Faysal Bank’s quarterly profit drops by 18%

April 24, 2025 (MLN): Faysal Bank Limited (PSX: FABL) reported a profit after tax of Rs5.41 billion for the quarter ended March 31, 2025, representing an 18.15% decline compared to Rs6.61bn in the same period last year.

The bank has declared an interim cash dividend of Rs1.5 per share, equivalent to 15% of the face value of Rs10 each.

The bank’s total income stood at Rs23.02bn, down 3.57% from Rs23.87bn in the previous year, as net profit/return also decreased by 8.51% to Rs17.22bn.

Despite this, total other income grew by 14.85%, reaching Rs5.8bn, primarily driven by a 31.64% rise in fee and commission income and an 8.14% increase in foreign exchange income.

However, this growth was offset by declines in dividend income and gains on securities.

Operating expenses rose significantly by 24.71% to Rs13.66bn, contributing to a total expense increase of 23.75%.

The bank’s share of profit from associates also dropped by 53.65% to Rs47.26 million.

A reversal of credit loss allowance and write-offs amounting to Rs2.31bn provided some relief, helping to lift the bank’s profit before taxation to Rs11.49bn, a decrease of 9.63% compared to Rs12.71bn last year.

Taxation remained almost flat at Rs6.08bn, resulting in a profit after taxation of Rs5.41bn.

Earnings per share for the quarter were reported at Rs3.56, compared to Rs4.35 in the corresponding period of 2024.

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