9 months of 2024: Soneri Bank announces PAT growth of 13.80pc YoY

KARACHI: The Board of Directors of Soneri Bank Limited, in their 207th meeting held in Karachi on 16th October 2024, approved the Bank’s condensed interim financial statements for the nine months ended 30th September 2024.

The results reflect consistent and sustained growth in all areas as the Bank posted profit before tax (PBT) of Rs 9,629 million and profit after tax (PAT) of Rs 4,717 million for the nine months ended 30 September 2024, as compared to Rs 8,437 million and Rs 4,145 million respectively in the same period last year.

This indicates growth of 14.13 percent and 13.80 percent respectively. The Bank’s EPS was recorded at Rs 4.2784 per share for the current reporting period, as compared to Rs 3.7595 for the comparative prior period. The Bank’s Net Interest Income for the nine months ended 30th September 2024 improved to Rs 18,248 million from Rs 16,101 million for the comparative prior period, indicating growth of 13.34 percent, on the back of improved volumes and spreads.

Non-interest income for the period was reported at Rs 5,225 million as against Rs 4,660 million for the comparative prior period, improving by 12.13 percent, at the back of significantly improved trade volumes which grew by 45.48 percent period on period.

Non-markup expenses were reported at Rs 14,036 million for the current period as against Rs 11,006 million reported for the comparative prior period. Despite high inflation levels and the ongoing branch expansion drive, growth in expenses, was restricted at 27.53 percent as compared to the previous period; mainly due to prudent cost control policies and discipline. Having targeted the milestone of opening 100 new branches this year, the Bank is now operating with a network of 525 branches (December 2023: 443 branches) and has added 82 more branches nationwide.

The Bank’s deposits registered an increase of 12.01 percent when compared to 31 December 2023, ending at Rs 580,041 million at 30th September 2024. Period end CASA mix improved to 82.69 percent as against 79.22 percent at 31 December 2023.

The Bank’s net advances portfolio stood at Rs 197,293 million as at 30th September 2024, 4.11 percent lower than the year end 2023 level.

Net investments increased by Rs 90,201 million or 29.07 percent from the year-end balance of Rs 310,341 million, ending at Rs 400,542 million as at 30th September 2024.

As at 30th September 2024, the Bank’s non-performing loans to total advances ratio has come down significantly to 3.62 percent (December 2023: 4.90 percent) due to efficient results on the recovery front.

Moreover, specific coverage stands at 95.91 percent (December 2023: 80.01 percent) and overall coverage including the Expected Credit Loss provision under IFRS 9, Financial Instruments, clocking at a remarkable 119.48 percent.

The Bank remains adequately capitalized, with a Capital Adequacy Ratio of 18.59 percent at 30th September 2024. The Bank’s Liquidity Coverage Ratio and Net Stable Funding Ratios currently stand at 181.36 percent and 184.02 percent respectively, comfortably above the regulatory requirements.

The Bank remains focused on maximizing shareholder value through our customer focused business strategy aimed at serving the needs of our customers across all business segments.

Copyright Business Recorder, 2024