JS Bank records significant increase of 254pc in profit after tax

KARACHI: JS Bank recorded a significant increase of 231 percent in profit before tax and 254 percent in profit after tax during the first half of the year (Jan-June 2023) compared to the same period last year. The financial results for the first half of 2023 also underscored a trajectory of growth across multiple financial indicators.

The increased profitability is primarily a result of improvement in the deposit mix. Non-Remunerative Deposits increased by 17 percent YoY resulting in the share of Non-Remunerative in total deposits increasing to 36 percent from 30 percent in the same period last year.

The Bank's commitment to technological advancement and customer experience continued to drive digital adoption, with a 35 percent surge in mobile application usage, resulting in a remarkable 191 percent increase in transaction volume. Furthermore, JS Bank's digital wing witnessed a remarkable 79 percent growth in the utilization of JS BOT, a personal WhatsApp banking assistant, with over 1.1 million hits for key digital services.

In addition, the Bank’s fintech offering, Zindigi, catered to an ever-increasing user base of 3.6 million active customers with a 57 percent increase in transaction volume in the first half of the year. The growth comes as a result of continuous innovative offerings including digital payments and loans, stocks and mutual funds, and a premium debit card proposition.

From the product standpoint, more than 7000 credit card customers were acquired so far this year, which was aided by the introduction of instant cashback in four categories; fuel, grocery, utilities, and education. This caused an exponential impact on the card proposition and increased the spending by 61 percent, resulting in a growth of 18 percent in ENR (end-net receivables) as compared to that of last year.

Basir Shamsie, President and CEO, JS Bank, commented, "The success from the first half of the year is a testament to our customers’ trust and the unwavering commitment and dedication of our teams. We remain committed to setting high standards as we pursue our vision of leadership in Pakistan's financial services landscape.”

Copyright Business Recorder, 2023