Documenti di Didattica
Documenti di Professioni
Documenti di Cultura
October 2014
Zeeshan AfzalAC
Zeeshan.afzal@topline.com.pk
Table of Content
Outlook
Banks earnings to grow at 3-year CAGR of 22%
---------------------------------------------------------------
---------------------------------------------------------------
---------------------------------------------------------------
---------------------------------------------------------------
Review
Deposit growth 14.6% a year in last 5 years
---------------------------------------------------------------
10
Advances g
growth 5.0% a y
year in last 5 y
years
---------------------------------------------------------------
14
---------------------------------------------------------------
16
---------------------------------------------------------------
20
---------------------------------------------------------------
22
---------------------------------------------------------------
24
---------------------------------------------------------------
26
---------------------------------------------------------------
28
---------------------------------------------------------------
29
---------------------------------------------------------------
30
Disclaimer
---------------------------------------------------------------
32
October2014
With clear
l
signs
i
off economic
i recovery and
d reviving
i i business
b i
activities
ti iti in
i Pakistan,
P ki t
l l banks
local
b k will
ill be
b the
th
key beneficiaries in coming years.
As credit appetite has started to grow, local banks are all prepared to finance power, textile, telecom,
consumer, construction and transport/communication sectors when credit penetration in Pakistan is at
multi year low of 19% of GDP.
With rising investors confidence in the new business friendly Govt., banks have started to accumulate highyielding Govt. papers at a time when Govt. is restructuring its debt to long duration under IMF instructions.
This will further support Net Interest Margins (NIM).
Reducing Non-Performing Loans (NPLs) coupled with adequate Capital Adequacy Ratio (CAR) will further
help banks overall profit growth.
In addition, evolution of branchless and Islamic banking will improve banks outreach and volumes, which
in turn will increase overall banking sector profits.
In a country with population of 188mn, only 35mn bank accounts are there in Pakistan. Thus branchless
banking provides huge potential to tap new accounts and increase deposit base.
October2014
We expect contribution from NII (Net Interest Income) and Non-Interest Income in the total earning
growth. In next 3 years (2014
(2014-16),
16), NII of Topline banking universe is likely to grow at 14.5% CAGR vs.
2.8% during 2011-13. Similarly, Non-interest Income growth is estimated to remain at 13.5% CAGR during
2014-16 vs. 17.4% in 2011-13.
Due to rising branch network in an attempts to improve service qualities, banks are likely to spend more. We
expect, Topline Universe Cost to Income ratio to remain at average 49.0% in next 3 years vs. 47.1% during
2011-13.
Asset quality would also improve in coming years. we expect Net Infection to drop to 1.6% by 2016 from
current 2.5%.
At present, Topline Banking Universe is trading at 2014E PE of 9.8x and 2015F PE of 8.4x. In terms of PBV,
2014E ratio is 1.7x while 2015F ratio is 1.6x. Topline Banking Universe is providing average ROE of 18.6%
in next 3 years.
UBL, BAFL, HBL and BAHL are amongst our top picks in banking universe. Few mid cap banks like AKBL,
HMB and FABL are also worth looking.
October2014
UBL is Pakistans third largest commercial bank having 10% market share in total assets, deposits and
advances of commercial banks in Pakistan.
W extensive
With
v b
branch network
w
of 1,300,
,
, UBLL is a retail,, SME
ME and corporate
p
bank w
b
with significant
g
stakes
abroad. Our investment thesis is based on better macroeconomic fundamentals, improving credit appetite,
banks shift to high-yielding Govt. papers and declining bad loans.
High Non-Interest Income and diversification benefit owing to UBLs presence in Middle East add charm to
the bank.
UBL is trading at 2014E PE of 9.6x and PBV of 1.9x. At current price, UBL offers 29% return to our target
price including 6.5% dividend yield. Comparing todays valuation with high growth period (2006-08)
average PE of 13.2x and PBV of 3.0x, the scrip trades at 30-35% discount.
Bank
a
Alfalah
a a (BAFL)
(
)
The bank is operating with branch network of 580 and asset size of Rs673bn (US$6.6bn) and is the 6th
largest bank in Pakistan in terms of assets.
