HBL’s profit ascends by 41 percent to Rs12.4 billion.

LAHORE: Habib Bank Limited (HBL) on Wednesday declared a consolidated profit after tax of Rs12.4 billion for the year ended December 31, 2018, a growth of 41 per cent over 2017 with earnings per share at Rs8.22 compared to Rs5.79 in 2017, with a profit before tax for the year was Rs21.6 billion. HBL also became the first bank in Pakistan to cross Rs1 trillion in total net advances.

Along with the results, the board also declared a dividend of Rs1.25 per share (12.50 per cent), bringing the total dividend for the year 2018 to Rs4.25 per share.

HBL’s core domestic business shows a positive trend in key areas with continued accelerated loan growth of over 30 per cent, adding Rs200 billion in 2018 alone. The bank’s consumer loans crossed the Rs50 billion milestone while Small and Medium Enterprise (SME) lending grew by 11 per cent to reach Rs 72 billion.

Moreover, the total deposits in Pakistan reached Rs1.9 trillion, as HBL maintained its position with a nearly 14 per cent share of the market. The bank added Rs 81 billion in current deposits, which now constitute 37.6 per cent of the total industry’s mix, with average current deposits growing at an even more impressive rate of 15 per cent. The excellent growth in key drivers and a consequent Rs183 billion growth in the average balance sheet resulted in a 2 per cent growth in domestic net interest income. Another strong recovery performance led to a Rs1.4 billion reversal of credit provisions in the domestic book.