LAHORE:

The Bank of Punjab (BOP) has reported record financial results for the first half of 2025, with the Board of Directors approving the un-audited financial statements on Friday.

For the first time in its history, the bank announced an interim cash dividend of 10% (Rs1 per share), citing strong performance across all key indicators.

According to the statement, BOP earned an operating profit of Rs15.52 billion in the six months ended June 30, 2025, reflecting a 278% increase over the same period last year. Net interest income grew 116% to Rs35.81 billion, while non-interest income rose 40% due to diversification and fee-based streams.

Profit before tax surged 102% to Rs15.16 billion, compared to Rs7.51 billion in the first half of 2024. Earnings per share increased to Rs2.08 from Rs1.47, despite a higher tax rate of 53%. The cost-to-income ratio declined, underscoring improved efficiency and expense control.

The bank’s balance sheet also expanded, with total assets reaching Rs2,444 billion. Deposits grew 23% to Rs1,947 billion, including a 43% rise in current deposits. Gross advances stood at Rs777 billion, while investments and lending to financial institutions totaled Rs1,435 billion. The Capital Adequacy Ratio improved to 17.42%.

Alongside financial results, the bank highlighted its role in implementing several Punjab government initiatives, including the Asaan Karobar Scheme, Kissan Card, Livestock Card, Petrol/Electric Bikes, and Apni Chat Apna Ghar housing programme.

In the SME and agriculture sectors, BOP reported major contributions. Its share in SME lending reached 21% of total industry financing, while its share in growth of SME borrowers rose to 97%. In agriculture, the bank accounted for 51% of industry-wide annual growth, adding about 500,000 first-time borrowers. Lending was supported by digital platforms and recorded recovery rates above 96%.