The stock is trading at an attractive 2014E PE of 7.1x and PBV of 1.1x. This is 50-60% discount to PE of
14 4x and PBV of 1.9x
14.4x
1 9x during 2006
2006-07
07. Bank also offers decent dividend yield of 7.9%.
7 9% The bank is likely to
provide 27% total return. Recent announcement of IFC for 15% equity injection at Rs28 per share will
eventually increase banks capital base and CAR.
BAFLs Islamic assets stand at Rs98.1bn which is 14.5% of BAFL total assets and 9.0% of Islamic banking
industry assets. Though the growth is high and cost of deposits is low, industry is facing low yields/margins
due to lack of investment avenues. However, we see rising investment avenues and growing market in the
future which would result in continued growth and better returns.
October2014
HBL is Pakistans largest bank (asset size US$17.0bn), having 16.6% market share in total assets and total
deposits of the banking sector. With 1,594 branches, HBL has strong footprints in all banking segments
including retail, corporate and investment banking in addition to SME and Agri financing in Pakistan.
Largest book size, strong penetration in the country, high asset quality and competent management are the
distinguishing features of HBL while expected additional float from Govt. would improve price discovery
and liquidity in the stock.
The scrip is trading at 2014E PE of 9.7x and 2015F PE of 8.6x with PBV of 1.9x for 2014E and 1.7x for
2015F. The stock offers 27% return from current levels inclusive of dividend yield (5%).
Rising branch network and one of the best asset quality in Pakistan banks are other positive characteristics
of the bank.
The scrip is trading at 2014E PE of 8.2x and 2015F PE of 6.7x with PBV of 1.7x for 2014E and 1.5x for
2015F. During high growth period of 2004-08, BAHL traded at average PBV of 2.7x. Thus, the stock offers
26% upside from current levels inclusive of dividend yield (5.9%).
October2014
W also
We
l like
lik AKBL,
AKBL FABL and
d HMB amongstt medium/small
di /
ll banks
b k with
ith better
b tt future
f t
growth
th and
d low
l PBV.
PBV
Last years book cleaning exercise by new management of AKBL is boding well for the bank in shape of
higher profits and improved asset quality. AKBL is trading at cheap 2014E PBV of 1.1x with impressive ROE
of 22.6%.
HMB is another potential stock which can outperform. The bank, which is better in terms of asset quality
and providing ROE of 16.0%, is trading at 2014E PBV of 1.1x
We expect FABL to post 2014 EPS of Rs2.0, up 12%. Earnings are likely to increase to Rs2.7 in 2015 due to
24% NII growth. The bank is trading at 2015F PBV of 0.7x.
October2014
Allied Bank
Askari Bank
Share Price
Sep 25, 2014
(Rs)
108.8
21.0
Market
Market 3-MonthAvg
EPS
EPS
Cap.
Cap.
Volume
2014E Growth
(Rs mn) (US$ mn) (US$ 000)
124,595
1,214
161 13.8
7%
26,453
258
610
3.8
NM
PE
ROE
ROA
7.9
5.5
1.6
1.1
4.7%
