KARACHI, April 23, 2026 – Meezan Bank Limited, Pakistan’s largest Islamic bank, reported a marginal decline in profit for the first quarter of calendar year 2026, as higher operating expenses weighed on earnings despite growth in total income.
According to its consolidated financial results for the quarter ended March 31, the bank posted a profit after tax of Rs22.40 billion, slightly lower than Rs22.42 billion recorded in the same period last year.
Earnings per share stood at Rs12.39, compared with Rs12.32 a year earlier, reflecting stable profitability amid cost pressures.
The bank’s board of directors, in a meeting held on April 23, approved an interim cash dividend of Rs7.50 per share for the quarter, underlining its commitment to shareholder returns.
Meezan Bank reported net income of Rs61.43 billion during the period, broadly in line with Rs61.78 billion in the corresponding quarter of 2025. However, strong growth in non-funded income supported overall performance, with other income—comprising fee and commission earnings, foreign exchange gains and income from securities—rising to Rs12.34 billion from Rs9.24 billion.
This lifted total income to Rs73.77 billion, up from Rs71.02 billion a year earlier.
Operating expenses, however, surged to Rs23.09 billion, compared with Rs19.17 billion in the same quarter last year, reflecting inflationary pressures and ongoing investments in branch expansion and digital infrastructure.
The bank also reported a lower tax expense of Rs25.66 billion, compared with Rs28.87 billion in the prior-year period.
Analysts said the modest dip in profit highlights the impact of rising costs on the banking sector, even as revenue streams remain resilient. They added that Meezan Bank’s strong income base and dividend payout demonstrate continued financial stability in a challenging economic environment.