BankIslami Reports Impressive Financial Performance in Q1 2024
In a testament to its financial resilience and strategic prowess, BankIslami has announced stellar financial results for the first quarter of 2024, with a remarkable surge in profit before tax. Despite facing challenging market conditions, the bank achieved a profit before tax of PKR 6.3 billion, marking a substantial 99% increase compared to the same period last year. Post-tax profit also saw a significant growth, reaching PKR 3.2 billion, representing a commendable 79.2% rise.
One of the key highlights of BankIslami‘s performance was its impressive cost efficiency, demonstrated by a reduced cost-to-income ratio of 43.1% during the period, compared to 47.9% in the corresponding period last year.
The bank strategically expanded its investment and financing portfolios, despite navigating through ongoing economic uncertainties. The investment portfolio reached PKR 332.2 billion, while the financing portfolio stood at PKR 253.6 billion, showcasing an improved infection ratio of 8.2%, down from 9.0% in December 2023.
Despite a slight decrease in the deposit book compared to the previous quarter, BankIslami observed a significant year-on-year increase of 20.8%. The bank aims to further boost its deposit base by promoting healthy growth in Current and Savings Accounts (CASA), supported by strategic initiatives aimed at strengthening trade finance, employee banking, and cash management business.
With heightened profitability and an enhanced credit risk profile, BankIslami‘s Capital Adequacy Ratio (CAR) stood at an impressive 22.82%, well above the regulatory threshold of 11.50%.
Looking ahead, the bank remains committed to its growth trajectory by expanding its deposit base and leveraging its extensive network, which now surpasses 450 branches. Additionally, BankIslami aims to enhance customer experience through targeted technological advancements and an expanded digital footprint.
BankIslami‘s robust performance in Q1 2024 reflects its strong operational resilience and strategic agility, positioning it as a frontrunner in the banking industry amidst evolving market dynamics.
