Karachi – Allied Bank Limited, one of Pakistan’s leading financial institutions, announced a profit after tax of Rs12.88 billion for the year 2018, reflecting a commendable 1.15 percent increase compared to the preceding year’s profit of Rs12.733 billion.
The financial results were disclosed in the unconsolidated profit and loss account of the bank.
The total income of Allied Bank Limited saw a significant rise, reaching Rs43.4 billion for the year ending December 31, 2018, compared to Rs40.29 billion in the previous year. This uptick in total income underscores the bank’s ability to navigate a dynamic economic environment and capitalize on growth opportunities.
Key highlights from the financial report indicate that the net mark-up/interest income for the reviewed period stood at Rs32.11 billion, displaying a growth trajectory from the preceding year’s Rs31.578 billion. The steady increase in net mark-up/interest income is indicative of the bank’s effective management of interest rate fluctuations and its commitment to optimizing its core banking operations.
Furthermore, the total non-markup/interest income for the year witnessed a substantial increase, reaching Rs11.289 billion compared to the previous year’s figure of Rs8.712 billion. This surge in non-interest income suggests diversified revenue streams, possibly originating from fee-based services and other non-traditional banking activities.
On the expenditure front, the bank reported total expenses, including operating expenses and workers’ welfare fund, amounting to Rs23.3 billion, a notable increase from the preceding year’s Rs21.93 billion. Despite the rise in expenses, the bank maintained a healthy gross profit of Rs21 billion, slightly higher than the Rs20.87 billion reported in the previous year.
The unappropriated profit brought forward by the bank stood at Rs49.212 billion, demonstrating the bank’s financial stability and accumulated reserves. This robust financial position is crucial for maintaining resilience in the face of economic uncertainties and facilitating future growth initiatives.
The bank also disclosed its earnings per share, with basic earnings per share at Rs11.25, a marginal increase from Rs11.12 in the preceding year. Similarly, diluted earnings per share were reported at Rs11.25, compared to Rs11.12 in the previous year. The consistent growth in earnings per share indicates the bank’s commitment to creating value for its shareholders.
The financial performance of Allied Bank Limited in 2018 reflects a prudent and strategic approach to banking operations, leveraging its strengths to navigate challenges and capitalize on emerging opportunities. The bank’s ability to maintain profitability, increase total income, and manage expenses positions it well in a competitive banking landscape.
As Allied Bank Limited continues its operations, stakeholders and investors will be closely monitoring the bank’s strategic initiatives and financial performance to gauge its resilience and adaptability in a dynamic economic environment. The positive financial results for 2018 provide a foundation for optimism as the bank moves forward in contributing to the growth and stability of Pakistan’s banking sector.
