The Bank’s contribution to the economy through cash and non-cash loans reached TRY 137 billion in the first nine months of 2019.
As of September 30, 2019, the total assets of the bank increased by 11 percent, compared to the year-end of 2018, reaching TRY 174 billion 192 million, while net loans rose by 10 percent to TRY 103 billion 590 million and customer deposits grew by 13 percent to TRY 94 billion 375 million.
In the first 9 months of 2019, our Bank’s net interest income realized at TRY 5 billion 243 million, while net fee and commission revenues increased by 35 percent, compared to the same period of the previous year, to TRY 2 billion 7 million. Profit before taxes in the first nine months of 2019 amounted to TRY 2 billion 330 million, while net profit reached TRY 1 billion 960 million, with an increase of 12 percent, compared to the same period of the previous year.
The total equity of the Bank increased by 6 percent, compared to the end of 2018, reaching TRY 15 billion 475 million and the capital adequacy ratio realized at 15.79%, as of September 30, 2019.
We focused on establishing a sustainable income generation, while delivering a loan growth above sector. We sustained our profitability through our effective and systematic risk management strategy, which identifies risks accurately and in a timely manner.
In addition, we achieved yet another first in the third quarter of 2019 with our Digital Bridge Project for SMEs. QNB Finansbank, will continue to endeavor to make a significant difference in SME Banking across the industry.
We also continue to contribute to the future of our children, through collaboration with business partners and the invaluable contributions of our volunteering colleagues, within our Small Hands Big Dreams CSR Platform. QNB Finansbank Tales Math Museum Mobile Truck set out for another journey to visit various cities of Anatolia in order to encourage kids to discover the joyous world of mathematics. As part of our project entitled “By the Power of Imagination”, in association with the Community Volunteers Foundation (TOG), we will continue to carry out training sessions throughout the 2019-2020 academic year as well, in order to expand our children’s imagination and enhance their fiction writing and storytelling skills.
I would like to take this opportunity to extend my thanks to our bankers, clients, all of our strategic business partners and correspondent banks who reinforce our strength as we achieve our goals.
QNB Finansbank A.Ş