Karachi, April 23, 2026 — Bank Alfalah Limited (BAFL) has reported a significant rise in profitability for the first quarter of 2026, posting a profit after tax (PAT) of PKR 11.13 billion, reflecting a 58% increase compared to the same period last year, according to financial results approved by the Board of Directors.
The Board, in its meeting held on April 23, 2026, also approved an interim cash dividend of PKR 1.5 per share, equivalent to 30%, up from PKR 1.25 per share (25%) in the corresponding period of the previous year, signaling improved shareholder returns amid stronger earnings performance.
Earnings per share (EPS) rose to PKR 3.53 compared to PKR 2.23 in March 2025 (restated), supported by growth in core banking income and gains from efficient portfolio management.
The bank attributed the strong performance to higher net interest income (NII), increased non-funded income (NFI), and capital gains realized through timely investment strategies. Non-funded income was boosted by exchange gains, fee-based services, remittances, card business, trade operations, government-to-person (G2P) payments, and digital banking channels.
During the quarter, Bank Alfalah continued to expand its balance sheet strength. Deposits rose to PKR 2.47 trillion, while current deposits reached PKR 1.02 trillion, reflecting a continued focus on building low-cost, non-remunerative deposit bases. Gross advances stood at PKR 1.08 trillion, with growth driven by consumer banking, small and medium enterprises (SMEs), and agriculture financing segments.
Net interest income increased by 4.1%, supported by higher average deposits and expanded lending activity across diversified sectors.
The bank’s capital position remained robust, with the Capital Adequacy Ratio (CAR) recorded at 16.22% as of March 31, 2026, significantly above regulatory requirements, indicating strong financial resilience and stability.
The Board also noted the impact of a recently approved share split, under which shares were subdivided on a 2-for-1 basis, increasing the total issued and paid-up capital to 3.15 billion shares at a face value of PKR 5 each. The adjustment has resulted in restated comparative figures for earnings per share and dividends.
Bank Alfalah’s quarterly performance reflects continued growth in core banking operations, supported by a strong deposit base and diversified revenue streams, positioning the bank for sustained momentum in a challenging macroeconomic environment.
