KARACHI: Bank Alfalah Limited has reported a profit after tax (PAT) of PKR 21.44 billion for the nine-month period ended September 30, 2025, translating into earnings per share (EPS) of PKR 13.59 compared to PKR 21.32 in the same period last year.
The Board of Directors announced a third interim cash dividend of PKR 2.50 per share (25 percent), taking the cumulative cash dividend for the year to PKR 7.50 per share (75 percent), up from PKR 6.00 per share (60 percent) in the corresponding period of 2024.
Total deposits stood at PKR 2.17 trillion at the close of the period. The bank noted that its strategy shift at the end of last year focusing on growing average deposit balances rather than period-end balances had strengthened its net interest income (NII) and improved the efficiency of its cost of deposits. The approach aimed to build a more stable and profitable deposit base through improved spreads.
Bank Alfalah said that optimizing the cost of funds through volumetric growth in average current account balances helped mitigate the impact of lower interest rates. Additionally, balance sheet positions taken last year supported both NII growth and capital gains realization.
The bank’s gross financing portfolio expanded by 23.9% year-on-year to PKR 1.08 trillion, driven by growth across key segments, including corporate banking, consumer finance, Small and Medium Enterprises (SME), and agri finance. Management attributed this growth to improving interest rate conditions, which are fostering greater credit expansion and financial inclusion.
Bank Alfalah maintained a strong capital position with a Capital Adequacy Ratio (CAR) of 17.94 percent as of September 30, 2025, well above the minimum regulatory requirement.
The bank stated that it remains well-positioned to deliver sustainable long-term value for shareholders despite the evolving macroeconomic environment. It reaffirmed its strategic priorities of expanding its domestic footprint, investing in talent and technology, and maintaining its commitment to being a caring bank.
Copyright Business Recorder, 2025
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