Operating profit of AB Bank Tk 4.30b
Sunday, 5 April 2009
FE Report
The operating profit of AB Bank Limited stood at Tk 4.30 billion (430 crore), registering a growth of 29 per cent over 2007.
Its total assets grew by 32 per cent to more than Tk 84.05 billion, while classified loans also came down below 3.00 per cent, which was 4.31 per cent the year before.
After accommodation of all regulatory provision requirements, the profit after tax PAT grew over 21 per cent to over Tk 2.30 billion.
Substantial income from investment banking oiperations contributed much to the growth. The bank's earning assets also grew by over 40 per cent.
AB Bank's return on equity (RoE) was 40.96 per cent in 2008, while its return on asset (RoA) was 3.12 per cent.
With the recent recommendation of the board of directors of the bank in connection with the declaration of dividends for the year ending 2008, total shareholder's equity will be more than Tk 6.72 billion, an increase of almost 50 per cent, thereby enabling it to remain well above the minimum capital requirement as set by the regulatory authority for banks.
The Tier-I Capital of the bank grew over 60 per cent to over Tk 6.12 billion and Tier-II Capital grew over 39 per cent to more than Tk 1.31 billion respectively accumulating into total capital of about Tk 7.44 billion.
As a result, the bank's capital adequacy ratio stood at 12.84 per cent, which was 10.75 per cent in 2007.
All these translated into an increase of over 20.86 per cent in its earnings per share (EPS), which stood at over Tk 103.
Price earning (PE) ratio of nearly 8.00 per cent indicated the inner strength of the bank. The bank remained focused in enhancing the shareholders value.
AB Bank's strong shareholders equity has signified the core base of the institution in driving the business forward in 2009 and years ahead.
This equity base would allow the bank to take exposures in large nation building infrastructure and industrial projects besides holding onto the capital requirement for BASEL-II compliance.
The bank will introduce innovative products and services in retail banking, small and medium enterprise (SME) credit, agriculture, women's banking, consumer loans, debit and credit cards (local and international), ATM and EFTPOS reaching all plausible corners of Bangladesh in the next months.
It will also be focusing on internet and SMS banking, remittance services, treasury products and services, structured finance for corporate, strengthening and expanding its Islamic banking activities, investment banking, priority banking, and customer care.
AB Bank has already brought its network of 74 branches under full online coverage enabling customers to be served for any of their financial transactions at not only every single branch of the bank, but also from within the comfort of their homes and offices.
Its investment banking operations will be extended in all the divisional headquarters in the near future. Two new investment banking branches -- one in Sylhet and another in Dhaka -- will start operations by mid 2009.
The operating profit of AB Bank Limited stood at Tk 4.30 billion (430 crore), registering a growth of 29 per cent over 2007.
Its total assets grew by 32 per cent to more than Tk 84.05 billion, while classified loans also came down below 3.00 per cent, which was 4.31 per cent the year before.
After accommodation of all regulatory provision requirements, the profit after tax PAT grew over 21 per cent to over Tk 2.30 billion.
Substantial income from investment banking oiperations contributed much to the growth. The bank's earning assets also grew by over 40 per cent.
AB Bank's return on equity (RoE) was 40.96 per cent in 2008, while its return on asset (RoA) was 3.12 per cent.
With the recent recommendation of the board of directors of the bank in connection with the declaration of dividends for the year ending 2008, total shareholder's equity will be more than Tk 6.72 billion, an increase of almost 50 per cent, thereby enabling it to remain well above the minimum capital requirement as set by the regulatory authority for banks.
The Tier-I Capital of the bank grew over 60 per cent to over Tk 6.12 billion and Tier-II Capital grew over 39 per cent to more than Tk 1.31 billion respectively accumulating into total capital of about Tk 7.44 billion.
As a result, the bank's capital adequacy ratio stood at 12.84 per cent, which was 10.75 per cent in 2007.
All these translated into an increase of over 20.86 per cent in its earnings per share (EPS), which stood at over Tk 103.
Price earning (PE) ratio of nearly 8.00 per cent indicated the inner strength of the bank. The bank remained focused in enhancing the shareholders value.
AB Bank's strong shareholders equity has signified the core base of the institution in driving the business forward in 2009 and years ahead.
This equity base would allow the bank to take exposures in large nation building infrastructure and industrial projects besides holding onto the capital requirement for BASEL-II compliance.
The bank will introduce innovative products and services in retail banking, small and medium enterprise (SME) credit, agriculture, women's banking, consumer loans, debit and credit cards (local and international), ATM and EFTPOS reaching all plausible corners of Bangladesh in the next months.
It will also be focusing on internet and SMS banking, remittance services, treasury products and services, structured finance for corporate, strengthening and expanding its Islamic banking activities, investment banking, priority banking, and customer care.
AB Bank has already brought its network of 74 branches under full online coverage enabling customers to be served for any of their financial transactions at not only every single branch of the bank, but also from within the comfort of their homes and offices.
Its investment banking operations will be extended in all the divisional headquarters in the near future. Two new investment banking branches -- one in Sylhet and another in Dhaka -- will start operations by mid 2009.