Meezan Bank Limited (PSX: MEBL) posted a consolidated after-tax profit of Rs22.42 billion for the quarter ended March 31, 2025, marking a decline of 10.6% year-on-year. The bank also announced a cash dividend of Rs7 per share.
The earnings decline was led by a 9.7% drop in profit earned on Islamic financing and related assets, along with a fall in investment returns. Net profit/return slid by 8.1% to Rs61.78 billion, while total income fell 4.3% to Rs71.02 billion.
On the upside, fee and commission income rose nearly 22%, and foreign exchange gains surged over threefold to Rs1.6 billion. However, dividend income and gains on securities plunged by 69% and 81% respectively.
Operating expenses eased 6.8% to Rs19.17 billion, while other charges saw a sharp reduction of 93%. Pre-tax profit dropped 6.1% to Rs49.27 billion, with taxation declining slightly to Rs26.87 billion.
The results come amid a broader moderation in banking sector spreads and investment yields. Meezan continues to lead Pakistan’s Islamic banking market, with a growing focus on fee-based and treasury income to support its bottom line.
