October 23, 2018 (MLN): National Bank of Pakistan (NBP) has successfully converted a decline in its consolidated pre-tax profits, into growth in overall profits by virtue of tax benefits.
As per the company’s overall profits during the nine month period ended September 30th 2018, the establishment’s net mark-up/interest income after provisions recorded a slight increase while total non-mark-up/interest income dropped by smaller magnitude.
Meanwhile, total non-mark-up/interest expenses grew by a much larger margin, resulting in pre-tax profits to drop marginally.
Fortunately, since taxation reduced by Rs.1.6 billion or 18.7% during the quarter, overall profits reduced by 9.5% as they came down from Rs.14.8 billion to Rs.16.2 billion
National Bank’s basic and diluted earnings per share have been recorded at Rs.7.59 per share during the period.
Consolidated financial results for the nine month period ended September 30th 2018 ('000 Rupees) |
|||
---|---|---|---|
|
Sep-18 |
Sep-17 |
% Change |
Mark-up/return/interest earned |
105,390,759 |
88,128,234 |
19.59% |
Mark-up/return/interest expensed |
61,657,349 |
49,492,373 |
24.58% |
Net mark-up/interest income |
43,733,410 |
38,635,860 |
13.19% |
Provision against non-performing advances – net |
3,997,372 |
2,480,060 |
61.18% |
Provision/(reversal of provision) for diminution in the value of investments – net |
421,574 |
(2,799,769) |
|
Provision against off balance sheet obligations |
– |
– |
|
Bad debts written off directly |
– |
– |
|
Net mark-up/interest income after provisions |
39,314,464 |
38,955,569 |
0.92% |
NON MARK-UP/INTEREST INCOME |
|
|
|
Fee, commission and brokerage income |
13,759,997 |
12,843,094 |
7.14% |
Dividend income |
1,939,788 |
2,336,739 |
-16.99% |
Income from dealing in foreign currencies |
3,254,969 |
1,540,701 |
111.27% |
Gain on sale and redemption of securities – net |
3,197,976 |
6,195,580 |
-48.38% |
Unrealized loss on revaluation of investments classified as held-for-trading |
(10,167) |
14,789 |
-168.75% |
Share of (loss)/profit from joint venture |
(188,427) |
67,305 |
|
Share of(loss)/profit from associates |
8,553 |
(499,867) |
|
Other income |
1,694,011 |
1,264,414 |
33.98% |
Total non-mark-up/interest income |
23,656,699 |
23,762,754 |
-0.45% |
NON MARK-UP/INTEREST EXPENSES |
|
|
|
Administrative expenses |
39,087,168 |
37,443,677 |
4.39% |
Other provisions/write offs |
541,779 |
1,587,040 |
-65.86% |
Other charges |
24,276 |
155,312 |
-84.37% |
Total non-mark-up/interest expenses |
39,653,223 |
39,186,029 |
1.19% |
Extraordinary items |
– |
– |
|
Profit before taxation |
23,317,940 |
23,532,295 |
-0.91% |
Taxation |
7,071,837 |
8,700,515 |
-18.72% |
Profit after taxation |
16,246,102 |
14,831,780 |
9.54% |
Basic and diluted earnings per share |
7.59 |
6.91 |
9.84% |
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