The Board of Directors of MCB Bank Ltd declared cash dividend of Rs3.0 (December 31, 2010: cash dividend Rs3.0 per share) and bonus issue of 10 per cent (December 31, 2010: 10 per cent) for the period ended December 31, 2011, in addition to interim cash dividends of Rs9.0 already paid.
The Board of Directors met under the Chairmanship of Mr Mian Mohammad Mansha, on February 21, 2012 to review the annual performance of the
Bank and approve the financial statements for the year ended December 31, 2011.
Earnings per share (EPS) as of December 31, 2011 came to Rs23.23 compared to Rs20.18 for last year. Return on assets improved to 3.18 per cent (2010: 3.13 per cent), whereas, return on
equity improved to 26.23 per cent (2010: 25.91 per cent).
Financial year 2011 proved to be a year of record performance for MCB Bank Limited as it reported 20 per cent and 15 per cent increase in profit before tax (PBT) and profit after tax (PAT) respectively, with its asset base registering an increase of 15 per cent over December 31, 2010. The Bank achieved the milestone of being the first bank in the Pakistan banking industry to post profit before tax in excess of Rs30 billion with PBT reported at Rs31.483 billion and PAT reported at Rs19.425 billion.
Net Interest Income of the Bank increased by 21 per cent over last year with non markup income increasing by 29 per cent to Rs8.112 billion. On the operating expenses side, gross administrative expenses (excluding the impact of pension fund reversal) increased with a controlled growth of 15 per cent over last year. Provisions for the period were reported at Rs3.654 billion with a nominal increase of two per cent over last year.
The asset base of the Bank grew to Rs653.233 billion from Rs567.553 billion as at year end 2010. The investment portfolio increased considerably by Rs103.6 billion over December 2010 with higher concentration in risk free government securities. Advances (gross) of the Bank were reported at Rs248.135 billion with a decrease of 9 per cent over 2010, mainly on account of conversion of commodity financing/circular debt exposure to risk free government securities. The deposit base of the Bank went up by 14 per cent, with 11 per cent and 16 per cent increase reported in current and saving deposits respectively, maintaining the CASA percentage at 81 per cent.
MCB profits grow 15 per cent in 2011
