Karachi: Samba Bank Limited has reported a downturn in its financial performance for the third quarter of 2026, reflecting a decrease in profits despite an increase in income. The bank's financial results, disclosed on October 26, 2026, indicate a challenging quarter characterized by rising expenses and a reduction in net interest income.

During the quarter ending September 30, 2026, the bank's mark-up or interest earned totaled 6,013.56 million rupees, a rise from the 5,802.94 million rupees recorded in the same period of the previous year. Although this increase is notable, the bank's mark-up or interest expensed also grew, reaching 4,830.40 million rupees from 4,441.06 million rupees a year ago. Consequently, the net mark-up or interest income fell to 1,183.16 million rupees from 1,361.87 million rupees, marking a moderate move in this key metric.

Non-mark-up or interest income also saw a decline to 423.05 million rupees from 527.78 million rupees in the same quarter of the previous year. This decrease was primarily driven by lower foreign exchange income and reduced gains on securities. Fee and commission income, however, showed an increase, illustrating strength in this segment of the bank’s operations.

According to information available from the Pakistan Stock Exchange (PSX), the bank’s total income for the quarter stood at 1,606.21 million rupees, down from 1,889.65 million rupees in the comparable period of 2025. This downturn was compounded by a rise in non-mark-up or interest expenses, which increased to 1,556.14 million rupees from 1,364.15 million rupees.

The profit before credit loss allowance and provisions plummeted to 50.08 million rupees from 525.51 million rupees, reflecting a significant move. Credit loss allowances and write-offs further impacted the bottom line, resulting in a pre-tax loss of 194.58 million rupees compared to a profit of 619.91 million rupees in the prior year.

After accounting for taxation, the bank reported a post-tax loss of 99.64 million rupees for the third quarter, a reversal from the 286.88 million rupees profit in the same period last year. Earnings per share also reflected this decline, registering a loss of 0.10 rupees compared to a gain of 0.28 rupees previously.

These financial results highlight the challenges faced by Samba Bank Limited as it navigates a complex economic environment marked by rising operating costs and fluctuating income streams.