Meezan Banks’ half yearly profits drive up by 37% on the back of top-line earnings

Meezan Bank Limited’s overall half yearly profits during the half year ended June 30th 2018, logged in at Rs.4.3 billion from Rs.3.13 billion during the half year period ended on June 30th 2017.

In a Board of Directors meeting held on August 29, 2018, the company finalized a report for the financial earnings for the above said period.

As per the release, Meezan Bank’s net spread after provisions witnessed a rise of 28% while fee, commission and brokerage income registered a 9% increase.

However the company suffered capital loss on sale of investments, worth Rs.43.7 million and other income dropped by 14% leading to 7% drop in Total income.

Although Total other expenses rose by 12%, Meezan Bank still managed to pull up overall half yearly profits by 37%.

Apart from this, Meezan Bank reported its Earnings per share at Rs.3.9 per share from Rs.3 per share on year-on-year basis.

,

Consolidated Profit and Loss Account for the Half Year Ended June 30th 2018 ('000 Rupees)

 

Jun-18

Jun-17

% Change

Profit/return earned on Islamic financing and related assets. Investments and placements

                                20,977,338

     16,948,720

23.77%

Profits on deposits and other dues expensed

                                   8,494,396

        7,232,298

17.45%

Net spread earner

                                12,482,942

        9,716,422

28.47%

(Reversal of provision)/provision against non-performing Islamic financing and related assets – net

                                      112,564

           (21,366)

 

Provision against diminution in the value of investments

                                         10,536

           128,581

-91.81%

Provision against off-balance sheet obligations

                                           1,820

                       –  

 

Bad debts written off directly

                                                  –  

                       –  

 

Net spread after provision

                                12,358,022

        9,609,207

28.61%

OTHER INCOME

 

 

 

Fee, commission and brokerage income

                                   3,360,422

        3,083,322

8.99%

Dividend income

                                      108,248

              90,871

19.12%

Income from dealing in foreign currencies

                                      714,043

           445,811

60.17%

Capital (loss)/gain on sale of investments – net

                                      (43,778)

           843,307

 

Unrealized gain/(loss)on held for trading investments

                                            (774)

                       –  

 

Other income

                                      180,247

           210,143

-14.23%

Total other income

                                   4,318,408

        4,673,454

-7.60%

OTHER EXPENSES

 

 

 

Administrative expenses

                                   9,431,143

        8,405,635

12.20%

Other reversal of provisions

                                         (9,525)

              (8,323)

14.44%

Other charges

                                               805

              10,268

-92.16%

Workers' Welfare Fund

                                      169,337

           147,025

15.18%

Total other expenses

                                   9,591,760

        8,554,605

12.12%

Share of results of associates before taxation

                                      146,213

         (206,887)

 

Extraordinary/unusual items

                                                  –  

                       –  

 

Profit before taxation

                                   7,230,883

        5,521,169

30.97%

Taxation

                                   2,942,220

        2,391,052

23.05%

Profit after taxation

                                   4,288,663

        3,130,117

37.01%

Basic and diluted earnings per share (Rupees)

                                             3.90

                  3.00

30.00%

 

Posted on: 2018-08-29T13:07:00+05:00

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