Karachi, May 08, 2012 (PPI-OT): The Board of Directors of Silk bank announced a profit before tax of Rs. 172 million in the first quarter of 2012 which translates to an increase of 9.7% over the previous corresponding period. This is despite an increase in administrative cost by 13.8% over the previous corresponding period.
Total deposits increased by Rs. 10 billion in Q1 2012 which reflects a growth of 17.17% over the same period last year. Gross Advances also reflected a 3.19% growth over the corresponding period of last year, increasing by Rs. 1.7 billion.
As a conscious strategy, the bank is changing the advances mix by moving into higher margin Consumer and SME markets which continues to improve its balance sheet spread. A noteworthy reduction in the non-performing loans was achieved by Silkbank in Q1 2012 which resulted in a provision reversal including recovery of written off loans of Rs. 508 million. This led to a reduction in non-performing loans by 6.9%.
The Board of Silkbank appreciated the ongoing contribution of Shaukat Tarin, as Advisor to the Chairman of the Board. Tarin continues to be a principal shareholder of Silkbank along with Nomura Investments, Bank Muscat and International Finance Corporation (IFC).
For more information, contact:
Silk bank Limited
I.I. Chundrigar Road,
Karachi – Pakistan