National Bank of Pakistan (NBP), one of the country’s largest commercial banks, registered a profit-after-tax (PAT) of Rs9.82 billion during quarter ended March 31, 2024, a decline of 13% year-on-year.

The bank registered a PAT of Rs11.29 billion in the same period of the preceding year.

As per a notice sent to the Pakistan Stock Exchange (PSX) on Monday, NBP’s earnings per share stood at Rs4.56 in 1QCY24, a decrease from Rs5.29 in 1QCY23.

The decline in profit comes despite a massive increase in interest income.

During the period, NBP’s mark-up/return earned rose from Rs192.5 billion in 1QCY23 to Rs275.08 billion in 1QCY24, an increase of nearly 43%.

NBP’s profit surges by 72%, clocks in at Rs53.3bn in 2023

However, the bank also saw an interest expense of Rs245.95 billion in 1QCY24, up 54% as compared to Rs159.87 billion in SPLY.

As a result, the bank’s net mark-up/return earned declined to Rs29.13 billion in 1QCY24, compared to Rs32.62 billion in 1QCY23, a fall of 11%.

During the period, the fee and commission income earned by NBP in 1QCY24 clocked in at Rs6.28 billion, an increase of 27% against Rs4.96 billion earned in the same period last year.

NBP’s foreign exchange income rose by nearly 31%, up from Rs1.35 billion in 1QCY23 to Rs1.77 billion in 1QCY24.

Meanwhile, the bank recorded a massive gain of 1,098% on securities to the tune of Rs4.24 billion in 1QCY24, in comparison to a gain of only Rs369 million in SPLY.

During the period, NBP’s share of profit from joint venture and from association increased to Rs37.5 million, as compared to a loss Rs9.38 million SPLY.

During the period, the bank saw its non interest income increase 69%.

NBP’s operating expenses clocked in at Rs22.47 billion in 1QCY24, up over 4% against Rs21.54 billion in SPLY.The bank’s profit before tax clocked in at Rs20.43 billion in 1QCY24, an increase of 8%.

During the period, NBP paid taxes to the tune of Rs10.6 billion, as compared to Rs7.6 billion in 1QCY23, an increase of 39%.