Meezan Bank Limited reported a profit after tax of Rs. 48.6 billion for the first half of 2026, while its income tax expense stood at Rs. 54.6 billion during the period, highlighting the significant impact of taxation on the bank’s earnings.

The bank’s profit before tax reached Rs. 103 billion during January to June 2026, according to brokerage firm Arif Habib Limited (AHL), while earnings per share increased to Rs. 26.71 compared with Rs. 25.97 in the same period last year.

Meezan Bank’s profit after tax rose from Rs. 47.14 billion in the first half of 2025 to Rs. 48.64 billion in H1 2026.

The bank’s board also approved an interim cash dividend of Rs. 8 per share, taking the total dividend announced during 2026 so far to Rs. 15.50 per share.

For the second quarter alone, Meezan Bank posted a profit after tax of Rs. 25.79 billion, translating into earnings of Rs. 14.32 per share. According to AHL, quarterly profit increased 5 percent year on year and 16 percent compared with the previous quarter.

The growth in earnings was supported by higher net profit earned and stronger non funded income, which continued to provide support amid changing banking sector conditions.

Non funded income increased 29 percent year on year to Rs. 11.88 billion. The increase was mainly driven by fee based income, which climbed 28 percent to Rs. 8.8 billion, while foreign exchange income more than doubled to Rs. 2.5 billion.

Meezan Bank’s net profit earned stood at Rs. 128.8 billion during the first half of 2026. Meanwhile, provision expenses increased 42 percent year on year to Rs. 2.2 billion as the bank expanded its financing portfolio.

The effective tax rate during the quarter stood at 52.9 percent, compared with 55 percent in the same period last year.

On the balance sheet side, Meezan Bank’s deposits reached a record Rs. 3.74 trillion, showing a 23 percent increase compared with the previous year and a 3 percent rise from the previous quarter.

The bank’s net advances grew 39 percent year on year, while investments and advances increased 8 percent and 7 percent quarter on quarter, respectively.

Borrowings also increased 25 percent during the quarter as the bank managed its funding requirements.

The latest dividend announcement follows the Rs. 7.50 per share interim cash dividend declared after the first quarter, bringing Meezan Bank’s cumulative cash dividend for 2026 to Rs. 15.50 per share.