In a meeting held on August 29, 2025, the Board of Directors of The Bank of Punjab (BOP) reviewed and approved the un-audited financial statements, duly reviewed by the external auditors, for the first half of the year ended on June 30, 2025. The Board lauded the exceptional performance of the Bank, which not only exceeded expectations but also delivered unprecedented financial results across all key performance areas. This extraordinary performance has enabled the Bank to meet shareholders’ expectations by announcing, for the first time in its history, an Interim Cash Dividend of 10% (equivalent to Rs. 1 per share), in line with its dividend policy announced earlier this year.
In the face of business landscape marked by declining interest rates and pressure on industry margins, during 1st half of the year 2025, the Bank earned operating profit of Rs.
15.52 billion by achieving a remarkable growth of 278% over the corresponding period last year.
This stellar achievement demonstrates the strength of the Bank’s strategic vision, the resilience of its business model, and the effectiveness of its leadership. Net Interest Income also advanced impressively by 116% over the corresponding period last year, reaching Rs. 35.81 billion, underscoring the Bank’s capacity to generate robust core earnings. Improvement in Non-interest income reflected the success of income diversification and the deepening of fee-based revenue streams which registered an impressive growth of 40%.
Operational efficiency continued to show improvement with significant declining trend in the cost-to-income ratio, highlighting prudent cost management and enhanced productivity.
Bank’s profit before tax surged by 102% to Rs. 15.16 billion compared with Rs. 7.51 billion in 1st half 2024, while earnings per share increased to Rs. 2.08 from Rs. 1.47, despite the impact of a higher tax rate of 53%. These results demonstrate not only financial strength but also consistent value creation for shareholders.
The balance sheet further reinforced the Bank’s position of stability and growth. Total assets expanded to Rs. 2,444 billion, while deposits advanced by an impressive 23% to Rs. 1,947 billion, driven by a notable 43% increase in current deposits that illustrates rising customer confidence and effective deposit mobilization. Gross advances reached at Rs. 777 billion, while investments and lending to financial institutions stood at Rs. 1,435 billion, reflecting a well-calibrated and balanced approach to asset allocation. The Capital Adequacy Ratio strengthened to 17.42%, demonstrating Bank’s strong capital base and prudent risk management practices.
In addition to its stellar financial performance, the Bank continues to play a pivotal role in supporting national development and social uplift. The Bank has been successfully managing multiple Government of Punjab (GoPb) initiatives including the CM Punjab Asaan Karobar Scheme, CM Punjab Kissan Card, CM Punjab Livestock Card, CM Punjab Petrol/Electric Bikes, and the Apni Chat Apna Ghar Program.
Guided by the visionary leadership of the Honorable Chief Minister Punjab, BOP has acted as the enabler of these landmark initiatives. Together, these efforts are strengthening financial inclusion and accelerating economic progress across Punjab.
During FY25, the Bank led the SME and Agriculture sectors’ growth in the country in line with the true spirit of promoting financial inclusion. While the Bank’s overall share in lending to the SME sector surged to the level of 21% in terms of amount across the entire industry, its share in total growth in number of borrowers reached 97%. Additionally, on an industry-wide basis, 51% of the total year-on-year growth in Agriculture advances was contributed by BOP, whilst around 500,000 new first- time borrowers were added. The Bank’s contribution in SME and Agriculture was driven by GoPb schemes using BOP’s Digital & AI Platform, which by default elevates it to the pole position in this future banking key success factor across the industry by a very wide margin, with an impressive recovery rate of over 96% reflecting a robust follow-up mechanism.
Equally significant has been the delivery of 50,000 houses under the Chief Minister Punjab’s Apni Chat Apna Ghar scheme in just the first six months of FY25 — an unprecedented effort in scale and speed within the housing sector. These loans were channeled through Microfinance Institutions (MFIs), with Akhuwat playing a leading role in enabling access for low-income households.
With this outstanding performance both on financial front and the development financing side, The Bank of Punjab continues to reaffirm its role as one of the most dynamic and impactful financial institution in Pakistan, driving both shareholder value and inclusive growth.
