Habib Bank Limited reported consolidated earnings per share of PKR 45.48 in CY25, up 14% from PKR 39.85 in CY24. This translates into profit after tax of PKR 66.8 Bn compared to PKR 57.8 Bn in SPLY. The bank declared a dividend of PKR 20 per share in CY25, up 23% from PKR 16.25 in CY24.
Total revenue in CY25 reached PKR 361.1 Bn against PKR 342.1 Bn in CY24, an increase of 6%. This was primarily driven by a 12% increase in mark-up income from PKR 245.6 Bn in CY24 to PKR 275.5 Bn in CY25. The bank saw its total deposits rise from PKR 4.37 Trn at the end of CY24 to PKR 5.55 Trn at the end of CY25, an increase of 27%.
Current accounts saw 25% growth from PKR 1.6 Trn to PKR 2.0 Trn during the year and now contribute 37.6% of the deposit base. The management apprised that moving forward, they are targeting 12.5% market share in deposits with expected industry growth at 10-15%. Investments stood at PKR 4.2 Trn at the end of CY25, up 68% from PKR 2.5 Trn at the end of CY24.
Management highlighted that out of its portfolio of investments of PKR 4.2 Trn, PKR 924 Bn is invested in fixed rate PIBs and PKR 2.5 Bn in PIB Floaters. Average duration of the portfolio is about 1 year. The bank’s cost to income ratio for CY25 stood at 55.6% compared to 56.3% in CY24.
Management expects this downward trend to continue in the future. Capital Adequacy Ratio stood at 18.3% at end Dec-25, up from 17.7% at the end of CY24. Moving forward, the management believes that the policy rate environment is uncertain moving forward and highly dependent on the global geo political environment. As a result, the strategy for treasury will be to remain cautious and not take strong views in a volatile market.
Important Disclosures
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