KARACHI: Soneri Bank Limited announced its financial results for the half year ended June 30, 2025, following approval by the Board of Directors at its 211th meeting held in Karachi.
The Bank posted a profit before tax (PBT) of Rs 6,685 million and profit after tax (PAT) of Rs 2,497 million, compared to Rs 6,519 million and Rs 3,216 million respectively in the same period last year. Earnings per share (EPS) stood at Rs 2.26 against Rs 2.92 in the prior period, with the decline mainly attributed to higher taxation introduced through the Income Tax (Amendment) Ordinance, 2024, which pushed the effective tax rate up to 62.65 percent from 50.67 percent last year.
Net interest income surged by 19.5 percent to Rs 14,259 million, up from Rs 11,934 million a year earlier, driven by improved business volumes. Non-interest income, however, slipped marginally by 1.4 percent to Rs 3,556 million, primarily due to lower foreign exchange income. This was partly offset by higher digital banking income and trade-related commissions. As a result, overall revenue increased by Rs 2,275 million, or 14.6 percent year-on-year.
Operating expenses rose to Rs 11,280 million, reflecting a 20.7 percent increase compared to Rs 9,343 million in the corresponding period last year, mainly due to inflation and branch expansion. The Bank continues to expand its footprint, now operating 572 branches compared to 544 at the end of 2024.
Customer deposits grew by 16.6 percent to Rs 633,379 million, with an improved CASA mix of 85.45 percent against 81.94 percent in December 2024. The cost of deposits fell significantly to 7.43 percent, compared to 14.32 percent in the same period last year.
The Bank’s net advances stood at Rs 191,887 million, down from Rs 241,738 million in the prior year, while net investments rose by 29.1 percent to Rs 496,300 million. The non-performing loans (NPL) ratio increased to 3.96 percent from 3.16 percent at year-end 2024, with specific coverage at 87.44 percent. Overall coverage, including ECL under IFRS 9, was recorded at 99.6 percent.
Soneri Bank remains adequately capitalized with a Capital Adequacy Ratio of 16.37 percent as of June 30, 2025.
The Bank reiterated its commitment to maximizing shareholder value through its customer-centric strategy and expansion across business segments.
