Meezan Bank Limited (PSX: MEBL) has announced a profit after tax (PAT) of Rs. 25 billion, depicting an increase of 65 percent YoY for the quarter that ended on March 31st, 2024 (1Q2024).
The bank’s earnings were bolstered by a YoY increase in income, according to Arif Habib Limited. However, when compared sequentially, there was a decline in income, which impacted the overall profitability on a QoQ basis.
Along with the result, MEBL announced a cash dividend of Rs. 7 per share.
In the first quarter of CY24, the bank reported a Net Profit Eamed of Rs. 67.6 billion, reflecting a 65 percent increase YoY, yet showing a 6 percent decline QoQ. The profit earned by the bank saw a significant 45 percent rise YoY but experienced a 7 percent decrease QoQ. At the same time, profit expenses increased by 26 percent YoY, while decreasing by 8 percent compared to the previous quarter.
In the outgoing quarter, the bank experienced a 66 percent increase in Non-Funded Income YoY, driven primarily by higher Fee income, which rose by 46 percent YoY, and dividend income, which increased by 64 percent YoY. However, on a QoQ basis, the Non-Funded Income was impacted negatively due to lower FX income, which fell by 51 percent QoQ, and a decrease in Gain on Securities by 64 percent QoQ.
The bank posted provisioning reversals amounting to Rs. 344 million in 1QCY24, compared to a charge of Rs. 2.1 billion in the same period last year and a charge of Rs. 2.9 billion in the previous quarter.
OPEX witnessed a jump of 45 percent YoY and 2 percent QoQ in 1QCY24, clocking in at Rs. 21.9 billion for the bank. With this, the Cost/income ratio stood at 29.3 percent for 1QCY24, down from 33.4 percent in the same period last year.
The effective tax rate for the bank was set at 52 percent during 1QCY24, showing an increase from 45 percent in the same period last year.
MEBL posted earnings per share of Rs. 14.19 for 1Q2024 compared to an EPS of Rs. 8.63 in the same period last year.
The bank’s scrip at the bourse closed at Rs. 219, down 4.61 percent or Rs. 10.59 with a turnover of 5.2 million shares on Thursday.
They are playing with Islam for profit and people are dump.