During the nine months period that ended on September 30, 2018, MCB Bank Limited reported a Profit Before Tax (PBT) of Rs. 23.32 billion (-10.32%) and MCB Bank has recorded a drop of 25 percent in its profit during the third quarter compared to last year.
According to the financial results, the bank reported a Profit After Tax (PAT) of Rs. 14.31 billion in the said period. The significant decrease in PAT was on account of a tax provision reversal amounting to Rs. 3.59 billion recorded in 2017.
The non-markup income block of the bank was reported at Rs 11.76 billion reflecting a decrease of 15% when compared with the corresponding period last year, primarily on account of capital market performance. The Bank continued with its focus on core non-fund based income stream which was reflected in 9% growth in the fee, commission and brokerage line. Income from dealing in foreign currencies reflected an increase of Rs. 196 million (+18%) when compared with the corresponding period last year.
On the administrative expenses side, the bank reported an increase of 12.47% (excluding pension fund) over the corresponding period last year with a major increase in personnel cost, rent, depreciation and repairs, mainly associated with the Ex-NIB operational activity.
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The total asset base of the bank on a standalone basis was reported at Rs. 1.296 trillion reflecting a decrease of 2.4% over December 31, 2017.
The bank’s total Capital Adequacy Ratio is 15.52% against the requirement of 11.275% (including capital conservation buffer of 1.275%).
The Board of Directors declared a 3rd interim cash dividend of Rs. 4.0 per share for the nine month period of 2018, which is in addition to Rs. 8.0 per share interim dividend already paid to shareholders.
