Higher capital gains and lower mark-up expenses lift MCB’s profits by 23% YoY

News Image

MG News | February 10, 2021 at 02:27 PM GMT+05:00

0:00

February 10, 2021 (MLN): MCB has unveiled its CY20 financial results wherein the bank posted net profits of Rs 29.56 billion with earnings per share (EPS) of Rs 24.82, as against the net profits of Rs 23.95 billion (EPS: Rs 20.14) in CY19, showing an increase of 23% YoY.

In conjunction with the results, the bank announced a cash dividend of Rs 15 per share, i.e. 150%, taking cumulative dividend to Rs 20 per share.

The strong profitability of the bank was largely attributed to rise in net interest income (NII) and non-interest income.

The net interest income of the bank during the year registered an increase of 19% YoY due to 17% YoY decline in interest expenses and higher asset base and yields of PIBs further supported the bank’s NII.

 The not interest income of the bank recorded a modest jump of 10% YoY as a result of a 4x increase in capital gains.

On the expense side, the provisioning expenses of the bank remained on the higher side compared to CY19, as it rose by 174% YoY owing to covid-19 related provisioning during the year, however, operating expenses of the bank remained flat during the year.

 

Consolidated Profit and Loss Account for the Year ended December 31, 2020 (Rupees '000)

 

Dec-20

Dec-19

% Change

Mark-up/return/interest earned

                  145,772,451

                  148,088,700

-1.6%

Mark-up/return/interest expensed

                     69,929,012

                     84,370,609

-17.1%

Net mark-up/interest income

                     75,843,439

                     63,718,091

19.0%

 

 

 

 

Non-mark-up/interest income

 

 

 

Fee and commission income

                     11,971,491

                     12,230,871

-2.1%

Dividend income

                           969,322

                       1,240,771

-21.9%

Foreign exchange income

                       2,735,228

                       2,957,999

-7.5%

Income from derivatives

                               4,087

                             14,616

-72.0%

Loss/Gain on securities

                       3,396,296

                           828,873

309.7%

Other income

                           192,103

                           244,551

-21.4%

Total non-mark-up /interest income

                     19,268,527

                     17,517,681

10.0%

Total income

                     95,111,966

                     81,235,772

17.1%

Non mark-up/interest expenses

 

 

 

Operating expenses

                     37,763,917

                     37,685,431

0.2%

Workers welfare fund

                           974,808

                           802,046

21.5%

Other charges

                           297,987

                           260,743

14.3%

Total non-mark-up/interest expenses

                     39,036,712

                     38,748,220

0.7%

Share of profit of associates

                           573,078

                           339,633

68.7%

Profit before provisions

                     56,648,332

                     42,827,185

32.3%

Provisions/(reversals) and write offs-net

                       7,330,044

                       2,673,592

174.2%

Profit before taxation

                     49,318,288

                     40,153,593

22.8%

Taxation

                     19,756,019

                     16,206,382

21.9%

Profit after taxation

                     29,562,269

                     23,947,211

23.4%

Basic and diluted earnings per share

                               24.82

                               20.14

23.2%

Copyright Mettis Link News

Related News

Name Price/Vol %Chg/NChg
KSE100 138,597.36
256.32M
-0.05%
-68.14
ALLSHR 85,286.16
608.38M
-0.48%
-413.35
KSE30 42,340.81
77.13M
-0.03%
-12.33
KMI30 193,554.51
76.19M
-0.83%
-1627.52
KMIALLSHR 55,946.05
305.11M
-0.79%
-443.10
BKTi 38,197.97
16.53M
-0.59%
-225.01
OGTi 27,457.35
6.73M
-0.94%
-260.91
Symbol Bid/Ask High/Low
Name Last High/Low Chg/%Chg
BITCOIN FUTURES 117,670.00 121,165.00
117,035.00
-1620.00
-1.36%
BRENT CRUDE 69.23 70.77
69.14
-0.29
-0.42%
RICHARDS BAY COAL MONTHLY 96.50 0.00
0.00
2.20
2.33%
ROTTERDAM COAL MONTHLY 104.50 104.50
104.50
-0.30
-0.29%
USD RBD PALM OLEIN 998.50 998.50
998.50
0.00
0.00%
CRUDE OIL - WTI 66.03 67.54
65.93
-0.20
-0.30%
SUGAR #11 WORLD 16.79 17.02
16.71
0.05
0.30%

Chart of the Day


Latest News
July 19, 2025 at 04:28 PM GMT+05:00

4.7m families get BISP aid in Punjab


July 19, 2025 at 03:00 PM GMT+05:00

Key Pakistan Market Stats and Economic Indicators


July 19, 2025 at 02:49 PM GMT+05:00

RDA attracts $182m in June


July 19, 2025 at 02:49 PM GMT+05:00

M2 falls by Rs455bn in a week



Top 5 things to watch in this week

Pakistan Stock Movers
Name Last Chg/%Chg
Name Last Chg/%Chg