Bank of Punjab records Rs11.25bn profit in 2023, declares dividend

February 20, 2024 (MLN): The Bank of Punjab (PSX: BOP) announced its results for 2023, wherein the bank’s profit after tax rose 5.49% YoY to Rs11.25 billion [EPS: Rs3.39] compared to Rs10.67bn [EPS: Rs3.25] profit recorded in the same period last year (SPLY).

Along with the 2023 financial result, the Board of Directors (BoD) of BOP has recommended a final cash dividend for 2023 at Rs1/- per share i.e. 10%.

Going by the income statement made available by the company on the PSX, the bank’s net markup income soared by 32.7% YoY, to clock in at Rs40.99bn against Rs30.89bn recorded in 2022.

Similarly, the bank’s total non-markup interest income improved by 67.44% YoY to Rs17.75bn as compared to Rs10.6bn in SPLY.

This was primarily due to a major gain on securities of Rs5.25bn recorded in 2023, substantially higher than the gain of Rs343.16m in 2022.

However, under the non-markup income, the foreign exchange income dropped by 84.24% YoY to Rs297.51m in 2023.

The profit and loss statement further shows that the total non-mark-up/interest expenses stood at Rs37.68bn, up by 34.61% YoY.

During 2023, the bank incurred a provision expense of Rs67.23m, compared to a provision expense worth Rs4.88bn reported in the SPLY, reducing the burden on the bank’s profit.

On the taxation front, the bank incurred a tax of Rs9.88bn, 28.11% YoY lower than the tax of Rs7.71bn recorded in SPLY.

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