Karachi,Pakistan October 25, 2024: BankIslami continues its growth trajectory, delivering substantial returns to
its shareholders with a remarkable 33.6% increase in profit before tax for the nine-month ended
September 2024. The Bank's profit before tax reached Rs. 19.9 billion, while its post-tax profit surged to
Rs. 10.2 billion, reflecting a robust 20.5% growth. Despite challenging market conditions, BankIslami
remains steadfast in its commitment to financial excellence. A key highlight of this period was the significant rise in non-fund-based income (NFI), which grew by nearly 1.3 billion rupees compared to the same period last year. The NFI ratio to total income also improved, rising to 9.4% from 7% in the previous year, underscoring the Bank's strategic focus on diversified revenue streams. In response to ongoing economic uncertainty, BankIslami strategically expanded its investment portfolio while prudently optimizing its financing portfolio. The investment portfolio reached Rs. 346.7 billion, while the gross financing portfolio saw a controlled reduction of 21.5%, settling at Rs. 199.5 billion. This strategic adjustment led to an increase in the infection ratio from 9% at the end of 2023 to 12.7% in the current period. The Bank's deposit portfolio experienced significant growth, rising by 19.5% compared to the period ended September 30, 2023, and by 5.6% compared to December 31, 2023. This growth was largely fueled by a 12.2% rise in Term Deposits since December 2023 bringing stability in deposit book. The CASA ratio also remained strong, maintained at 60%, reflecting growing consumer confidence, enhanced liquidity, and a strategic emphasis on expanding trade finance and other business avenues.
With heightened profitability and a strengthened credit risk profile, BankIslami's Capital Adequacy Ratio
(CAR) stood at an impressive 29.16%, well above the regulatory threshold of 11.50%. Looking ahead, BankIslami is committed to further strengthening its growth by expanding its deposit base, leveraging its extensive network of over 500 branches, and enhancing the customer experience through targeted technological advancements and a broader digital footprint.
About BankIslami:
BankIslami Pakistan Limited, a subsidiary of JS Bank, is one of the largest Islamic commercial bank networks in the country, with over 500 branches in more than 210 cities nationwide. BankIslami Pakistan Ltd. was the first Islamic commercial bank to receive the Islamic banking license under the Islamic banking policy of 2003 from the State Bank of Pakistan on March 31, 2005. The Bank offers Shariah-compliant retail banking, investment banking, consumer banking, and trade finance products. As a subsidiary, BankIslami is part of the larger JS Group, one of Pakistan’s most diversified and progressive financial services groups.
