A record profit before tax of PKR 50.1 billion was recorded by Standard Chartered Bank Pakistan Limited (SCBPL), representing a 102% rise year over year. Strong income growth and ongoing cost and risk restraint both contributed to the bank’s performance. With good contributions from all segments, the bank’s overall revenue increased by 68% to reach its highest-ever top line of PKR 62.6 billion. Operational expenses increased by 14% from the prior year, but were effectively managed through cost savings and restrained spending.
Together with lesser impairments and excellent recoveries, the bank also benefited from the Covid-19 general provision being reversed, which resulted in a net release of PKR 1.3 billion during the year as opposed to a net charge of PKR 0.5 billion in loan impairments in 2021. Due to its wide range of products, the bank is well-positioned to meet the demands of its customers.
The bank’s total deposits climbed by PKR 91.7 billion (up 15%) in liabilities, while the amount of current and savings accounts increased by PKR 108.7 billion (up 19%) in 2022 and made up 96% of the deposit base. Standard Chartered Bank is still completely committed to providing sustainable growth for its shareholders, providing best-in-class services and solutions for its clients, and contributing to Pakistan’s growth story despite the difficult external environment.
The bank’s top priorities continue to be sustainable finance and digital solutions for clients and their ecosystem. In terms of its strategic aims, Standard Chartered keeps making headway by providing its clients with creative solutions, product specialisation, and organised offshore offerings.
CEO of Standard Chartered Bank (Pakistan) Ltd Rehan Shaikh stated, “We are happy to present our 2022 results, which amply demonstrate solid foundations, increased productivity, and good progress towards realising our strategic targets. The outcomes provide us the assurance that our approach is sound and will enable us to provide genuine value to our clients, investors, and the communities in which we operate.”
The bank is well-positioned for future growth because to its outstanding Return on Equity (ROE) of 23.7% for the year and a Capital Adequacy Ratio (CAR) of 18.68%. The highest-ever full-year dividend was 40% (PKR 4.00 per share), which was announced by the board of directors as a final cash dividend of 25% (PKR 2.50/- per share).
