Standard Chartered Bank (Pakistan) Limited, the country’s largest and oldest international bank, has unveiled its Annual Results for the year 2023.
The bank achieved remarkable performance in 2023, reporting a Profit before tax of Rs. 89.2 billion, marking a 78 percent increase from the previous year. Profit after tax soared by 115 percent to reach Rs. 42.6 billion, the highest ever since its inception.
Overall revenue surged by 72 percent, with client revenue witnessing a robust growth of 78 percent year on year across all segments. Operating expenses rose by 29 percent compared to the previous year, in line with the prevailing inflationary trend. Additionally, a prudent risk management approach and recoveries of bad debts resulted in a net release of Rs. 163 million in loan impairments during the year.
On the asset side, the bank surpassed a milestone by crossing Rs. 1.0 trillion in total assets, reflecting an 8 percent increase from the beginning of the year. Total deposits stood at Rs. 720 billion, with current accounts experiencing healthy growth of Rs. 34 billion (a 10 percent increase) since the start of the year, constituting 50 percent of the deposit base.
Throughout 2023, the bank contributed approximately Rs. 63.5 billion to the national exchequer through direct income taxes and as a withholding agent for Federal/Provincial Tax Authorities.
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With a robust Return on Equity (ROE) of 46.4 percent and a Capital Adequacy Ratio (CAR) of 20.1 percent, the bank remains well-positioned for future growth. The Board of Directors has recommended a final cash dividend of 25 percent (Rs. 2.50 per share), in addition to the interim cash dividend of 65 percent (Rs. 6.50 per share) announced earlier in the year, resulting in a record-high total dividend payout of 90 percent (Rs. 9.00 per share).
Rehan Shaikh, Chief Executive Officer of Standard Chartered Bank (Pakistan) Limited, expressed pride in the exceptional performance of the bank in 2023, attributing it to the firm’s commitment to transformation and growth. He emphasized the bank’s focus on delivering sustainable higher returns by driving income growth and improving operational efficiency through simplification and digitization initiatives.
Despite challenges in the external environment, Shaikh reiterated the bank’s commitment to sustainable growth, innovation, and contributing positively to Pakistan’s progress.