BRAC Bank profit jumps 73% in Q2

BRAC Bank reported a 73 percent year-on-year surge in consolidated net profit for the April-June quarter, driven by higher investment income.

The private commercial bank’s quarterly profit rose to Tk 728 crore from Tk 420 crore in the same period last year, according to its financial statements.

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With its second-quarter earnings, BRAC Bank’s total consolidated profit soared 57 percent to Tk 1,423 crore in the January-June period of this year from Tk 906 crore a year earlier.

Earnings per share (EPS) rose to Tk 2.55 in the first half of the year from Tk 1.34 a year earlier, driven primarily by higher net interest income and investment returns.

BRAC Bank attributed the increase in profit to higher interest income and investment income. The bank’s total consolidated investments were largely concentrated in government treasury securities worth Tk 46,607 crore.

Net operating cash flow per share (NOCFPS) stood at Tk 40.05 in the first half of the year, supported by stronger deposit mobilisation and bank borrowings. On the lending front, BRAC Bank’s consolidated loans and advances increased 4 percent year on year to Tk 76,189 crore in the April-June period. Shares of BRAC Bank declined 0.31 percent to Tk 63.90 on the Dhaka Stock Exchange (DSE) as of 2:25 pm yesterday.

Sponsors and directors hold a 46.17 percent stake in the bank, while foreign investors own 34.69 percent. The remaining shares are held by institutional and general investors, according to DSE data.

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