LAHORE: MCB Bank Ltd posted a net profit of Rs30.81 billion for 2021, up 6.1 per cent from the preceding year’s unconsolidated earnings, a stock filing showed on Thursday.

The bank also declared a final cash dividend of Rs5 per share, bringing the total payout for the year to Rs19 per share.

A press release by the bank said the average policy rate registered a year-on-year decline of 166 basis points from an average of 8.95pc to 7.29pc. However, net interest income decreased only 10pc to Rs63.99bn on account of “strategically aligned” growth in average current deposits and a balanced mix of earning assets, it said.

Non-markup income grew 11pc to Rs20.1bn. Improved transactional volumes, surge in business activities, diversification of revenue streams and investments in digital transformation supplemented a growth of 14pc in fee income whereas dividend and foreign exchange incomes increased 86pc and 48pc, respectively.

As for provisions, a net reversal of Rs910 million took place in specific provisions maintained against non-performing loans. The general loss reserve of Rs4bn created amid uncertainties surrounding the Covid-19 outbreak was reversed as the system-wide risks receded. The bank has created a specific provision against exposures that reflected signs of financial distress. Its share price decreased 1.88pc to Rs160.93 on the stock exchange.

Engro Fertilisers profit up 16.3pc

Engro Fertilisers Ltd reported earnings of Rs21.1bn for 2021, up 16.3pc from the preceding 12-month period, a regulatory filing showed on Thursday.

Net profit for the Oct-Dec quarter amounted to Rs6.17bn, down 7.1pc from the same period a year ago.

The company also announced a dividend of Rs5 per share, taking the total payout in 2021 to Rs16.5 per share.

“Earnings came in slightly above our expectations where the deviation was due to higher gross margins recorded in Oct-Dec (32.9pc versus 25.7pc in the third quarter),” said a note by AKD Securities. The cumulative 2021 gross margin stood at 33.3pc, up 34 basis points from the preceding year.

Its share price decreased 0.84pc to Rs84.13 on a day-on-day basis in the stock market.

Published in Dawn, February 11th, 2022