(MENAFN- The Peninsula) The Peninsula
Lesha bank LLC (Public) (the 'Bank' or 'Lesha Bank') yesterday released its financial results for the year ending 31 December 2022, with a net profit attributable to equity holders of the bank of QAR 75.5 million, recording its second consecutive full year of profit and its ninth consecutive quarter of profitability.
Achieving both key financial and non-financial indicators, the Bank maintained sustainable fee income streams, leading to a stronger balance sheet and an improved liquidity position. Total equity attributable to Lesha Bank's shareholders increased to QAR 1.1 billion at the end of 2022, in part supported by the Bank's successful completion of the“Rights Issue” process, which added QAR 500 million to the equity. Simultaneously, the capital adequacy under Basel III regulations reached 20.5% at the end of the year, further affirming the Bank's financial position.
The Bank's total assets under management (AUM) reached QAR 5.2 billion, an increase of 36% over the previous year. Total assets for the period 31 December 2022 stood at QAR 5.2 billion, registering a growth of 64% compared to QAR 3.2 billion for the year ending 31 December 2021. Meanwhile, total deposits reached QAR 3.1 billion for the same period, representing 63% growth compared to QAR 1.9 billion for the previous year.
Lesha Bank recorded a significant growth in its fee and dividend income from QAR 44.1 million to QAR 80.1 million, representing 81% increase partially because of its business model shift from an asset-based model to a fee income-based model. Its focus on real estate investments and private equity business has further accelerated the recurring streams of revenue. During the year, the Bank's Sukuk portfolio increased from QAR 271 million to QAR 1 billion and the income from Sukuk portfolio increased from QAR 12.4 million to QAR 30.3 million registering a significant growth of 145%.
In 2022, the Bank completed its real estate acquisition in the United States, the Gateway Plaza building in Virginia, while successfully exiting Jefferson Square in Baltimore, Maryland. The Bank made private equity transactions during 2022 along with its clients of QAR 1.3 billion which includes financing to Qatari investors to acquire a 10.8% stake in the lifestyle hospitality company, Ennismore.
Commenting on the Bank's year-end financial results, H E Sheikh Faisal bin Thani Al Thani, Lesha Bank Chairman, said:“As we successfully conclude Lesha Bank's second consecutive full year of profit, our forward momentum on the financial and non-financial indicators is supported by a strategic approach that aims to turn innovative investment opportunities into sustainable, long-term growth for investors in Qatar and beyond. In navigating the indisputable global challenges of 2022, our business team's resilience and agility have strengthened our role as a key player in Qatar's economy, paving the way towards higher standards of governance, integrity, and investor trust.”
Abdulrahman Totonji, Lesha Bank CEO, commented:“Alhamdullilah, we have completed a challenging yet truly rewarding year that has resulted in successes and improved certain performance, partially driven by prudent controls and resolute measures that may have helped us build a steady stream of income and a strong balance sheet. In our work as a leading Shari'a-compliant player in investment banking, Lesha Bank's success is closely tied to the positive contributions of all our stakeholders, and team members who continue to strive for excellence across our business.”
Lesha Bank LLC (Public) is the first independent Shari'a-compliant Bank authorized by the QFC Regulatory Authority (QFCRA) and a listed entity on the Qatar Stock Exchange (QSE: QFBQ).