9.5%
22.1%
22.0%
2.2%
1.2%
BAFL
Bank Alfalah
28.5
,
38,478
375
690
4.0
15%
7.1
1.1
8.1%
16.3%
0.9%
BAHL
BIPL
Bank Al Habib
Bank Islami
45.0
9.9
49,970
5,232
487
51
223
8
5.5
0.6
18%
77%
8.2
15.6
1.7
0.8
4.8%
0.0%
22.3%
5.2%
1.3%
0.4%
BOK
Bank of Khyber
8.5
8,503
83
1.4
21%
6.1
0.6
0.0%
10.5%
1.3%
BOP
Bank of Punjab
7.9
12,208
119
405
1.8
43%
4.4
0.8
0.0%
18.5%
0.8%
FABL
HBL
Faysal Bank
Habib Bank
17.8
200.1
200
1
18,570
293,517
293
517
181
2,861
2
861
484
576
2.0
20.7
20
7
12%
33%
8.9
97
9.7
0.8
1.9
1
9
0.0%
5.3%
5
3%
9.0%
20.3%
20
3%
0.6%
1 8%
1.8%
HMB
30.4
31,896
311
80
4.4
32%
6.9
1.1
8.6%
16.0%
1.5%
JSBL
KASBB
JS Bank
KASB Bank
5.3
1.5
5,673
2,946
55
29
73
3
0.9
0.0
99%
NM
6.0
58.9
0.5
1.7
0.0%
0.0%
8.0%
2.9%
0.8%
0.1%
MCB
MCB Bank
280.2
311,860
3,040
681
23.2
18%
12.1
2.6
5.9%
21.7%
3.1%
MEBL
NBP
Meezan Bank
National Bank Of Pakistan
41.3
57.8
41,433
123,034
404
1,199
80
1,225
4.7
7.4
20%
197%
%
8.8
7.9
1.4%
1.1%
%
NIB
NIB Bank
2.0
20,606
201
25
0.1
NM
18.7
1.2
6.8%
0.6%
8.0
23.5
8,036
91,137
78
888
28
5
0.3
2.7
227%
0%
29.2
8.7
0.7%
2.6%
SBL
Samba Bank
SCBPL Standard Chartered Bank
0.0%
SILK
Silk Bank
2.2
5,851
57
14
0.0
NM
47.4
0.9
0.0%
1.8%
0.1%
SMBL
SNBL
Summit Bank
Soneri Bank
3.0
12.5
3,266
13,814
32
135
33
13
(1.2)
1.3
NM
41%
NM
9.5
1.8
0.9
0.0%
0.0%
NM
10.4%
NM
0.9%
UBL
United Bank
184.9
226,314
2,206
3,011
19.3
22%
9.6
1.9
6.6%
20.4%
2.2%
1,463,392
14,263
9.1
1.5
6.1%
17.1%
1.7%
October2014
Assets
(Rs mn)
Deposits
(Rs mn)
Equity
(Rs mn)
Total
Branches
CASA*
NIMs
Advances
Net NPLs Capital
Provision
NPLs to
to Net Adequacy
to
to NPLs
Loans
Deposits
Loans
Ratio
44.2%
93.2%
0.5%
18.0%
6.4%
Cost to
Income
ABL
808,445
645,863
71,561
962
73.9%
4.6%
AKBL
BAFL
407,875
672,532
,
344,823
555,667
,
20,647
31,705
,
281
580
78.4%
64.0%
3.7%
4.2%
50.0%
49.7%
87.3%
68.2%
2.2%
1.9%
11.9%
12.1%
16.0%
6.3%
64.3%
67.2%
BAHL
BIPL
488,491
97,111
416,992
85,466
27,837
6,892
334
201
76.9%
58.9%
4.3%
4.4%
38.5%
40.8%
84.7%
52.1%
-1.2%
1.2%
14.6%
15.7%
2.6%
4.5%
54.5%
87.1%
BOK
BOP
108,192
376,027
84,349
332,815
13,297
14,754
101
334
59.1%
62.2%
4.3%
2.4%
31.9%
48.9%
69.6%
43.6%
4.6%
19.5%
24.0%
9.0%
13.9%
30.0%
52.5%
71.1%
FABL
HBL
345,751
1,741,745
1
741 745
271,944
1,450,228
1
450 228
21,727
148,577
148
577
269
1,594
1
594
63.5%
69.4%
69
4%
4.9%
5.1%
5
1%
64.6%
39.8%
39
8%
76.8%
67.4%
67
4%
3.6%
2.5%
2
5%
11.3%
15.4%
15
4%
14.7%
8 4%
8.4%
76.1%
46 4%
46.4%
HMB
JSBL
377,497
127,135
277,142
94,208
27,999
13,484
174
211
56.9%
65.8%
3.1%
3.9%
42.8%
45.2%
77.8%
57.5%
2.1%
2.6%
16.3%
24.3%
13.4%
6.0%
46.4%
70.7%
KASBB
40.3%
71,175
64,328
1,684
105
81.5%
4.2%
36.9%
77.5%
10.4%
-1.9%
34.1%
94.1%
874,961
362,355
685,750
317,724
120,214
21,475
1,218
357
89.2%
70.0%
6.3%
5.6%
41.5%
36.0%
83.2%
93.8%
1.1%
-0.8%
22.2%
12.5%
7.3%
4.1%
34.3%
58.4%
1,447,966
1
44 966
182,276
1,139,535
1
139 3
112,103
163,317
163
31
16,604
1,367
1
36
171
63.7%
63
