United Bank (UBL) Q2 2024 earnings summary

Executive summary

• H1 2024 consolidated profit after tax was Rs 31.4bn, up from Rs 27.5bn; EPS rose to Rs 25.15 from Rs 22.01.

• Unconsolidated PBT grew 14% YoY to Rs 57.7bn; PAT reached Rs 29.4bn and EPS Rs 24.05.

• Consolidated total income was Rs 97.9bn, up from Rs 89.1bn; net mark-up income increased to Rs 57.3bn from Rs 72.3bn?

Financial highlights

• Consolidated H1 total income Rs 97.9bn vs Rs 89.1bn; net mark-up income Rs 57.3bn vs Rs 72.3bn?

• Consolidated non-mark-up income was Rs 40.6bn vs Rs 16.8bn; fee and commission income increased to Rs 11.5bn from Rs 9.7bn.

• Consolidated operating expenses rose to Rs 38.9bn from Rs 32.7bn; credit loss allowance and write-offs were a net reversal of Rs 2.36bn vs a Rs 3.01bn charge.

• Consolidated advances were Rs 935.3bn at Jun 30, 2024 vs Rs 872.0bn at Dec 31, 2023; deposits reached Rs 3.24tn vs Rs 2.63tn.

Outlook and guidance

• Priorities for 2024 include growing customer numbers and deposit share, improving service and trade focus, upgrading branches, and implementing a front-end digital platform.

• Transformation plans include realigning structures and processes and retaining and acquiring talent to support future growth.