The Bank of Punjab Registered Historic Growth in Operating Profit In 1Q’25 Of 353%
BOP Achieves 353% Operational Profit Growth Amid Economic Challenges
Lahore: In a meeting held on April 22, 2025, the Board of Directors of The Bank of Punjab (BOP) reviewed and approved the un-audited financial statements for the first quarter ended March 31, 2025. The Board lauded the exceptional performance of the Bank, which has not only exceeded expectations but also delivered unprecedented financial results across all key performance areas.
Net Interest Margin Soars 76% as BOP Maintains Efficient Operating Costs
Despite facing a challenging economic landscape and intensifying competition within the banking sector, BOP has achieved a phenomenal 353% growth in operational profit before provisions and gains as compared to the same period last year. Profit before provisions rose to an impressive Rs. 5.09 billion, up from Rs. 1.72 billion in Q1’24—representing a remarkable 197% increase in profit before provisions.
Also read: Zafar Masud’s Tenure as BOP President & CEO Extended
The Bank’s Net Interest Margin (NIM) witnessed a stellar growth of 76%, reaching Rs. 15.04 billion compared to Rs. 8.55 billion in Q1 2024. The Bank’s operating cost structure remained in line with industry norms. The Bank’s cost-to-average deposits ratio stood at 3.3%, whereas the Cost-to-Income Ratio reduced by 12% over the 1st quarter of the year 2024.
Profit Before Tax Rises 14%, Reflecting BOP’s Resilience Despite Higher Taxes
As a result, the Bank’s Profit Before Tax rose to Rs. 4.01 billion, up from Rs. 3.51 billion, reflecting a 14% growth. Despite a challenging tax regime, after absorbing an increased tax rate of 53%, the Bank’s Earnings per Share (EPS) still rose to Rs. 0.55, up from Rs. 0.52, underscoring the efficiency and profitability of its operations.
Total Assets Grow by 12%, Deposits Surge 21%, Highlighting Strong Public Trust in BOP
As compared to the 1st quarter of 2024, Total Assets grew by 12%, reaching Rs. 2,334 billion, while Deposits surged by 21% to Rs. 1,718 billion with a growth of 22% in current deposits, affirming strong public trust and sustained deposit mobilization efforts.
The Bank’s capital position also remains exceptionally strong. Tier-1 Equity increased to Rs. 81 billion, with Capital Adequacy Ratio (CAR) stood at a healthy 16.93%.
Read more: Barrick Gold’s Reko Diq Project Aims to Secure $2 Billion, Boosting Pakistan’s Economy
Efficient Management of Subsidy Programs Highlights Bank’s Commitment to Social Uplift
In addition to its stellar financial performance, the Bank continues to play a pivotal role in supporting national development and social uplift. The Bank has successfully managed multiple Government of Punjab (GoPb) initiatives including the revolutionary CM Punjab Asaan Karobar Scheme, CM Punjab Kissan Card, CM Punjab Livestock Card, and Apni Chaat, Apna Ghar Scheme. Furthermore, during Q1 2025, the Bank most-efficiently managed one of the largest targeted subsidy program of GoPb Nighaban Ramzan Program” using its cutting-edge technology.
The Bank was the only commercial bank honored with two awards at the State Bank of Pakistan’s “Pakistan Financial Literacy Week Awards 2025” for the priority-sectors – Agriculture and SME.
This remarkable performance is a resounding testament to the Bank’s strategic foresight, executional excellence, and unwavering commitment to creating value for all stakeholders. With continued innovation, expansion, and focus on digital transformation, BOP is well-positioned to sustain its upward momentum in the quarters ahead.
You might also like
- Mobilink Bank and Fatima Fertilizer partner to provide access to finance to empower the agri-community
- Meezan Bank Pays Tribute to the Armed Forces with a Heartfelt Ceremony
- Mashreq Reports Robust Q1 2025 Results with AED 3.1 Billion in Revenue and Continued Strategic Growth
- easypaisa Facilitates PKR 107M in Donations During Ramadan 2025
- Mobilink Bank, Daraz Team Up to Boost MSME Finance & Digital Growth
