KARACHI: The profit before tax of Standard Chartered Bank Pakistan Limited (SCBPL) registered an increase of 98 per cent on a year-on-year basis to reach Rs36.4 billion during the third quarter of 2022.
The overall revenue of the bank grew 70 per cent to deliver a topline of Rs45.1 billion, with positive contributions from all segments.
Despite a high inflationary environment and continuous investments in the infrastructure, operating expenses continue to be well managed through efficiencies and disciplined spending with an increase of 12 per cent from the same period last year.
The reversal of Covid-19 general provision, coupled with lower impairments and strong recoveries led to a net release of Rs1.5 billion during the period against a net release of Rs0.8 billion in loan impairments in the comparative period.
With a diversified product base, the bank stands well positioned to cater for the needs of its clients. On the liabilities side, the bank’s total deposits grew by Rs108.0 billion, up 17 per cent, whereas current and saving accounts increased by Rs119.0 billion, up 21 per cent) since the start of this year and comprise 95 per cent of the deposit base.
With a strong Return on Equity (ROE) of 23.5 per cent for the period and a Capital Adequacy Ratio (CAR) of 17.7 per cent, the bank remains well positioned for future growth.
Advances declined marginally since the start of this year and the bank continues to monitor the portfolio in the prevailing economic environment as part of its strategy to build a profitable, efficient, and sustainable business.
Sustainable finance along with digital solutions for clients and their ecosystem stay as areas of keen focus for the bank. Standard Chartered continues efforts under its initiative ‘Futuremakers by Standard Chartered’ initiative to tackle inequality and promote greater economic inclusion for young people in the community.
Standard Chartered has also contributed towards emergency relief and rehabilitation of communities impacted by the recent floods that have caused devastation in Pakistan.
SCBPL Chief Executive Officer Rehan Shaikh said that the results for the first three quarters of 2022 clearly reflect strong foundations, enhanced productivity and good headway towards achieving strategic priorities.
“The results give me the confidence that we have the right strategy to deliver real value to our clients, our investors and the communities where we operate. 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,” he added.
“We are investing heavily in our people, giving colleagues the skills they need to succeed, bringing in expertise in critical areas and evolving to a more innovative and agile operating model, as we strive to drive innovation and increase our operational efficiency further,” Shaikh remarked.
This operational leverage allows the bank to create capacity to invest in the many exciting and potentially transformational initiatives as the bank’s pivot to digital continues, he added.
“The external environment remains challenging. However, we remain fully committed to delivering sustainable growth for our shareholders, bringing the best in class services and solutions for our clients and playing our part in the growth story of Pakistan.”
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