KARACHI: The Board of Directors of Soneri Bank Limited, in their 210th meeting held in Karachi on Tuesday, approved the Bank’s condensed interim financial statements for the quarter ended 31 March 2025.
The results reflect consistent and sustained performance despite declining spreads; as the Bank posted profit before tax (PBT) of Rs 3,337 million and profit after tax (PAT) of Rs. 1,147 million for the quarter ended 31 March 2025, as compared to Rs 3,554 million and Rs 1,760 million respectively in the same period last year.
The Bank’s EPS was recorded at Rs 1.0406 per share for the current reporting quarter, as compared to Rs 1.5965 for the comparative prior period indicating a decline due to additional tax incidence on Banking Companies introduced via Income Tax (Amendment Ordinance), 2024 with an effective tax rate of 65.62 percent (31 March 2024: 50.48 percent).
The Bank’s net interest income for the quarter ended 31 March 2025 improved to Rs 7,289 million from Rs 5,849 million for the comparative prior period, indicating an impressive growth of 24.62 percent, on the back of improved volumes. Non-interest income for the period was reported at Rs 1,564 million as against Rs 1,603 million for the comparative prior period, declining marginally due to lower FX related income partially offset by an increase in fee and commission income.
Non-markup expenses were reported at Rs 5,215 million for the current year as against Rs 4,385 million reported for the comparative prior period. Despite high inflation levels and an ongoing branch expansion drive, growth in expenses was restricted at 18.93 percent as compared to the previous year as a result of strict cost rationalization measures and prudent cost control policies and discipline.
Building on its strategic drive of footprint expansion, the Bank is now operating with a network of 551 branches (31 December 2024: 544 branches).
The bank’s Deposits registered an increase of 5.17 percent when compared to 31 December 2024, ending at Rs 571,231 million at 31 March 2025. Period end CASA mix improved to 83.13 percent as against 81.94 percent at 31 December 2024.
The Bank’s net advances portfolio stood at Rs 197,855 million as at 31 March 2025, 18.70 percent lower than the year end 2024 level. Net investments increased by Rs 80,725 million or 21.01 percent from the year-end balance of Rs 384,306 million, ending at Rs 465,030 million as at 31 March 2025.
As at 31 March 2025, the Bank’s Non-performing loans to total Advances ratio inched up to 3.95 percent (31 December 2024: 3.13 percent), with specific coverage at 89.63 percent (31 December 2024: 90.02 percent) and overall coverage including the Expected Credit Loss provision under IFRS 9, Financial Instruments, closing at 103.93 percent (31 December 2024: 102.90 percent).
The Bank remains adequately capitalized, with a Capital Adequacy Ratio of 15.25 percent at 31 March 2025.
The Bank remains focused on maximizing shareholder value through our customer focused business strategy aimed at serving the needs of our customers across all business segments.
Copyright Business Recorder, 2025