%
67.3%
4.3%
4
3%
2.7%
54.7%
4 %
84.2%
81.4%
81
4%
78.8%
2.8%
2
8%
6.3%
16.1%
16
1%
12.0%
15.4%
1
4%
24.2%
51.8%
1 8%
87.3%
SBL
SCBPL
49,697
428,069
30,117
312,739
10,647
56,444
28
116
53.2%
92.6%
4.1%
6.6%
65.6%
50.5%
98.0%
87.7%
0.2%
1.5%
42.4%
16.9%
10.3%
13.4%
79.0%
46.1%
SILK
SMBL
97,170
136,652
78,949
108,452
6,366
4,788
88
187
56.5%
71.9%
4.8%
2.7%
74.1%
52.5%
58.7%
70.8%
5.6%
8.3%
7.7%
4.4%
14.0%
23.8%
94.3%
113.3%
SNBL
UBL
193,852
1,103,687
155,713
918,210
13,905
112,584
238
1,300
70.6%
67.6%
3.9%
5.4%
60.6%
47.7%
70.5%
83.9%
3.4%
1.5%
11.0%
13.3%
12.3%
11.0%
63.0%
45.6%
Total
10,498,660
8,483,116
926,510
10,216
70.5%
4.6%
47.1%
75.4%
2.8%
14.9%
12.0%
53.2%
MCB
MEBL
NBP
NIB
October2014
IIn last
l t 5 years (2009-13),
(2009 13) Pakistan
P ki t commercial
i l banks
b k deposits
d
it increased
i
d att 14.6%
14 6% CAGR while
hil 10 year
(2004-13) deposit CAGR stood at 15.4%. There are total 34 commercial banks in Pakistan (including
public, private and foreign banks), out of which 22 are listed.
In addition to monetary expansion, new banks, rising branch network and improving banking penetration
are key factors behind the deposit growth.
In June 2014, banks deposit growth remained at 13% YoY which is slightly lower than recent growth trend.
The decline in the growth trend is mainly linked to slow growth in money supply and revaluation of foreign
currency deposits after PKR appreciation.
20%
Deposits Rs bn (LHS)
9,000
8,000
7,000
6,000
12%
5,000
8%
4,000
3,000
2,000
4%
1,000
Jun-14
Dec-13
Dec-12
Dec-11
Dec-10
Dec-09
Dec-08
0%
Dec-07
Source: SBP
October2014
10
3-Years
CAGR
17.9%
9.4%
15.6%
14.1%
25.3%
27.8%
13.8%
11 6%
11.6%
24.8%
15.5%
45.0%
11.1%
13 6%
13.6%
30.3%
9.8%
1.9%
18.3%
7.6%
19.7%
10.4%
19.9%
17.3%
16.0%
October2014
11
IIn June
J
2014 Pakistan
2014,
P ki t
li t d banks
listed
b k low
l
costt CASA (Current
(C
t Accounts
A
t Saving
S i
A
Accounts)
t ) deposits
d
it as
percentage of total deposits stood at 70%, almost 1% higher than June 2013 level. CASA helps banks in
enhancing margins.
On individual basis, MCB CASA deposits as percent of total deposits increased by 10.5% to 89% in June
2014 while SMBL CASA deposits increased by 9.3% to 72% and BAHL CASA increased by 7.5% to 77%.
Fall in CASA witnessed in NIB (by 6.9% to 67%) and BAFL (by 6.5% to 64%).
Jun-14
Jun-14 Avg.
90%
80%
70%
60%
50%
40%
30%
20%
10%
October2014
UBL
SMBL
SCBPL
SNBL
SILK
SBL
NIB
NBP
MEBL
MCB
KASBB
JSBL
HMB
HBL
FABL
BOP
BOK
BIPL
BAFL
BAHL
AKBL
ABL
0%
12
Though
Th
h CASA deposits
d
it rose to
t 70% off total
t t l deposits
d
it in
i June
J
2014 from
f
66% in
i Dec
D 2012,
2012 Pakistan
P ki t listed
li t d
bank CA (Current Accounts) deposits increased to 36% on June 2014 from 31% in Dec 2012. Banks are
preferring CA deposits as these are immune from SBP minimum profit payment requirements and are
cheapest source of deposit mobilization.
