HBL today declared its results for the full year 2015, delivering a record post tax profit of 35.1 billion, growing 11% year on year. Pre-tax profit surged to an impressive Rs 60.3 billion, increasing by 25% over 2014. Earnings per share for 2015 increased to Rs 23.93 compared to Rs 21.56 for 2014. With the results, HBL declared a dividend of Rs3.50/share, bringing total dividend for the year to Rs14/share.
HBL’s balance sheet has increased by 19% over December 2014 to Rs 2.2 trillion. Current accounts grew by 15% to reach a massive Rs 600 billion and the ratio of current accounts has now risen to 36.7% from 34.2% in December 2014. With loans also growing, net interest income for 2015 increased by 14% to Rs 78.2 billion. Non mark-up income increased sharply by 56% to Rs 36.6 billion. Fees and commissions for the year also increased by 22% to Rs 17.1 billion, due to new records being set in Bancassurance sales and card related fees, while the home remittances and investment banking businesses delivered stellar results, each crossing Rs 1 billion in income for the first time. Dividends and capital gains of Rs 3.7 billion from listed securities, showed a huge rise of 150% over 2014.The Bank also recorded capital gains of Rs8.2 billion from the sale of Government securities. HBL achieved a new landmark by becoming the first bank in Pakistan to cross Rs 100 billion in total revenue.
HBL is the market leader with 4.8 million debit cards and the fastest growing POS acquirer. During the year, the Bank launched Internet Payment Gateway services and pioneered Mobile POS in Pakistan, which enables small merchants to accept cards. ATM and POS deployments continued to accelerate, with nearly 400 new ATMs and 10,700 new POS terminals added. Investments were made in technology to drastically reduce downtime across the network of over 1,900 ATMs.
In line with its customer focus, HBL took several initiatives to provide enhanced security and peace of mind to customers. Systems, networks, and controls were upgraded to best-in-class industry compliance standards while chip technology was implemented to enhance security for credit card transactions. SMS alert facilities on ATM transactions provided protection to customers against fraud, and HBL Cash Mehfooz, provided protection against theft of cash or valuables.
During the last quarter, HBL issued Rs 10 billion of Tier II capital. Consequently, the Capital Adequacy Ratio increased to 17.0% in December 2015. The Bank’s credit ratings remain in the highest possible AAA category. During 2015, HBL was conferred with several awards, including the Best Bank in Pakistan 2015, by Euromoney and the Safest Bank in Pakistan 2015, by Global Finance.