August 29, 2024 (MLN): The National Bank of Pakistan (PSX: NBP) has announced a significant loss of Rs8.98 billion for the second quarter of the calendar year 2024, ending June 30. This marks a stark contrast to the profit of Rs15.84 billion reported for the same period last year.
According to the financial statements, the bank’s net interest income (NII) rose by 5.37% year-over-year (YoY), reaching Rs42.93 billion for Q2CY24.
Additionally, NBP’s total non-markup income increased by 6.22% YoY, totaling Rs13.11 billion. This boost was driven by higher gains from securities and a share of profit from associates, which amounted to Rs1.41 billion and Rs80.85 million, respectively.
The fee and commission income also saw a notable rise, up 13% YoY to Rs7.3 billion. Dividend income surged by 11.81% YoY to Rs1.36 billion.
However, the bank’s foreign exchange income declined by 23% YoY to Rs2.41 billion during the same period.
On the expense front, total non-markup expenses surged by 18.9% YoY, reaching Rs27.7 billion compared to Rs23.3 billion in the previous year.
This increase was largely due to a 19.78% YoY rise in operating expenses, which climbed from Rs23.12 billion to Rs27.69 billion.
Additionally, NBP incurred Rs9.92 billion in taxation during the quarter. The substantial loss reflects a challenging period for the bank, despite improvements in several revenue streams.
