Standard Chartered Bank (Pakistan) Limited, announced its H1 2024 Results today. The Bank’s Profit before tax grew 29% to Rs. 49.3 billion, while the profit after tax increased by 14% to a record Rs. 21.4 billion during the review period.
Overall revenue growth was 24%, whereas client revenue increased by 23% year on year with positive contributions from all segments.
While operating expenses increased 22% from the comparative period in line with inflation, the bank continues to lead the industry with the lowest cost-to-income ratio of 18%. Moreover, lower impairments as a result of a prudent risk approach coupled with recoveries of bad debts led to a net release of Rs. 1.8 billion in H1’24 compared to a net release of Rs. 12 million in the comparative period.
On the liabilities side, the Bank’s total deposits stand at Rs. 817 billion; up by Rs. 97 billion, whereas current accounts registered a healthy growth of Rs. 36 billion (up 10%) since the start of the year and comprise 49% of the deposit base. On the assets side, net advances were lower by Rs. 12 billion (5%) since the start of this year.
Commenting on the results, Mr. Rehan Shaikh – Chief Executive Officer, of Standard Chartered Bank (Pakistan) Limited said:
“Our H1 2024 Results are a testament to the strong business fundamentals and the work we have put in over the last few years to transform and grow our business. The results also demonstrate a clear path towards delivering on our strategic priorities. We continue to become more efficient and innovative operationally while investing in technologies and capabilities of the future to provide best-in-class banking to our clients. Our pivot to digital continues based on adopting best practices, leveraging the Group expertise, and incorporating the feedback of our clients in our offerings.”
“I am thankful to our clients and business partners for their ongoing trust in our capabilities and to our associates and colleagues for their commitment, passion, and hard work in supporting the Bank in its journey. The external environment remains challenging; however, we remain fully committed to managing our risks, capital, and liquidity effectively, bringing industry-leading services and solutions for our clients and playing our part in the growth story of Pakistan,” he added.
With a strong Return on Equity (ROE) of 44% for the period and a Capital Adequacy Ratio (CAR) of 20%, the Bank remains well-positioned for future growth.
