KARACHI: MCB Bank reported profit before tax of Rs 32.288 billion and profit after tax of Rs 21.495 billion with an increase of 2% and 4% over restated profit of 2012, respectively.
The chairman informed the members that despite challenging operating environment, MCB delivered exceptional performance and growth in the financial year 2013. The net markup income of the bank was reported at Rs 37.868 billion whereas non-markup income increased to Rs 11.171 billion.
The 66th Annual General Meeting of the shareholders of ‘MCB Bank Limited’ was held on Thursday at a local hotel under the chairmanship of Aftab Ahmad Khan, Director, MCB Bank Ltd., to transact the ordinary and special businesses of the Bank.
The increase in non-markup income was primarily contributed by 158% growth in capital gains and 14% growth in fee, commission and brokerage income block. On the net markup income side, the volatility in monetary policy rate coupled with the increase in minimum deposit rate was managed through asset maturity profiling and continuous improvement in the deposit mix.
The chairman added that the administrative block (excluding pension fund reversal) of the Bank registered lowest increase in peer banks of 5% over 2012, which considering the inflationary surge observed in the second half of the year, depicts results of cost-effective synergies achieved by the Bank.
With reference to non-performing loans, the Bank registered highest recovery in the banking industry with provision reversals to the tune of Rs. 2.8 billion for the year ended December 31, 2013.
The reversal was primarily on account of strengthened risk management framework and rigorous efforts posted by the recovery units.
As per the statement of financial position, the asset base of the bank achieved new highs of Rs 815.508 billion growing by 6% over December 2012.
The analysis of the asset mix highlights 12% increase in investments to Rs 449.006 billion and 2% increase in gross advances to Rs 268.192 billion.
The quality of assets saw considerable improvement as the non-performing loans of the bank contracted by 9% to Rs 23.268 billion. On the liabilities side, the deposit base of the bank grew by 16% and was reported at Rs 632.330 billion. MCB Bank Limited continued to enjoy the highest CASA mix in the banking industry, which improved considerably to approximately 90% as compared to 85% reported last year.
Earnings per share (EPS) for the year came to Rs 21.24 as compared to Rs 20.42 for 2012. MCB maintained the highest Return on Assets in banking industry of 2.72% during 2013, whereas Return on Equity was reported at 23.09%.
ISLAMABAD: The Federal cabinet’s Economic Coordination Committee (ECC) on Tuesday approved ...