Bank Alfalah announces impressive half yearly result

Karachi, August 15, 2011 (PPI): Half yearly results of Bank Alfalah for period ended June 30, 2011 are quite impressive with significant growth depicted in profitability. Bank's profit before tax rose from Rs 1.596 billion in June 2010 to Rs 3.074 billion in June 2011, increasing by 92.6%, with after-tax profit increasing by 76.8% from Rs 1.079 billion in June 2010 to Rs 1.908 billion in June 2011, a press release said Monday.

Bank's net mark-up interest income grew by 39.8%, increasing from Rs 6.322 billion in June 2010 to Rs 8.837 billion in June 2011. This growth was mainly on account of impressive rise of 15.6% in mark-up interest earned, which improved from Rs 18.497 billion in June 2010 to Rs 21.377 billion in June 2011, while mark-up interest expense remained managed, increasing only by 3.0%.

Bank's net mark-up interest income after provisions also increased by 33.9% from Rs 5.358 billion in June 2010 to Rs 7.173 billion at close of June 2011. Non mark-up interest income registered increase of 22.8% from Rs 2.238 billion in June 2010 to Rs 2.749 billion in June 2011.

Total Assets registered growth of 13.39% (YoY), growing from Rs 387.580 billion in June 2010 to Rs 439.491 billion as at June 2011. Net ADR ratio stood at 53.8% on June 2011, with deposits rising by over Rs 54 billion (YoY) and ending at Rs 369.315 billion at close of June 2011 from Rs 315.090 billion in June 2010. Net advances remained almost unchanged, at Rs 198.756 billion at June 2011, as compared to Rs 198.876 billion in June 2010.

Bank's net Investment portfolio rose by Rs 44.038 billion over corresponding half year end, and stands at Rs 148.686 billion on June 2011, as compared to Rs 104.648 billion in June 2010. Earnings per share rose from Rs 0.80 per share in June 2010 to Rs 1.41 per share at end of June 2011, showing strong fundamentals. Return on Average Equity improved from 10.87% annualized as on June 2010 to 18.52% annualized as on June 2011. During 2011, Bank Alfalah plans to add 20 more branches to its existing branch network of 386.