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Monday September 26, 2022

MCB half-year net profit declines 24 percent

By Our Correspondent
August 18, 2022

KARACHI: MCB Bank Limited (MCB) on Wednesday reported a 24 percent fall in its half-year net profit on higher taxes.

The bank reported a net profit of Rs11.386 billion for the half-year ended June 30, down from Rs14.963 billion during the same period the previous year.

The bank also announced an interim cash dividend of Rs4 per share, which is an addition to the Rs5 interim dividend already paid.

Earnings per share came in at Rs9.59 a share, compared with Rs12.56 a share last year.

The MCB said its interest income for the half-year rose to Rs92.315 billion, compared with Rs62.733 billion a year earlier. However, interest expenses remained higher at Rs50.066 billion from Rs29.001 billion a year ago.

Taxes remained higher at Rs22.061 billion from Rs10.682 billion recorded during the same period last year.

For the quarter ended June 30, the bank recorded a net profit of Rs2.280 billion, down from Rs7.914 billion during the same period last year. EPS for the quarter was recorded at Rs1.93 from Rs6.64 a year ago.

ABL’s H1 profit drops 23pc

Allied Bank Limited (ABL) showed a 23 percent decline in its half-year net profit on higher taxes.

The bank reported a net profit of Rs6.825 billion for the half-year ended June 30, down from Rs8.876 billion during the same period the previous year.

The bank also announced an interim cash dividend of Rs2 per share for the period, which is an addition to the Rs2 interim dividend already paid.

Earnings per share came in at Rs5.96 a share, compared with Rs7.75 a share last year.

The ABL said its interest income for the half-year rose to Rs87.572 billion, compared with Rs53.338 billion a year earlier. However, interest expenses remained higher at Rs60.063 billion from Rs30.330 billion a year ago.

Taxes remained higher at Rs13.267 billion from Rs6.010 billion recorded during the same period last year decreasing the profit margins.

For the quarter ended June 30, the bank recorded a net profit of Rs1.976 billion, down from Rs4.764 billion during the same period last year. EPS for the quarter was recorded at Rs1.73 from Rs4.16 a year ago.

NBP 6-month profit down 28 percent

National Bank of Pakistan (NBP) posted a 28 percent fall in its half-year net profit on an increase in taxes.

The bank reported a net profit of Rs12.242 billion for the half-year ended June 30, down from Rs17.047 billion during the same period the previous year.

The bank skipped any dividend for this period.

Earnings per share came in at Rs5.74 a share, compared with Rs7.98 a share last year.

The NBP said its interest earned income for the half-year rose to Rs179.495 billion, compared with Rs108.089 billion a year earlier. However, interest expenses remained higher at Rs126.310 billion from Rs60.606 billion a year ago.

Provisions and write-offs for the half-year remained at Rs2.024 billion, lower than Rs6.937 billion during the same period last year.

Taxes remained higher to Rs21.873 billion from Rs11.126 billion recorded during the same period last year decreasing the profit margins.

For the quarter ended June 30, the bank recorded a net profit of Rs2.528 billion, down from Rs9.202 billion during the same period last year. EPS for the quarter was recorded at Rs1.18 from Rs4.31 a year ago.

Askari Bank H1 profit up 53pc

Askari Bank Limited (AKBL) announced half year net profit Rs6.313 billion, which was 53 percent up as compared to Rs4.11 billion of the same period last year.

The bank posted gross profit of Rs12.157 billion, depicting a year-on-year (YoY) increase of 80 percent on the back of strong delivery by all business segments.

Earning per share remained at Rs5.01, showing an increase of 53 percent YoY.

Bank’s revenues increased by 11 percent YoY to Rs23 billion contributed by robust growth across key income streams.

Operating expenses were well contained and effectively declined by 3 percent YoY despite the addition of 23 new branches and high inflation.

“This trend reflects the effective implementation of various cost rationalization initiatives and has also placed AKBL’s cost to income ratio amongst the best in industry for the current period,” AKBL said.

The total asset base of the bank grew by 23 percent during the six months to Rs1.54 trillion (38 percent YoY). The bank has been pursuing a strategy to grow market share of retail business, particularly retail deposit and current accounts in the business hubs of central and south regions.

The bank’s loan portfolio increased by 14 percent over December ‘21 to Rs578 billion (26 percent YoY).

AKBL said it plans to grow market share in retail segment, particularly low-cost and saving deposits, which aligns well with the branch network expansion.

Engro Corp first half profit falls 42pc

Engro Corporation reported a 42 percent fall in its half-year net profit on higher financial cost and taxes.

In its consolidated statement to the Pakistan Stock Exchange, the company reported a net profit of Rs16.812 billion for the half-year ended June 30, down from Rs29.110 billion the previous year.

The company announced a final cash dividend of Rs11 a share, which is in addition to the interim dividend already paid at Rs12 per share.

Earnings per share came in at Rs12.87/share, compared with Rs29.60/share last year.

Engro said its revenue for the year rose to Rs177.454 billion, compared with Rs139.319 billion by the same period a year earlier.

The company said its cost of sales for the period also rose to Rs123.281 billion, compared with Rs91.523 billion the previous year. Financial costs increased to Rs12.001 billion from Rs7.948 billion, decreasing the profits.

Taxation also increased to Rs20.277 billion from Rs8.849 billion during the same period last year.

Other income of the company rose to Rs9.623 billion during the concerned period, compared with Rs6.715 recording during the same period last year.

For the quarter ended June 30, Engro reported a net profit of Rs1.915 billion, down from Rs14.331 billion during the same quarter last year.

Loss per share was reported at Re0.97 during this period against EPS of Rs15.13 last year.

The company reported that higher taxes for the quarter at Rs14.369 billion, compared with Rs2.994 billion during the same period last year reduced the profit margins.

Shell Pakistan half-year profit jumps 246pc

Shell Pakistan Limited (SPL) posted a profit after tax of Rs7.469 billion for 6 months of 2022, compared to the profit of Rs2.153 billion made in the same period last year.

The turnaround was mainly driven by improved business performance focusing on strategic priorities such as differentiated fuels and lubricants, the positive change in pricing formula to pricing agency S&P Global Platts’ indexes by the government, and safe and efficient fuel operations, SPL said.

During the concerned period, it added, the mobility business launched 13 new retail sites, which would help deliver increased volume.

Shell V-Power remained the market leader in the premium fuels category. Through successful dialogue with the government, SPL would see expansion of its network in Punjab, the company said.

The company also announced its decision to discontinue its aviation operations across Pakistan. Presently, SPL carries out its aviation related operations at four locations. They are Jinnah Airport in Karachi, Quetta International Airport, Begum Nusrat Bhutto Airport in Sukkur and Nawabshah Airport.

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