FE REPORT
BRAC Bank reported its highest-ever annual profit in 2025, buoyed by substantial earnings from investments and contributions from subsidiaries.
The third-generation private commercial bank posted a consolidated profit of Tk 22.51 billion for the year, marking a 57 per cent increase compared to the previous year.
The lender's consolidated earnings per share (EPS) rose to Tk 9.12, up from Tk 6.18 a year earlier, according to a disclosure published on Sunday.
Its profit also climbed significantly on a standalone basis, increasing 30 per cent year-on-year to Tk 15.81 billion in 2025.
Riding on the record earnings, the bank's board declared a 15 per cent cash and 15 per cent stock dividend for the year-the highest since its market debut. In 2024, the bank distributed a 25 per cent dividend, comprising 12.5 per cent cash and 12.5 per cent stock.
The strong performance was largely driven by higher income from investments in government securities, despite a slight decline in net interest income.
The bank has yet to publish detailed financial statements for 2025, including breakdowns of interest and investment income.
However, its investment income surged nearly 73 per cent year-on-year to Tk 33.94 billion in the first nine months through September 2025, reflecting strategic positioning in Treasury bills and bonds amid a high interest rate environment.
The lender, which wisely made good investments in Treasury bills and bonds, reaped handsome returns from the securities alongside subsidiary income.
The bank also benefited from its SME-focused operations and growing income from its subsidiary, bKash.
bKash posted a profit of Tk 5.05 billion during the January-September 2025 period, more than double the income in the same period a year earlier.
BRAC Bank has always been able to keep operating costs down and mobilise funds at relatively lower costs due to its excellent market reputation, which enabled the bank to make a record profit.
The consolidated net operating cash flow per share rose to Tk 72.72 in 2025, compared to Tk 54.14 in the previous year.
Meanwhile, net asset value (NAV) per share increased to Tk 51.56 in 2025 from Tk 39.38 the year before, driven by higher profits and gains from the revaluation of government securities.
The bank's shares closed at Tk 73.10 on Sunday on the Dhaka Stock Exchange, edging down 0.14 per cent from the previous trading session.
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