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.
| Consolidated Profit and Loss Account for the year ended December 31, 2023 (Rupees in '000) | |||
|---|---|---|---|
| Dec-23 | Dec-22 | % Change | |
| Mark-up/return/interest earned | 327,235,740 | 137,297,645 | 138.34% |
| Mark-up/return/interest expensed | 286,243,908 | 106,407,334 | 169.01% |
| Net mark-up/return/interest income | 40,991,832 | 30,890,311 | 32.70% |
| NON MARK-UP/INTEREST INCOME | |||
| Fee and commision income | 7,460,079 | 7,356,373 | 1.41% |
| Dividend income | 568,777 | 708,954 | -19.77% |
| Foreign exchange (loss) income | 297,507 | 1,887,347 | -84.24% |
| Income/(loss) from derivatives | |||
| Gain / (loss) on securities – net | 5,254,622 | 343,156 | 1431.26% |
| Other income-net | 4,172,011 | 306,755 | 1260.05% |
| Total non mark-up/interest income | 17,752,996 | 10,602,585 | 67.44% |
| Total Income | 58,744,828 | 41,492,896 | 41.58% |
| NON MARK-UP/INTEREST EXPENSES | |||
| Operating expenses | 37,304,167 | 27,663,459 | 34.85% |
| Workers welfare fund | 323,580 | 288,535 | – |
| Other charges | 54,909 | 42,931 | 27.90% |
| Total non mark-up/interest expenses | 37,682,656 | 27,994,925 | 34.61% |
| Profit before provisions | 21,062,172 | 13,497,971 | 56.04% |
| Provisions and write offs – net | -67,230 | -4,879,430 | -98.62% |
| Extra ordinary/unusual items | – | – | – |
| Profit before taxation | 21,129,402 | 18,377,401 | 14.97% |
| Taxation | 9,875,573 | 7,708,765 | 28.11% |
| Profit after taxation | 11,253,829 | 10,668,636 | 5.49% |
| Earnings per share – Basic and Diluted (in Rupees) | 3.39 | 3.25 | – |
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Posted on: 2024-02-20T13:24:12+05:00
