Pak Libya registered a significant rise of 77 percent in the net profit and growth of 33 percent in the asset size of the company in 2004 as compared to preceding year. The 74th board of directors' meeting of the company was held last week to approve annual accounts for the year ended December 31, 2004. The board applauded the management for its vision and efforts to achieve significant improvements in the financial health and operating performance of the company over previous years.
The gross profit and net profit figures increased to Rs 390 million and Rs 286 million in the year 2004 compared to Rs 320 million and Rs 162 million respectively during the previous year.
It was also appreciated that major part of the profitability came from the core mark-up based income, which constituted 72 percent (Rs 283 million) of the total profit as against 66 percent (Rs 211 million) in the previous year.
In the year 2004, total credit sanctions amounted to an impressive figure of around Rs 3,028 million as against Rs 2,090 million in the previous year registering a growth of 45 percent.
These sanctions were made to a diverse set of industries including textiles, telecommunications, oil & gas, chemicals & pharmaceuticals, cement, sugar, energy & power, construction & mortgage financing, consumer loans and financial sector etc. It was also highly appreciated that the quantitative growth in asset portfolio has not compromised on the qualitative aspects of the portfolio.
In fact, the asset quality has been improved, as the non-performing loans (NPLs) now constitute 1.57 percent of the total asset portfolio, as against 11.34 percent in the year 2003.
The shareholders' equity of the company as on December 31, 2004 stood at Rs 2,795 million compared to Rs 2,375 million last year while the return on equity also grew from 7.08 percent in 2003 to 11.20 percent in 2004. Balance sheet footing for the year 2004 was at Rs 10,971 million as compared to Rs 8,251 million in 2003.
The company managed to secure mobilises long term resources to the extent of Rs 3,365 million at a very competitive rate in the year 2004 as against Rs 2,460 million in the previous year. Since inception, the company has declared cumulative dividend, in terms of cash and stock dividend of Rs 2,193 million to its shareholders.
Pak-Libya is a joint stock company, which commenced its operations in 1980 and is equally owned by the governments of Pakistan and Libya. The company operates within the framework of banking laws of Pakistan and its operations are routinely supervised by the State Bank of Pakistan, external auditors and credit agencies.
Pak-Libya has played a vital role in the industrial development of capital & money market. The meeting was chaired by Chairman, Milad S. Jaleddi and attended by the Chef Executive & Director, Khalid Sharwani besides other Directors Dr Saleh Jomaa M. Abdalla, Dr Ashfaque Hasan Khan, M. Javed Ashraf Hussain & Taher M. Gurbi.-PR