Home ›› 04 Nov 2022 ›› Front
Most of the publicly traded banks posted robust earnings in the third quarter (July-September) this year, thanks to lofty earnings from stock investments as well as credit disbursal growth.
Out of the 33 banks listed on the Dhaka Stock Exchange (DSE), eight lenders logged a net profit of over Tk 100 crore each in Q3, 2022.
Besides, 11 other banks registered exponential growth in profit in the same quarter on a year-on-year basis.
The profits of another 11 listed banks, however, fell year-on-year in July-September of 2022, while the three remaining lenders—ICB Islamic Bank, National bank, and Rupali bank— posted losses in the quarter.
Pubali Bank Limited logged the highest net profit of Tk 283 crore in July-September this year compared to Tk 280 crore in the same period last year.
Meanwhile, its earnings per share (EPS) stood at Tk 2.75 for Q3, this year from Tk 2.72 for Q3 last year.
Shahjalal Islami Bank Limited posted Tk 102 crore in net profit in Q3, 2022 which was Tk 74 crore in Q3 last year.
The private commercial lender’s earnings per share (EPS) rose to Tk 0.94 in July-September this year from an EPS of Tk 0.69 in the same period last year.
M Abul Bashar, company secretary at Shahjalal Islami Bank told The Business Post that its earnings substantially grew in the latest quarter on a year-on-year basis mainly due to an increase in credit disbursal, income from stock investments, and other earnings.
BRAC Bank registered a net profit of Tk 113 crore in July-September this year against a profit of Tk 91.29 crore in the third quarter of last year.
Meanwhile, Premier Bank Limited’s net profit reached Tk 114.73 crore in the third quarter of 2022 against Tk 68 crore in net profit in the same period last year.
Three other banks posting profits of over Tk 100 each includes Dutch-Bangla Bank (Tk 179.5 crore), Mercantile Bank (Tk 111.74 crore), and Trust bank (Tk 109.75 crore). Moreover, One Bank, Prime Bank, Social Islami Bank, Union Bank, and Exim Bank witnessed substantial growth in profit in their third quarterly earnings.
On the other hand, Eastern Bank, another listed private sector lender, posted Tk 149.16 in net profit in Q3 this year which was slightly lower than the profit of Tk 158 crore in the same period last year.
The bank’s EPS fell to Tk 1.39 in July-September this year which was Tk 1.47 in the same period last year.
National Bank logged a massive loss in July-September this year with a net loss of Tk 183.5 crore. The bank had a third quarterly profit of Tk 45 crore in 2021.
The lender’s EPS stood at negative Tk 0.57 in Q3 this year against EPS of Tk 0.14 in the same period last year.
The bank blamed the banking sector’s liquidity crunch and the Covid-19 pandemic for their losses in the quarter, saying borrowers could not repay their installments timely due to the pandemic, hampering their profits.
Capital market analyst Professor Abu Ahmed told The Business Post that most of the banks made good profits in this year’s July-September period riding on currency transactions against the mighty dollar from January to June this year. He, however, said the dollar started becoming stable after June, that’s why the bank’s earnings would fall in the coming quarters.
