Bank Makramah Limited (BML) has continued its remarkable recovery by posting a profit before tax of PKR 1.75 billion for the nine months ended September 30, 2025 — a sharp turnaround from a loss of PKR 5.05 billion recorded in the same period last year. This represents a positive swing of PKR 6.80 billion, underscoring the Bank’s sustained momentum after achieving a profit before tax of PKR 1.44 billion in the first half of 2025 — its first positive bottom line in nearly a decade.
According to the financial results, profit after tax stood at PKR 861 million, compared to a loss of PKR 3.18 billion during the corresponding period last year. The improvement reflects a fundamental strengthening of BML’s financial position, driven by strong income growth and record recoveries from non-performing loans (NPLs).
During the nine-month period, the Bank’s total income increased by PKR 2.18 billion, while non-fund income rose by 8% to PKR 2.95 billion. This growth was attributed to prudent investments, effective cost of deposit management, and higher capital gains.
BML’s deposit base closed at PKR 165.58 billion as of September 30, 2025 — up by PKR 3.11 billion or 1.92% year-on-year. On an average basis, deposits grew by PKR 11.51 billion (7.28%), reflecting the Bank’s strategic focus on stable funding and balance sheet expansion.
Amidst intense market competition, BML maintained its focus on improving the Current Account and Savings Account (CASA) mix, which improved to 94.58% from 89.59% in September 2024. The Bank reported a robust average cost of deposits at 7.20% for the period.
Demonstrating continued cost discipline, operating expenses increased by only 7.2% year-on-year to PKR 6.39 billion from PKR 5.96 billion, showcasing enhanced operational efficiency.
BML also reported record recoveries from NPLs, achieving a net provision reversal of PKR 5.99 billion, compared to PKR 0.97 billion in the same period last year. Consequently, the stock of NPLs declined to PKR 28.88 billion from PKR 34.19 billion at the end of 2024. The gross NPL ratio improved to 63.57%, down from 69.95%, while the coverage ratio remained strong at 95.49%.
The Bank is now nearing full capital compliance, supported by the steadfast commitment of its sponsor shareholders. Key initiatives include the proposed amalgamation of Global Haly, valued at over PKR 26 billion, into the Bank, and an advance against share capital injection of PKR 5 billion, which will be converted into equity to ensure Minimum Capital Requirement (MCR) compliance.
Additionally, the sale of Cullinan Tower, finalized at PKR 12 billion (with PKR 1 billion already received), and the settlement of large NPL exposures are expected to further strengthen the Bank’s equity base and balance sheet.
With continued emphasis on organic growth, governance, and operational discipline, Bank Makramah Limited is poised to close 2025 with record results, marking one of the most significant turnarounds in Pakistan’s banking sector.
The Bank’s transformation reflects the success of its strategic execution and the unwavering commitment of its Sponsors, Board of Directors, and Management toward building a resilient, efficient, and profitable financial institution for the future.
