The Board of Directors of Meezan Bank Limited has approved the condensed interim and unconsolidated financial statements of the bank and its consolidated financial statements for the first nine months of 2019.
The bank posted an after-tax profit of Rs. 10.94 billion, up by almost 75.32% as compared to Rs. 6.24 billion in the corresponding period of last year.
The meeting was presided by Mr. Riyadh S.A. A. Edrees. Chairman of the Board, Mr. Faisal A. A. A. Al – Nassar – Vice Chairman of the Board was also present.
Total assets of the bank grew by 9.4% p.a. to close at Rs. 1.004 trillion. The bank’s Islamic Financings and related assets portfolio closed at Rs. 473 billion with exposure in all industry segments with an Advances to Deposit Ratio of 56%. The bank’s nonperforming financings ratio of 1.65% is well below the industry average of 9% which indicates the strong credit quality of the bank’s assets portfolio while its coverage ratio stood at 136% as of September 30, 2019.
The robust increase in profits largely came from exceptional growth in returns earned on Islamic financing and related investments.
The board has approved a 10% interim cash dividend (Rs. 1.0 per share) for the third quarter of 2019 bringing the total dividend payout for the nine months to Rs. 3.0 per share (30%). The bank has maintained an unbroken payout record since its listing on Pakistan Stock Exchange in the year 2000.
Earnings per share of the bank were reported at Rs. 8.51 as compared to Rs. 4.86.
The bank’s deposits grew by 9.1% p.a. since December 31, 2018, and reached Rs. 839 billion on September 30, 2019, which makes Meezan Bank the seventh-largest bank in terms of deposits.
Meezan Bank has the seventh-largest branch banking network in Pakistan with 689 branches in more than 190 cities and the bank is planning to expand its network to facilitate access to Islamic Banking to more and more people in the country.
Meezan Bank’s focus on providing customized solutions to its customers through a wide range of products and services enabled it to become the Best Bank in Pakistan for 2018, as recognized by the Pakistan Banking Awards. The bank is also leading the industry in consumer financing, emerging as one of the top players in car and house finance.