NBP Maintains Profit Growth After-tax Profit up by 11% YoY
Islamabad, October 27, 2016 (PPI-OT): Meeting of the Board of Directors (BoD) of National Bank of Pakistan (bank) was held on October 27, 2016 at Bank’s Head Office in Karachi in which the BoD approved the financial statements of the bank for the nine months period ended September 30, 2016.
Bank’s after-tax profit for the nine months period increased by 11% to Rs. 13.4billion compared to Rs. 12.1 billion for the corresponding nine months of 2015. This translates into earnings per share of Rs.6.3 i.e. 11% up against Rs. 5.7 for the comparative period last year. Pre-tax and after-tax return on equity were 26.4%, and 15.5% (September2015: 26.2% and 14.5%) respectively; whereas the pre-tax and after tax return on assets are 1.7% and 1.0% respectively.
Despite a continued reduction in the discount rate during recent quarters, bank’s net interest income increased by 4.3% YoY to Rs. 39.3 billion against Rs. 37.6 billion for nine months of 2015.Specific provision charge for the period was Rs. 1.9 billion, 76% lower than Rs. 8.2 billion for the corresponding nine month period of 2015. This depicts an improvement in the assets quality of the bank. During the period, the bank earned a fee/commission income of Rs. 9.96 billion being 20.4% up against Rs. 8.3 billion for the comparative nine months period of 2015.
During this period, a healthy balance sheet growth has also been recorded YoY. Compared to Rs. 1,541 billion as of September 30, 2015, the balance sheet has increased by 19% to Rs. 1,829 billion. Gross advances of the bank have increased by 7% to Rs. 737 billion compared to Rs. 692 billion as of December 2015. Growth was also achieved in the deposits which have increased by 19% to Rs. 1,417 billion compared to Rs. 1,191 billion at the end of September 2015.Aitemaad Islamic Banking operations of the bank achieved commendable growth during the year as the same has increased to 118 branches from 79 in December 2015 with 80% YoY growth in deposits to Rs. 19.2 billion.
With “AAA” credit rating, the Bank is a driving force in retail banking, given its large distribution network. Product and service initiatives have also been introduced by the bank to boost SME business, and to adopt alternative delivery channels to broaden customer reach. Bank’s ATM network that consisted of 374 machines in December 2014 has now increased to 1,188 machines; and is being further expanded.
For more information, contact:
Syed Ibne Hassan
Corporate Communication Division
National Bank of Pakistan
Tel: +9251 9922073
Cell: +92300 8202184
Tags: National Bank of Pakistan