Karachi: Faysal Bank Ltd. (FABL) announced its financial results for the first quarter of the calendar year 2026, reporting a net profit after tax (NPAT) of PKR 5.2 billion, or PKR 3.4 per share. The quarterly profit remained flat compared to the same period last year but showed a decline of 23% from the previous quarter. This stability in year-on-year profitability was largely attributed to higher capital gains, which counterbalanced the reduction in net interest margins and lower provisioning reversals. Additionally, the bank declared a cash payout of PKR 1.5 per share.
According to AKD Securities Limited, the bank's net profit for the quarter was recorded at PKR 15.6 billion, reflecting a decrease of 9% year-on-year and 11% quarter-on-quarter. This decline was primarily due to lower yields amid a decreasing policy rate, which outweighed the impact of an 11% year-on-year growth in average earning assets. As of March 2026, FABL's deposits were reported at PKR 1.3 trillion, marking a 19% increase year-on-year but a 7% decline quarter-on-quarter. The bank's asset book stood at PKR 1.4 trillion, showing an 8% rise year-on-year but a 4% decrease quarter-on-quarter.
Profit from Islamic financing and assets was reported at PKR 38.1 billion, a reduction of 9% year-on-year and 7% quarter-on-quarter. Meanwhile, profit on deposits amounted to PKR 22.5 billion, down 9% year-on-year and 4% quarter-on-quarter. The bank's net interest margins (NIMs) were estimated to have declined to 4.2% in the first quarter of 2026, compared to 5.2% during the same period last year and 4.8% in the fourth quarter of 2025.
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