Bank of Punjab announces first quarter results

LAHORE: A meeting of the Board of Directors of The Bank of Punjab was held to consider and approve the un-audited Financial Statements for the 1st quarter of year ended March 31, 2020.

During 1st quarter of year 2020, Bank’s Net Interest Margin (NIM) remained a little subdued at Rs. 5.9 billion as against Rs. 6.3 billion last year, due to the strategy of the Bank to focus on avenues of investments other than the traditional interest income of loans and advances. Accordingly, Non- Markup/ Interest Income increased to Rs. 2.0 billion as against Rs. 0.8 billion showing a substantial increase of 150percent.

Keeping in view the prevalent economic situation, Bank opted to create provision against certain loans & advances on prudent basis. Therefore, during 1st quarter of the year, the Bank posted after tax profit of Rs. 1.5 billion as against Rs. 1.9 billion earned during 1st quarter of year 2019. Earnings per Share (EPS) for the 1st quarter of year 2020 remained at the level of Rs. 0.57 per share.

The Bank’s Total Assets as at March 31, 2020 improved to Rs. 899.1 billion as against Rs. 868.9 billion as of December 31, 2019. The Deposits of the Bank touched the level of Rs. 716.1 billion, while Investments and Gross Advances were recorded at Rs. 387.9 billion and Rs. 417.5 billion, respectively. The Tier-I equity remained at Rs. 40.9 billion and Capital Adequacy Ratio (CAR) also improved to 16.69 percent from 14.80 percent as on December 31. 2019. As on March 31, 2020, the Bank stands fully compliant with the SBP’s prescribed requirement of CAR.****