The Board of Directors of National Bank of Pakistan “NBP” “the Bank” met yesterday to approve the interim condensed financial statements of the Bank for the half-year ended June 30, 2024.
Demonstrating yet another period of a remarkable performance, the Bank reported a total income of PKR 96.8 Bn, a 5.1% increase from PKR 92.2 Bn in H1’23. The Bank’s performance was particularly stronger during Q2’24, with total income of PKR 54.4 Bn compared to PKR 42.5 Bn earned during Q1’24. These results were driven by a strong performance across both fund-based and non-fund-based earning streams. In a stable interest rate environment, the Bank’s gross interest income surged by 30.1% YoY to close at PKR 562.2 Bn, an increase of PKR 130.3 Bn from PKR 432.3 Bn for the same period in 2023. Similarly, the Bank’s cost of funds also rose by 36.7% YoY, reaching PKR 490.8 Bn. Consequently, net interest income closed at PKR 71.8 Bn, reflecting a small decrease of 2% YoY.
In the booming performance of the stock market during most of the period under review, the Bank recorded gain on securities amounting to PKR 5.8 Bn, taking the total non-fund income to PKR 25.1 Bn, which is 31.7% higher YoY. Equity investment of the Bank generated a divided income of PKR 3.0 Bn as against PKR 2.4 Bn for the half-year ended June 30, 2023. Fee & commission income earned through branch banking operations also stood high at PKR 12.1 Bn, showing a YoY increase of 14.7%.
Amidst high inflationary pressures, operating expenses of the Bank for the half-year period under review amounted to PKR 49.1 Bn (excluding extraordinary item) which is 11.3% higher YoY as compared to PKR 44.1 for the similar period last year.
