October 14, 2021 (MLN): Meezan Bank Limited (MEBL) has declared its financial results today for nine months ended September 30, 2021, as per which, the bank has witnessed an up of 8.17% in its net profit, standing at Rs19.97 billion which translated into an EPS of Rs12.14.
Along with the result, the Board of Directors (BoD) of the bank recommended a cash dividend for the quarter and 9MCY21, at Rs1.5 per share. This is in addition to the interim dividend already paid at Rs3 per share i.e, 30%.
This improvement in profits is attributed to improved non-funded income (NFI) and lower provisions.
According to the financial statement, the bank witnessed a contraction of 2.49% in Net Spread earned that clocked in at Rs48.50bn as a result of a 13.29% decline in Profits on deposits and other dues expensed during the period under review.
The non-funded income (NFI) of the bank jumped up by 41.13% YoY mainly on account of higher fee and dividend income (up by 119% YoY), commission income (up by 60% YoY), and FX income (up by 34.12% YoY). However, capital gain of securities plunged by 47% YoY to Rs535.4mn.
Moreover, operating expenses of the bank surged by 13.58% YoY whereas provision expenses declined by 87% YoY, supporting bottom-line growth.
On the taxation front, the bank paid Rs13.34bn during 9MCY21, as compared to Rs12.19bn in the same period last year.
Consolidated Profit and Loss Account for the nine months ended September 30, 2021 ('000 Rupees)
Profit/return earned on Islamic financing and related assets. Investments and placements
Profits on deposits and other dues expensed
Net spread earner
Fee and commission income
Foreign exchange income
gain on securities
Unrealized loss on held for trading investments
Workers' Welfare Fund
Total other expenses
Share of results of associates before taxation
Profit before provisions
Provisions and write offs -net
Profit before taxation
Profit after taxation
Basic and diluted earnings per share (Rupees)
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