March 4, 2019 (MLN): The Bank of Punjab has declared net profits of Rs. 7.6 billion (EPS: Rs. 2.85) for the year ended December 31, 2018, as compared to losses of Rs. 3.3 billion incurred last year. BoP was successfully able to transit its losses from last year into positive gains due to positive change in total income, absence of provisions and write-offs, and tax rebates.
The impact of increase in total interest expenses by 25% (Rs. 2.5 billion) was effectively countered by increase in total income by 18% (Rs. 3.5 billion).
Moreover, as opposed to last year, BoP had no net provisions and write-offs this year. Instead, it enjoyed provision reversals amounting to Rs. 1.2 billion.
Tax rebates of Rs. 4.6 billion played a major role in improving the profitability of the bank.
|
Profit and loss account for the year ended December 31 2018 (Rupees'000) |
|||
|---|---|---|---|
|
|
Dec-18 |
Dec-17 |
% Change |
|
Mark-up / return / interest earned |
46,958,070 |
34,749,428 |
35.13% |
|
Mark-up / return / interest expensed |
26,837,368 |
19,094,707 |
40.55% |
|
Net mark-up / interest income |
20,120,702 |
15,654,721 |
28.53% |
|
NON MARK-UP / INTEREST INCOME |
|
|
|
|
Fee and commission income |
3,266,117 |
2,817,820 |
15.91% |
|
Dividend income |
82,083 |
91,361 |
-10.16% |
|
Foreign exchange income |
226,675 |
109,173 |
107.63% |
|
Income / (loss) from derivatives |
|
|
|
|
Gain on securities – net |
27,767 |
1,316,235 |
-97.89% |
|
Other income – net |
97,092 |
269,128 |
-63.92% |
|
Total non-markup / interest income |
3,699,734 |
4,603,717 |
-19.64% |
|
Total income |
23,820,436 |
20,258,438 |
17.58% |
|
NON MARK-UP / INTEREST EXPENSES |
|
|
|
|
Operating expenses |
12,716,976 |
10,174,996 |
24.98% |
|
Workers welfare fund |
|
|
|
|
Other charges |
53,565 |
43,003 |
24.56% |
|
Total non-markup / interest expenses |
12,770,541 |
10,217,999 |
24.98% |
|
Profit before provisions |
11,049,895 |
10,040,439 |
10.05% |
|
(Reversals) / provisions and write offs – net |
-1,222,149 |
14,736,584 |
|
|
Extra ordinary / unusual items |
|
|
|
|
PROFIT / (LOSS) BEFORE TAXATION |
12,272,044 |
-4,696,145 |
|
|
Taxation – net |
4,650,666 |
-1,379,069 |
|
|
PROFIT / (LOSS) AFTER TAXATION |
7,621,378 |
-3,317,076 |
|
|
Earnings per share-Basic and Diluted |
2.85 |
-1.65 |
|
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