National Bank of Pakistan (NBP) posted its highest ever profit in a fiscal year with 12% growth to stand at Rs. 37,141 million in 2016 against Rs. 33.216 million an year ago. This showed a net increase of Rs. 3.925 million in profits.
National Bank announced its financial results in the 68th Annual General Meeting (AGM) that was held at a local hotel in Karachi on Thursday, March 30th, 2017.
President of the Bank, Saeed Ahmad chaired the meeting.
The shareholders approved financial statements and cash dividend of Rs. 7.50/- per share as recommended by the Board of Directors of the bank. This translates into 78% dividend payout of the bank’s distributable profit for the year 2016 (after statutory reserve allocation).
“This is highest ever profit in history of the bank translating into Rs. 10.69 earnings per share. Despite a generally difficult year for the banking industry, the Bank succeeded to record growth in both interest / mark-up income and fee based income.” Saeed Ahmed told the AGM.
Saeed Ahmed informed AGM that the improved results were achieved through effective execution of strategies which encompass improving deposit-mix, earning assets optimization and re-profiling, better cost controls and expansion of market footprint in both conventional and Islamic business.
The bank achieved 16% growth in deposits and a 13% growth in advances; whereas its capital & reserves increased to Rs. 177 billion as of December 31, 2016.