Bank Al Habib Declares Profit of Rs. 4.6 Billion in Q1

Bank Al Habib Limited has posted a handsome profit of Rs. 4.6 billion, which is 60.9 percent higher than the corresponding period last year.

Its profit before tax was recorded at Rs. 7.06 billion, showing a growth of 47.36 percent as compared to the corresponding period last year, driven by markup income, fees, and commission income. This translated into earnings per share (EPS) of Rs. 4.14 per share against Rs. 2.57 per share for the corresponding period last year.

Bank Al Habib’s net markup income increased by 16.56 percent as compared to the corresponding period last year, registering at Rs. 13.11 billion while reflecting its success in maintaining sustainable growth.

Despite the challenging conditions and free online offerings during the pandemic, Bank Al Habib managed to increase its fee and commission income by 38.23 percent as compared to the first quarter of 2020.

Its total assets reached Rs. 1.61 trillion, which was an increase of 5.65 percent as compared to 31 December 2020. Its net loans and advances grew by 4.54 percent to reach Rs. 533.43 billion while the investments increased by 10.38 percent to reach Rs. 844.31 billion, leading to overall growth in its total assets.

Due to Bank Al Habib’s sound risk management practices and prudent financing strategy, the NPL ratio was recorded at 1.24 percent. It achieved a coverage ratio of 182.87 percent which reflects the prudent approach adopted towards non-performing loans.

Its deposits increased 6.16 percent, bringing the total deposits to Rs. 1.17 trillion on 31 March 2021. Its Capital Adequacy Ratio (CAR) was recorded at 14.10 percent on 31 March 2021 against the regulatory capital requirement of 11.50 percent (including a capital conversion buffer of 1.50 percent as reduced under the BPRD circular letter no. 12 of 2020).

Bank Al Habib’s Gross Advances to deposit ratio stood at 46.75 percent.

It continued with its strategy for outreach expansion and added a significant number of branches every year. Its branch network has now reached 912 branches and sub branches, and two booths having coverage in 366 cities in Pakistan, in addition to three foreign branches (one each in Bahrain, Malaysia, and Seychelles) and four representative offices (one each in Dubai, Istanbul, Beijing, and Nairobi).

Source: Pro Pakistani