TMB soars with Rs1.03bn profit in Q1 2024

May 03, 2024 (MLN): Telenor Microfinance Bank (TMB) registered an impressive profit before tax of Rs1.03 billion during Q12024 compared to a loss before tax of Rs185 million reported for the same period last year, solidifying its position as a pioneering force in the fintech landscape of Pakistan.

During Q12024, customer deposits surged to Rs63.26bn, an increase of 29.6% from March 31, 2023, while the advances book increased to Rs19.15bn, registering a YoY growth of 53.5%. TMB also maintained a robust Capital Adequacy Ratio (CAR) of 22.8%, well above the regulatory requirements.

The achievement is a testament to TMB’s ability to scale and enhance profitability while maintaining sustainable growth.

The Bank maintained its robust performance by focusing strategically on unsecured loans, which comprise over 40% of its lending portfolio, contributing to its high traditional lending yield.

With a focus on current accounts, the Bank has achieved one of the lowest costs of deposits of 1.9% amongst other industry players, showcasing its operational efficiency primarily through mobile wallet deposits.

With more than 41m registered users, TMB’s flagship digital financial services platform, Easypaisa also recorded robust growth. The platform achieved a milestone of 14m plus monthly active users.

The easypaisa app maintained its position as Pakistan’s leading financial services app with a rating of 4.5, the highest amongst banking apps.

Commenting on the remarkable performance, Kashif Ahmed, Acting President & CEO of Telenor Bank/Easypaisa said, “As the first quarter of 2024 concludes, we are building upon the impressive momentum generated by our achievements in 2023, driving us forward."

"We remain focused on contributing to the growth and development of the economy while maintaining our customer-first approach," he added.

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