Bank Islami Pakistan’s bottom-line profits for the half year ended June 30th 2018, skyrocketed by 296%, mainly due to admirable gains in top-line earnings.
The company conducted its Board of Directors meeting on August 29th, 2018, in order to review Bank Islami’s financial earnings for the above said period and provide a detailed comparison with the earnings made during the half year ended June 30th 2017.
Since the Bank received reversal of provision against diminution in the value of investments and placements – net this year, the net spread after provision increased by 25.8%.
However, due to a net loss of Rs.331.5 million, on sale of securities, the company’s total income suffered a dip of 56%.
Furthermore, Bank Islami’s total expenses increased by 6.6% as well.
Fortunately, since share of results of associates increased by 145% on year-on-year basis, profits before taxation shot up by 689%.
There were tax provisions during this period as compared to tax reversals during the same period last year. This led to a 296% rise in profits after taxation, as they increased from Rs.39.9 million to Rs.157.9 million.
Apart from this, Bank Islami’s Earnings per share increased from Rs.0.227 per share to Rs.0.3234 per share.
|
Profit and loss account for the half year ended June 30th 2018 ('000 Rupees) |
|||
|
|
Jun-18 |
Jun-17 |
% Change |
|
Profit/return earned |
5,636,494 |
5,050,432 |
11.60% |
|
Profit/return expensed |
2,894,289 |
2,578,927 |
12.23% |
|
Net spread earner |
2,742,205 |
2,471,505 |
10.95% |
|
(Reversal of provision)/provision against non-performing Islamic financing and related assets – net |
17,201 |
(89,376) |
|
|
(Reversal of provision)/provision against diminution in the value of investments and placements – net |
(373,970) |
97,479 |
|
|
Bad debts written off directly |
– |
– |
|
|
Net spread after provision |
3,098,974 |
2,463,402 |
25.80% |
|
OTHER INCOME |
|
|
|
|
Fee, commission and brokerage income |
368,534 |
321,438 |
14.65% |
|
Dividend income |
6,618 |
389 |
1601.29% |
|
Income from dealing in foreign currencies |
98,478 |
30,855 |
219.16% |
|
(Loss)/gain on sale of securities – net |
(331,503) |
46,532 |
|
|
Unrealized gain/(loss)on revaluation of investments classified as held for trading |
2,218 |
1,054 |
110.44% |
|
Other income |
43,307 |
30,860 |
40.33% |
|
Total other income |
187,652 |
431,128 |
-56.47% |
|
|
|
|
|
|
OTHER EXPENSES |
|
|
|
|
Administrative expenses |
3,174,610 |
3,099,531 |
2.42% |
|
Other provision/(reversals) – net |
11,307 |
(131,652) |
|
|
Other charges |
1,984 |
21,623 |
-90.82% |
|
Total other expenses |
3,187,901 |
2,989,502 |
6.64% |
|
|
|
|
|
|
(Loss)/profit for the period from BIPL Securities Limited – net of tax |
(22,042) |
73,693 |
|
|
Share of results of associates before taxation |
110,555 |
44,993 |
145.72% |
|
Profit before taxation |
187,238 |
23,714 |
689.57% |
|
Taxation |
29,290 |
(16,142) |
|
|
Profit after taxation |
157,948 |
39,856 |
296.30% |
|
Basic and diluted earnings per share (Rupees) |
0.3234 |
0.2270 |
42.47% |
22835
