KARACHI: JS Bank Limited (PSX: JSBL) announced its financial results for the half-year ended June 30, 2025, reporting a profit after tax of Rs5.32 billion, a 45.1% decrease from Rs9.7 billion during the same period last year. Earnings per share (EPS) also dropped to Rs1.99, down 48.4% from Rs3.86 in 1HFY24.
The bank’s mark-up/interest income fell sharply by 30.2%, reaching Rs78.27 billion, while interest expenses also declined by 40.3% to Rs45.83 billion. This resulted in net interest income of Rs32.45 billion, a decrease of 8.3% compared to Rs35.38 billion in the same period last year.
On the non-mark-up side, fee, commission, and brokerage income rose by 37.6% to Rs5.66 billion, and dividend income increased by 17.6% to Rs340 million. However, foreign exchange income dropped significantly by 61.4%, totaling Rs1.39 billion, down from Rs3.6 billion in 1HFY24. In contrast, gain on securities saw a substantial increase of 281.2%, reaching Rs4.63 billion, significantly improving the total non-mark-up income, which surged by 40.8% to Rs12.51 billion.
Despite this increase in non-mark-up income, the bank’s operating expenses rose by 26.7% to Rs30.19 billion, contributing to a 26.8% increase in total non-mark-up expenses. Credit losses and write-offs also saw a sharp rise of 79.8%, reaching Rs2.28 billion compared to Rs1.27 billion in the same period last year.
Profit before taxation came in at Rs11.93 billion, a decline of 36.4% compared to Rs18.76 billion in 1HFY24. After accounting for taxation of Rs6.61 billion, the bank’s profit after tax stood at Rs5.32 billion, a near 45% decline from the previous year.
At the close of market trading on Friday, JS Bank’s stock price stood at Rs14.08, down by Rs0.69 or 8.69%, reflecting the market’s reaction to the significant drop in profitability.