Amongst listed banks, SMBL CA deposits increased by 12.9% to 39%, MCB CA portion rose by 8.7% to 37%
while BOP also increased its exposure in CA by 7.9% to 28%. Other than these, CA deposit increase was also
seen in AKBL (by 5.1% to 29%), BAHL (by 5.5% to 47%), SILK (by 8.5% to 34%) and SBL (by 6.4% to 30%).
On the negative side, NBP CA portion declined by 4.2% to 36% in June 2014.
In CA deposits, ABL is on top with 51% of Current deposits followed by BAHL at 47%.
Pakistan Listed Banks CA Deposits
60%
Jun-13
Jun-14
Jun-14 Avg.
50%
40%
30%
20%
10%
October2014
UBL
SMBL
SCBPL
SNBL
SILK
SBL
NIB
NBP
MEBL
MCB
KASBB
JSBL
HMB
HBL
FABL
BOP
BOK
BIPL
BAFL
BAHL
AKBL
ABL
0%
13
In last 5 years (2009-13), banking sector advances grew at 5.0% CAGR to reach Rs3.9tn in Dec 2013 while
10 year (2004-13) CAGR stood at 13.3%.
Power, textile, telecom, consumer, construction, chemicals and transport/communication sectors are the
major borrowers in Pakistan.
Improvement in economic outlook and pick up of demand for credit by the business sector have resulted in
12.5% YoY advances growth in June 2014. The growth rate is highest in last 6 years.
At present, Pakistan Commercial banks ADR (Advances to Deposits) stood at 46.6% as on June 2014.
Pakistan Schedule Banks Advances
4,500
Advances Rs bn (LHS)
80%
4,000
70%
3,500
60%
3,000
50%
2,500
40%
2,000
30%
1,500
20%
1,000
Jun-14
Dec-13
Dec-12
Dec-11
Dec-10
0%
Dec-09
Dec-08
10%
Dec-07
500
Source: SBP
October2014
14
October2014
15
As advances
A
d
growth
th remained
i d low
l
and
d Govt.
G t fiscal
fi l needs
d increased
i
d after
ft 2008 economic
i crisis,
i i risk
i k averse
bankers started to park funds in risk free Investments with attractive yields.
Further, booming capital markets in last 2 years also encouraged banks to increase stake in stock market
equities.
Investments Rs bn (LHS)
60%
4,500
50%
4,000
3,500
40%
3,000
30%
2,500
2,000
20%
1,500
1,000
10%
500
October2014
Jun-14
Dec-13
Dec-12
Dec-11
Dec-10
Dec-09
Source: SBP
Dec-08
0%
Dec-07
16
October2014
17
FFor the
th first
fi t time
ti
i Pakistan,
in
P ki t
b k and
banks
d local
l l investors
i
t
h
have
i
invested
t d a record
d Rs2.2tn
R 2 2t in
i Govt.
G t bond
b d auction
ti
(Pakistan Investment Bond/PIB auction) in 9M2014.
As Govt. is re-profiling its debt from short term to long term due to IMF guidelines, local banks are taking
longer term view and have converted their short term investments into high yield Govt. paper.
To recall, yield spread (6-month T-bill versus 3-year PIB), which averaged 57bps during 2009-13, has
widened to average 246bps.
Our estimations suggest that 1.8-2.0% extra yields in PIB over short-term papers can increase banks NIMs
by 30bps while earnings can improve by approx. Rs16bn (15%).
Tbills
2500
2000
1500
1000
Mar-14
Jun-13
Sep-12
Dec-11
Mar-11
Jun-10
0
Rs bn
Sep-09
500
Source: SBP
October2014
18
accounts while MEBL and BIPL (being Islamic banks) can Source: Com pany Accounts, Topline Research
not invest in PIBs or T-bills.
October2014
19
In last 5 years (2009-13), NPL of Pakistan commercial banks increased by 10.8% CAGR to Rs553bn while
Gross Infection ratio increased from 9.9% in 2008 to 12.6% in 2013.
As signs of economic recovery are more visible now, business activities have revived and borrowers ability
to repay has improved in recent years. In June 2014, NPLs have declined by 3.5% YoY while Gross Infection
has further eased to 12.3% in June 2014.
