NBP's consolidated profit drops 13% YoY to Rs9.8bn in Q12024

April 29, 2024 (MLN): National Bank of Pakistan (PSX: NBP)’s financial disclosure for Q1 2024 reveals that the bank’s consolidated profit dropped to Rs9.82 billion [EPS: Rs4.56], around 13% YoY lower than the earnings of Rs11.29bn [EPS: Rs5.29] reported in the same quarter last year (SPLY).

Going by the income statement, the bank witnessed a decline of 10.72% YoY in its net interest income (NII) to stand at Rs29.13bn in Q12024.

NBP's interest expenses surpassed its markup income, leading to a decline in the markup income section.

Conversely, the bank’s total non-markup income improved by 69.07% YoY to Rs14.51bn, owing to a massive rise in gain of securities that was recorded at Rs4.42bn during the quarter as compared to just Rs369.3m in Q12023.

Under the same head, all other components such as Fee and commission income, Dividend income and foreign exchange income showed positive increases.

On the expense side, the NBP’s total non-markup expenses increased by 4.29% YoY to Rs22.48bn compared to Rs21.56bn in Q12023.

The increase was attributed to the jump of 4.32% YoY recorded in the operating expenses which rose from Rs21.54bn to Rs22.47bn.

However, an opposite trend was witnessed in the bank’s other charges section that reduced massively during the review quarter.

The bank’s Credit loss allowance inched down to Rs727.49m, while during the SPLY, it was recorded at Rs734.19m.

On the tax front, the bank paid Rs10.61bn, 39.18% YoY higher than the amount of return paid in Q12023.

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