Meezan Bank continued its growth momentum registering a double digit profit of 14.6 percent for the nine month period ending September 2017. It surged to Rs. 4.717 billion as compared to Rs 4.114 billion recorded in corresponding period last year.
It is due to the Islamic banking that even during times when interest rates are at a record low and all major banks are witnessing a decline in profit, Meezan Bank maintained double digit growth which is not only showing a sign of efficiency of the bank but the acceptance level of Islamic banking among the masses.
According to the financial results, the Earning per Share (EPS) of the bank has increased to Rs. 4.70 per share from Rs. 4.10 per share. On asset side, the ADR of the bank increased to 59% as compared to 55% in December 2016.
Meezan Bank attained few of more achievements in the outgoing quarter. Its trade business volume grew by 42% to half a trillion landmark as against Rs. 353 billion in the corresponding period last year. Its total deposits crossed Rs. 600 billion benchmark while maintaining an optimal cost of funds.
In the last quarter, it attained a milestone of Rs. 1 billion in assets.
Meezan Bank Raises Rs 3 Billion From Right Shares
The bank successfully completed the 6% Right Issue of shares to the existing shareholders at a price of Rs. 50 per share (inclusive of Rs 40 as premium per share) approved by the board in its last meeting held in the previous quarter.
The bank’s equity (including share premium) increased by Rs. 3 billion after the Rights Issue. This increase in equity will support the bank’s growth plans as the bank’s Capital Adequacy Ratio now stands at a comfortable level of 13.6%.
According to details, the sponsors and directors have subscribed to buy shares of worth Rs. 2.684 billion. The value of public subscription to right shares stands at Rs. 315 million and the share of underwriters stands at Rs. 7.82 million in the subscription of right shares issue.