The improvement has not only resulted into slower NPLs accretion and lower provisions but also triggered
recovery of bad loans.
Pakistan Commercial banks NPLs and Gross Infection
700
NPLs Rs bn (LHS)
18%
16%
600
14%
500
12%
400
10%
300
8%
6%
200
4%
100
2%
Jun-14
Dec-13
Dec-12
Dec-11
Dec-10
Dec-09
Dec-08
0%
Dec-07
Source: SBP
October2014
20
Jun-13
7%
21%
2%
9%
4%
13%
40%
14%
11%
15%
12%
34%
10%
5%
13%
33%
14%
18%
12%
15%
32%
13%
14%
Jun-14
6%
16%
3%
6%
4%
14%
30%
15%
8%
13%
6%
34%
7%
4%
15%
24%
10%
14%
12%
13%
24%
11%
12%
Chg.
-1%
-5%
0%
-2%
0%
1%
-10%
1%
-3%
-1%
-6%
0%
-3%
-1%
2%
-9%
-3%
3%
-4%
0%
-2%
-8%
-2%
-2%
October2014
21
Thanks
Th
k to
t the
th aggressive
i provisioning
ii i
and
d falling
f lli
NPL coverage ratio
NPLs,
ti and
d Net
N t NPL ratio
ti off Pakistan
P ki t
commercial banks has improved.
On June 2014, Coverage ratio of Pakistan commercial banks stood at 81.2% compared to a low of 66.9% in
2010. Similarly, Net NPL ratio has also eased to 2.6% on June 2014 vs. 5.3% in 2010.
6%
90%
5%
80%
70%
4%
60%
50%
3%
40%
2%
30%
20%
1%
10%
October2014
Jun-14
Dec-13
Dec-12
Dec-11
Dec-10
Dec-09
Source: SBP
Dec-08
0%
Dec-07
0%
22
Aggressive
A
i
provisioning
ii i
and
d falling
f lli
NPL are
NPLs
improving asset quality Pakistan listed banks as
Bank
Net Infection is falling and Coverage Ratios is
ABL
improving.
In June 2014,
2014 Net Infection of listed banks stood
at 3.3%, a drop of 130bps from June 2013 level.
Similarly, Coverage ratio has improved to 75.4%
in June 2014 from 70.8% in June 2013.
Infection
October2014
23
Despite
D
it monetary
t
easing
i off 500bps
500b (during
(d i July
J l 2011 to
t June
J
2013) costt off funds
2013),
f d off the
th banking
b ki sector
t
remained insensitive due to SBPs tightening regulations on payment of minimum return to PLS (Profit &
Loss sharing) saving deposits, which is about 37% of industry deposits. Now SBP has effectively linked PLS
saving deposits return to the policy/discount rate. On the other side, return on advances proportionately
moves with SBP policy rate. This has resulted in tighter banking spreads.
In 8M2014, banking spreads (between deposit cost and lending return) averaged at 6.04% vs. 6.26% in the
same period last year. In August 2014, banking spreads declined to 5.75% in August 2014, lowest after Feb
2005.
However, we expect rising NIMs in coming years, on the back of banks rising focus on low cost deposits,
higher return on investment (due to rising PIB investments) and lending growth.
Historical Banking Spread
16%
Return on Advances
16%
Banking Spreads
14%
14%
12%
12%
10%
10%
8%
8%
6%
Source: SBP
October2014
Jan-14
Jan-13
Jan-12
Jan-11
Jan-10
Jan-09
Jan-07
Jan-14
Jan-13
Jan-12
0%
Jan-11
0%
Jan-10
2%
Jan-09
2%
Jan-08
4%
Jan-07
4%
Jan-08
6%
Source: SBP
24
October2014
25
IIn addition
dditi to
t core banking
b ki operations,
ti
N I t
Non-Interest
t income
i
i also
is
l a significant
i ifi t contributor
t ib t to
t the
th banking
b ki
sector profits.
Rising banking penetration, branchless banking, banks active role in capital markets has resulted in higher
Non-Interest Income.
Non-Interest Income to Gross income ratio, which was 30.8% in 2007 and dropped to 23.8% in 2011, has
now improved to 29.5% on June 2014.
