BRAC Bank's consolidated Net Profit After-Tax (NPAT) registered a growth of 74% year-on -year (YoY) and reached TK 1,011 crore during the first nine months of 2024, says a press release.
On a standalone basis, the bank registered a NPAT growth of 64% posting TK 827 crore. The bank sustained its growth trend and delivered a 26% annualized growth in its balance sheet, says a press release.
While the bank's customers' deposits grew by 34% (annualized) to reach TK 61,602 crore, lending book recorded a growth of 14% (annualized) and stood at TK 57,413 crore at the end of September 2024. Driven by growth in both business and investment, both funded and non-funded income also grew significantly - registering a 35% YoY growth in overall revenue.
Along with business growth, significant improvement in portfolio quality was ensured, resulting in non-performing loan (NPL) ratio coming down to 2.80% in September 2024 from 3.38% in December 2023. Moreover, NPL coverage ratio increased to 131% in September 2024 from 115% in December 2023 to absorb any unforeseen shock. The bank's well-defined risk appetite statement and continuous collection efforts has contributed immensely towards portfolio quality management.
Reflecting on the overall growth in profitability, both consolidated Return on Equity (RoE) and Return on Assets (RoA) improved and stood at 16.41% (2023: 11.92%) and 1.27% (2023: 1.02%) respectively.
As the bank aims to continue with its growth journey, significant focus has been given towards increasing the regulatory capital. With the issuance of subordinated bond, the bank's regulatory capital reached TK 6,547 crore in September 2024 which was TK 5,509 crore in December 2023.
Reflecting on the financial outcomes, the bank's Managing Director & CEO Selim R. F. Hussain, stated: "Our overall performance highlights our ability to serve a growing customer base and cater to their ever-changing financial needs. It has always been the trust of our customers which has helped us to consistently grow at a pace higher than the industry's average. Our aspiration remains to continue this growth journey, with sustainability being a priority."
