Soneri Bank posts half-year results with strong 27pc profit growth

KARACHI: Soneri Bank Limited reported a 27 per cent increase in its half-year net profit on Friday, due to an increase in interest earned income.

In a statement to the Pakistan Stock Exchange (PSX), the bank reported a net profit of Rs3.2 billion for the half-year that ended on June 30, up from Rs2.53 billion during the same period the previous year.The bank also announced an interim cash dividend of Rs1.25 a share.

Earnings per share came in at Rs2.9, compared with Rs2.29 a share last year.The bank said its interest earned income for the half-year rose to Rs56.9 billion, compared with Rs43.63 billion during the same period a year earlier. Interest expensed income also remained higher at Rs45.3 billion from Rs33.5 billion a year ago.

For the quarter that ended on June 30, the bank reported a net profit of Rs1.4 billion, up from Rs1.03 billion during the same quarter last year. EPS for the quarter was recorded at Rs1.3 against Re0.94 a share last year.

The bank in a statement said despite unprecedented inflation levels and the ongoing branch expansion drive, growth in expenses, was restricted at 28.01 per cent as compared to the previous year, mainly due to prudent cost control policies and discipline.

Having targeted the milestone of opening 100 new branches this year, the bank is now operating with a network of 508 branches (December 2023: 443 branches) and has added 65 more branches nationwide. As of June 30, 2024, the bank’s non-performing loans to total advances ratio has come down significantly to 4.13 per cent (December 2023: 4.9 per cent) due to efficient results on the recovery front.