Bank of Punjab (BoP) has posted a unconsolidated profit after tax (PAT) of Rs. 10.83 billion in the calendar year 2022 (CY22), down from PAT of Rs. 12.44 billon reported in the previous year (CY21).
During CY22, bank’s balance sheet grew by 24 percent and reached the level of Rs. 1.48 trillion. As on December 31, 2022, bank’s deposits stood at the level of Rs. 1.23 trillion showing a growth of 22 percent. The bank posted before tax profit of Rs. 18.51 billion during CY22. Earnings per Share (EPS) for year 2022 stood at Rs. 3.64 per share.
During the year 2022, Net Interest Margin (NIM) improved to Rs. 30.76 billion as against Rs. 29.88 billion during year 2021. Non-Markup/ Interest Income (excluding gains on securities) increased to Rs. 10.23 billion as against Rs. 6.12 billion showing an increase of 67 percent.
During the year, bank’s NPLs reduced to Rs. 51.56 billion on account of recovery/regularization with net recoveries/reversal of Rs. 0.47 billion during the year. Investments and Gross Advances were recorded at Rs. 638.26 billion and Rs. 634.38 billion, respectively. Book Value per share (excluding surplus on assets) improved to Rs. 22.65 as against Rs. 21.26 as on December 31, 2021.
As on December 31, 2022, bank’s Equity improved to Rs. 65.05 billion as against Rs. 54.83 billion as on December 31, 2021. The bank during the year managed to improve its risk profile despite the economy being besieged by severe challenges. In addition, BOP was also able to raise tier 1 capital via TFC issue of Rs. 8.02 billion exhibiting the faith the market has in BOP’s financial strength. Bank’s CAR and LR stood at 13.11 percent and 3.46 percent respectively as of December 31, 2022.
The board, while reviewing financial performance of the bank, appreciated the efforts of management for showing remarkable financial results despite very challenging economic conditions and political uncertainty along with once-in-a-lifetime natural disaster, i.e. the super floods of 2022 inflicted losses of $30 billion to the country’s fragile economy and to the livelihoods of more than 30 million citizens.
During the year 2022, BOP launched a range of product and service offerings, including Credit Card, Digibop Mobile App & Internet Banking, philanthropic employee volunteering program “BOP Madadgar”, in addition to BOP Naaz, and BOP@Work. BOP Select was launched to expand BOP’s Khaas proposition, and NIFT ePay Services were introduced to increase its Mobile App’s use-case scenarios. Other high-profile product launches include the development of the innovative Area Yield Index Insurance, Electronic Warehouse Receipt Financing, and an all-new Card Management System with Euronet. An intuitive Customer Lifecycle Management system was also implemented to enhance the Bank’s digital service delivery.
Keeping in view bank’s Strategic Business Plan envisaging aggressive business growth and further CAPEX commitment in the areas of Information Technology & Digitalization, requiring strong capital base, the Board announced and recommended a Stock Dividend of 10 percent for Shareholders for the year 2022.