30%
28%
26%
24%
22%
Jun-14
Dec-13
Dec-12
Dec-11
Dec-10
Dec-09
Dec-08
Dec-07
20%
Source: SBP
October2014
26
October2014
27
In 2007, Pakistan commercial banks Cost to Pakistan Listed Banks Non-Interest Expenses
Non-Interest Exp.
Cost to Income
Income stood at 42.8% which spiked due to low Rs bn
Bank
1H2013 1H2014
1H2013 1H2014
banking income after 2008 crisis .
ABL
AKBL
BAHL
BAFL
BIPL
BOK
BOP
FABL
HBL
HMB
JSBL
KASBB
MCB
MEBL
NBP
NIB
SBL
SILK
SNBL
SCBPL
SMBL
UBL
Total
7.47
4.82
4.81
8.09
1.26
0.92
2.55
5.14
17 20
17.20
3.16
1.77
1.47
8.13
4.01
18.29
2.60
0.74
2.14
2.23
6.20
2.15
13.81
119.0
8.36
5.57
6.02
9.43
1.58
1.18
2.94
6.56
21 02
21.02
3.65
2.09
1.48
9.78
4.98
20.17
2.95
0.76
2.20
2.83
6.56
2.38
15.26
137.8
48.3%
85.7%
54.0%
68.8%
84.1%
51.0%
80.8%
76.6%
50 2%
50.2%
45.3%
74.3%
78.0%
32.7%
58.0%
53.7%
85.9%
100.5%
133.4%
63.8%
47.7%
230.4%
49.5%
54.8%
43.4%
65.8%
55.8%
67.6%
86.1%
53.5%
72.7%
73.8%
48 8%
48.8%
47.2%
72.4%
95.3%
36.1%
59.2%
57.0%
85.5%
84.0%
87.1%
65.6%
46.3%
119.3%
46.2%
53.8%
Dec-13
Dec-12
Dec-11
Dec-10
Dec-09
Dec-08
Dec-07
40%
Source: SBP
October2014
28
Growth
29%
NM
19%
34%
61%
15%
39%
-3%
40%
18%
197%
NM
-3%
17%
28%
-45%
235%
NM
20%
1%
NM
28%
35%
October2014
29
ROE of Pakistan listed banks has increased from Pakistan Listed Banks ROE and CAR
ROE
13.9% in 1H2013 to 16.0% in 1H2014.
Pakistan
Bank
ABL
AKBL
BAHL
BAFL
BIPL
BOK
BOP
FABL
HBL
HMB
JSBL
KASBB
MCB
MEBL
NBP
NIB
SBL
SILK
SNBL
SCBPL
SMBL
UBL
Total
1H2013
20.0%
NM
23.3%
14 5%
14.5%
3.5%
9.1%
15.5%
7.1%
16.9%
13.2%
3.2%
NM
22.9%
22.1%
8.7%
%
14.7%
0.7%
NM
8.6%
25 4%
25.4%
NM
18.1%
13.9%
1H2014
20.6%
21.4%
22.1%
16 8%
16.8%
4.8%
9.7%
19.0%
6.8%
19.8%
15.3%
6.4%
NM
19.7%
21.6%
9.4%
%
7.0%
2.4%
2.2%
9.6%
17 3%
17.3%
NM
20.3%
16.0%
CAR
2012
16.3%
9.4%
16.0%
12 6%
12.6%
15.5%
25.1%
7.7%
10.7%
15.3%
16.9%
19.0%
1.1%
22.3%
14.1%
16.1%
%
12.1%
43.9%
5.7%
12.4%
14 4%
14.4%
4.6%
14.8%
14.8%
2013
18.0%
11.9%
14.6%
12 1%
12.1%
15.7%
24.0%
9.0%
11.3%
15.4%
16.3%
24.3%
-1.9%
22.2%
12.5%
16.1%
%
12.0%
42.4%
7.7%
11.0%
16 9%
16.9%
4.4%
13.3%
14.9%
October2014
30
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Zeeshan Afzal
CEO
Dir : +9221-35303333-4
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Dir : +9221-35303346
Cell: +92322-6755552
sohail@topline.com.pk
zeeshan.afzal@topline.com.pk
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306, Continental Trade Center,
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Pakistan.
Phone +9221-35303330-2
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31
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