HBL’s profits grow by 29% YoY during 1QCY20

April 22. 2020 (MLN): Habib Bank Limited (HBL) has announced its financial results for the 1st quarter ended March 31, 2020. According to the results, the bank has posted consolidated profits after tax of Rs 4.10 billion (EPS: Rs 2.79) against Rs 3.17 billion (EPS: Rs 2.08) in 1QCY20, up by 29% YoY.

The bank also announced an interim cash dividend for the 1QCY20 at Rs 1.25 per share i.e. 12.5%.

According to the financial results released by the bank, the interest income went up 41% YoY at Rs 72 billion in 1QCY20. However, interest expense also increased by 58% YoY, thereby curtailing growth in the bank’s net interest income (NII) to 20% YoY during the aforementioned period.

During the period under review, the bank’s non-funded income (NFI) dropped by 13%YoY on an account of foreign exchange losses of Rs 1.19 billion and losses from derivatives of Rs 280 million, However, the bank’s NFI was supported by capital gains of Rs 2.27 billion.  

The bank’s operating expenses surged by 20% YoY to stand at Rs 25.63 billion while tax expense decreased by 42% YoY in 1QCY20. 

Consolidated Profit and Loss Account for the quarter ended March 31, 2020 (Rupees '000)

 

Mar-20

Mar-19

% Change

Mark-up/return/profit/interest earned

 72,645,814

 51,524,931

40.99%

Mark-up/return/profit/interest expensed

 44,632,354

 28,167,143

58.46%

Net mark-up/return/profit/interest income

 28,013,460

 23,357,788

19.93%

Non-mark-up/interest income

 

 

 

Fee and commission income

 4,730,547

 5,332,333

-11.29%

Dividend income

 79,519

 100,811

-21.12%

Share of profits of associates and joint venture

 255,349

 891,248

-71.35%

Foreign Exchange (loss)/ Income

 (1,193,768)

 465,879

(Loss) / income from derivatives

 (280,304)

 184,516

(Loss) / gain on securities- net

 2,279,970

 (386,628)

Other (loss) income

 (93,812)

 58,507

Total non-mark-up /interest income

 5,777,501

 6,646,666

-13.08%

Total Income

 33,790,961

 30,004,454

12.62%

Non mark-up/interest expenses

 

 

 

Operating expenses

 25,639,193

 21,440,799

19.58%

Workers' Welfare Fund

 161,519

 161,195

0.20%

Other charges

 232,198

 50,652

358.42%

Total non-mark-up/interest expenses

 26,032,910

 21,652,646

20.23%

Profit/(loss) before provision and taxation

 7,758,051

 8,351,808

-7.11%

Provision/(reversals) and write offs-net

 625,273

 (82,971)

Profit before taxation

 7,132,778

 8,434,779

-15.44%

Taxation

 (3,024,676)

 (5,257,226)

-42.47%

Profit/(loss) after taxation

 4,108,102

 3,177,553

29.29%

Earnings per share – basic and diluted (Rupees)

 2.79

 2.08

34.13%

 

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Posted on: 2020-04-22T14:18:00+05:00

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