Karachi: The First National Bank Modaraba has reported a substantial increase in its annual profit for the year ended 30 June 2024. According to the recently released financial statements, the bank saw its total comprehensive income surge to Rs. 34.73 billion, a dramatic increase from the Rs. 2.53 billion recorded in the previous year. The remarkable growth in profit was disclosed in a statement of profit and loss and other comprehensive income made available to the public.

The bank's income from operations also showed significant growth, with profit on bank deposits increasing from Rs. 312.34 million in 2023 to Rs. 476.94 million in 2024. Similarly, profits from short-term investments rose from Rs. 28.86 billion in 2023 to nearly Rs. 49.70 billion in 2024. The total income for the bank escalated dramatically to Rs. 115.94 billion in 2024 up from Rs. 64.18 billion in 2023.

According to information available from the Pakistan Stock Exchange (PSX), the bank managed to significantly reduce its total expenses, which amounted to Rs. 62.82 billion in 2024, compared to Rs. 52.82 billion the previous year, leading to an operating profit before provisions and taxation of Rs. 53.11 billion, up from Rs. 11.35 billion in 2023.

The year's financial achievements are attributed to strategic investments and effective cost management. Other income, including reversals of provisions for doubtful receivables and other liabilities, contributed Rs. 3.32 billion to the total income. The bank's earnings per modaraba certificate also rose substantially, from 0.16 in 2023 to 1.39 in 2024.

The financial statements further revealed that the bank experienced a small unrealized loss on the revaluation of sukuk, totaling Rs. 25.63 million. However, this did not significantly impact the overall positive performance for the year.