October 31, 2024 (MLN): Bank Makramah Limited (PSX: BML) has continued its loss-making journey as the bank witnessed a loss of Rs1.74 billion for the quarter ended September 30, 2024 (Q3 2024) compared to Rs2.05bn negative bottom line recorded in the same quarter last year (SPLY).
However, this represents a 15.3% reduction in losses on a year-on-year basis due to improved non-markup income.
It is crucial to note that BML was formerly known as Summit Bank Limited (PSX: SMBL).
According to the income statement released by the bank on the PSX, it declared a net markup expense of Rs684.65m, marking a 3.75% reduction from the net expense of Rs711.31m recorded in Q3 2023.
On the other hand, the bank’s total non-markup interest income surged 256.38% to Rs984.61m in Q3 2024 compared to the Rs276.28m recorded in Q3 2023.
This was attributed to higher fee and commission income and gains on securities, driven by improved economic activity in the country.
The expense section of the statement shows that total non-mark-up/interest expenses stood at Rs2.15bn, up by 10.77% YoY.
The rise reported was mainly attributed to the growth in the operating expenses of the bank.
BML's provisioning resulted in an expense of Rs755.71m in Q3 2024.
On the taxation front, the bank incurred a credit of Rs866.91m, which is around 18.5% lower than the tax rebate received in Q3 2023.
| Consolidated Profit and Loss Account for the quarter ended September 30, 2024 ('000 Rupees) | |||
|---|---|---|---|
| Sep-24 | Sep-23 | % Change | |
| Mark-up/return/interest earned | 10,582,521 | 9,971,651 | 6.13% |
| Mark-up/return/interest expenses | (11,267,167) | (10,682,961) | 5.47% |
| Net mark-up/return/interest income | (684,646) | (711,310) | -3.75% |
| NON MARK-UP/NON INTEREST INCOME | |||
| Fees and commission income | 294,535 | 172,804 | 70.44% |
| Dividend income | 3 | 11 | -72.73% |
| Foreign exchange income | 73,539 | 133,419 | -44.88% |
| Income / (loss) from derivatives | – | – | – |
| Gain / (loss) on securities | 602,408 | (43,849) | -1473.82% |
| Other income | 14,129 | 13,894 | 1.69% |
| Total non-mark-up/ non-interest income | 984,614 | 276,279 | 256.38% |
| Total Income | 299,968 | (435,031) | -168.95% |
| NON MARK-UP/NON INTEREST EXPENSES | – | ||
| Operating expenses | (2,149,346) | (1,940,279) | 10.78% |
| Workers welfare fund | – | – | #DIV/0! |
| Other charges | (89) | (237) | -62.45% |
| Total non-mark-up/ non-interest expenses | (2,149,435) | (1,940,516) | 10.77% |
| Profit/loss before provisions | (1,849,467) | (2,375,547) | -22.15% |
| (Provisions) / recovery and write offs – net | (755,713) | (739,826) | 2.15% |
| Extraordinary/unusual items | – | – | – |
| Profit/loss before taxation | (2,605,180) | (3,115,373) | -16.38% |
| Taxation | 866,914 | 1,063,149 | -18.46% |
| Profit after taxation | (1,738,266) | (2,052,224) | -15.30% |
| EPS | -0.33 | -0.34 | – |
Copyright Mettis Link News
Posted on: 2024-10-31T12:09:57+05:00
