HBL profits up by 28 pc to Rs14.4b in 9M2011


Habib Bank Limited (HBL), country’s second largest lender, declared its earnings for September 2011 at Rs14.4 billion against Rs11.3 billion last year. HBL’s per share earnings for September stands at Rs13.1 as compared to Rs10.26 for same period last year. The analyst at Top-line Securities said, “HBL has shown an impressive growth of 28 per cent from the previous years earning of Rs11.3 billion. “This earnings growth primarily stems from 19 per cent surge in banks NII which stood at Rs40 billion amid improved banking spreads as average 6-Months KIBOR stood higher by 120 basis points,” viewed Farhan Mahmood. Other reasons, the analyst said, include 18 per cent increase in the bank’s non-interest income. “However, 23 per cent rise in provisions to Rs6.3 billion and 14 per cent growth in operating expenses partially diluted the benefit from top-line growth,” he said. Alone in 3Q2011, Farhan said, the bank posted earnings of Rs5.1 billion resulted into earning per share of 4.67 as against Rs3.8 billion with earning per share of Rs3.51 in the same quarter last year.