Standard Chartered Bank (Pakistan) Limited (SCBPL), a subsidiary of Standard Chartered Plc, said on Tuesday that the announcement of financial results for the year 2023 “triggered” a positive trend in the price of its shares.

In a notice to the Pakistan Stock Exchange (PSX), which was aimed at responding to a PSX letter, SCBPL stated: “We understand that a positive trend in the price of the shares of SCBPL was triggered with the announcement of financial results on 23 February 2024 as investors reacted favourably to the strong financial performance of the bank in the backdrop of overall bullish trend in the stock market.”

The notice came as the company’s share price remained largely stable from November 01, 2023, to March 27, 2024, hovering in the range of Rs34-39, as per data available at the PSX.

However, it witnessed an upward swing and since the last week of March has surged nearly 66% to hit a high of Rs59.9 earlier this month.

The share price movement prompted the PSX to send a notice on April 22, requiring the bank to furnish information that would explain the development. In its notice, the PSX said it observed “unusual share price movement between March 18, 2024 to April 15, 2024”.

Meanwhile, SCBPL in its filing to the bourse on Tuesday said it “is not aware of any other development information that may be relevant to the unusual movement in the price of the shares of the bank”.

“Furthermore, the Bank remains fully committed for meticulous compliance with all the regulatory provisions and will continue to ensure immediate dissemination of any price sensitive information to Pakistan Stock Exchange,” it added.

As per SCBPL’s latest financial results, released on February 23, 2024, the bank posted earnings of Rs42.62 billion in 2023, up nearly 115% from the profit-after-tax Rs19.84 billion recorded in the same period of the preceding year.

The bank’s earnings per share stood at Rs11.01 in 2023, an increase from Rs5.13 in 2022.

The bank’s Board of Directors also announced a final cash dividend at Rs2.5 per share i.e. 25%. This was in addition to the interim dividend already paid at Rs6.5 per share i.e. 65%.

The profit was attributed to a significant increase in net interest income and provisioning reversals.