Bank AL Habib declares Rs12.88bn profit before tax

The Board of Directors of Bank AL Habib Limited announced the financial results for the nine months period ended September 30, 2019.

The bank reported the profit before tax of Rs12.88 billion for the period under review as compared to Rs9.92 billion for the corresponding period last year, showing a growth of 29.84pc. Earnings per share (EPS) were recorded at Rs6.30, showing an increase of 18.64pc over the corresponding period last year.

Profit before provisions of the bank grew by 55.14pc. The bank improved its net mark-up income by 33.42pc. Fee and commission income which is earned mainly through trade business, general banking services, alternate delivery channels etc., showed exceptional increase of 25.84pc over the corresponding period last year. The bank’s foreign exchange income increased by 42.43pc. Dividend income for the nine months period ended September 30, 2019 was recorded at Rs349 million.

Prudent financing strategies and sound risk management policies of the bank kept the non-performing advances to gross advances ratio at 1.41pc. The bank has performed well in expanding revenue streams and curtailing its expenses which resulted in decrease in operating cost-to-income ratio to 55.84pc from 62.54pc compared to corresponding period last year.

Deposits of the bank increased by Rs65.41 billion, bringing the total deposits to Rs862.31 billion as on September 30, 2019. Total assets of the bank recorded at Rs1.29 trillion, showing an increase of 23.24pc.