KARACHI: Habib Bank Ltd (HBL) on Friday announced earnings for the first half of calendar year 2020 (1HCY20) at Rs15.1bn depicting a staggering year-on-year growth of 309 per cent and quarter-on-quarter acceleration of 170pc, a notification issued on the PSX showed.

The earnings translated into Rs10.32 per share during the period. However, the bank did not announce dividend for the period as per the State Bank of Pakistan’s (SBP) directives for capital conservation.

The bank posted a phenomenal surge in its net interest income (NII) while booking healthy capital gains. Provisioning was booked on the higher side while a gain on foreign exchange operations provided a major breather.

The bank’s NII settled at Rs63.1bn for 1HCY20, up 32pc year-on-year while posting a drastic 25pc jump on a quarterly basis.

This is primarily owing to a steep reduction in the bank’s interest expense which is most likely attributable to the 625 basis points rate cut announced by the SBP, curtailing bank’s cost of deposits.

Honda Atlas bottom line turns red

Honda Atlas Cars Pakistan announced loss after tax at Rs511 million and loss per for the quarter ended June 30 and loss per share at Rs3.58.

This was down from PAT at Rs242m and EPS at Rs1.69 in the same period last year.

The company’s top line declined by 64pc year-on-year to Rs6,512m during the period due to 72pc decline in volumetric sales, which was somewhat compensated for by the increase in car prices.

FFBL incurs Rs1.2bn loss

Fauji Fertiliser Bin Qasim Ltd (FFBL) incurred a loss of Rs1.16bn (LPS: Rs1.24) in 2QCY20.

Cumulative loss for 1HCY20 stood at Rs4.207bn and LPS at Rs4.51, as against a loss of Rs1.951bn (LPS: Rs2.09) in the same period last year. Net sales declined 15pc year-on-year due to fall in fertiliser offtake as well as market prices. On the other hand, cost of sales dropped by 17pc on lower rates of raw materials.

Published in Dawn, July 25th, 2020