One of the largest banks in terms of assets and network, Allied Bank Limited, failed to sustain its profitability and has posted negative profit growth of 4 percent year-on-year in 2021.
According to the financial results, the bank made a profit of Rs. 17.5 billion ($99 million) in 2021 as compared to Rs. 18.3 billion recorded during 2020.
The decline in profitability was attributed to the interest income during the period which decreased to Rs. 45.6 billion in 2021 from Rs. 48.3 billion reported a year before. The bank managed to book handsome income from the non-markup avenues which stood at 16.7 billion by the end of 2021.
The bank’s total revenue surged to Rs. 62.3 billion. Its overall expense surged to Rs. 34.4 billion during 2021. The bank lost an amount of Rs. 811 million on account of provision and write-off while it paid taxes of more than Rs. 11 billion in the said period.
The bank’s earnings per share stood at Rs. 15.2. The board of directors made a cash dividend of Rs. 2 per share which is in addition to Rs. 6 per share already paid to the shareholders.
Allied Bank Limited is the leading bank that initiated banking services on WhatsApp in Pakistan — a trend that is being adopted by various market players. It is also the first bank to implement an image-based clearing system for the entire branch network connected with NIFT for all types of ‘Inward Clearing’ and ‘Electronic Returns’.
The bank is operating with a wide network of more than 1,350 branches and 1,550 ATMs in Pakistan.
