BRAC Bank (BRACBANK) Q4 2024 earnings summary

Executive summary

• Achieved robust growth in 2024 and Q1 2025 across all business segments, with strong customer acquisition and market share gains.

• Consolidated net profit after tax rose to BDT 14.32 billion, up from BDT 8.28 billion year-over-year, with strong growth in operating income and capital adequacy maintained above regulatory requirements.

• Maintained a diversified loan portfolio: 42% corporate, 42% SME, 16% retail, supporting asset quality.

• Continued focus on digitalization, innovation, and inclusive banking, especially in SME and retail segments.

• Leadership transition with CEO resignation, but strategic direction and objectives remain unchanged.

Financial highlights

• Customer base grew 14% in 2024, with Q1 2025 growth accelerating to 50%.

• Deposits grew 34% in 2024 (market: 7%), loans up 20% (market: 7%), gaining market share.

• Net interest margin improved to 4.1% in 2024, up 15-20 bps year-over-year.

• Profit after tax up 66% year-over-year in 2024; 34% growth in Q1 2025.

• Earnings per share (EPS) increased to BDT 6.95 from BDT 4.30; net asset value (NAV) per share rose to BDT 44.11 from BDT 37.60.

Outlook and guidance

• Economic recovery expected to strengthen from July 2025, with inflation projected below 7% by August and further down by December.

• The bank continues to prioritize sustainable and green finance, with BDT 502.1 billion in sustainable finance and BDT 89.6 billion in green finance in the loan portfolio.

• Management expects to maintain strong capital, liquidity, and asset quality, with ongoing focus on digital transformation and risk management.

• Targeting $7 billion trade volume in 2025, up from $5 billion in 2024.

• No major strategic shifts anticipated despite leadership changes.