National Housing Finance posted a remarkable 32-fold growth in profit to Tk 95.26 million in 2025, supported by higher investment income and lower provisioning requirements amid improved loan recovery.
The non-bank financial institution's earnings per share (EPS) rose to Tk 0.74 in 2025 from Tk 0.02 (restated) in the previous year, signalling a strong turnaround in profitability.
The board of directors approved the audited financial statements for 2025 at a meeting held on Tuesday and recommended a 10 per cent cash dividend for the year.
Company Secretary Md Sarwar Kamal said the recovery was largely driven by increased investment income and a reduced provision burden, aided by recovery of classified loans and strengthened credit risk management.
The strong recovery underscores the company's efforts to embolden its balance sheet and improve asset quality.
"The management gave special emphasis on recovering classified loans and strengthening risk management practices, which enabled the company to reverse a significant amount of provisions," Mr Kamal told the FE over the phone.
He added that higher investment income further supported the company's financial performance during the year.
The company's net asset value (NAV) per share rose to Tk 17.06 in 2025 from a restated Tk 16.32 a year earlier. Net operating cash flow per share also turned positive at Tk 6.89, compared with a negative Tk 19.70 in the previous year, mainly due to higher customer deposits.
The board fixed July 23 as the record date for determining eligibility for the dividends and participation in the annual general meeting (AGM), which is scheduled to be held virtually on September 15.
Following the earnings disclosure, the company's share price rose nearly 5 per cent to Tk 27.80 on the Dhaka Stock Exchange on Tuesday.
The company's first quarter profit also rose 6 per cent year-on-year to Tk 29.95 million for January-March this year.
Listed in 2009, National Housing Finance is one of the country's leading non-bank financial institutions, providing a wide range of home loans, investment products and financial services to individuals, businesses and institutions.
The company has also expanded its services by opening new branches and Islamic banking wings and building partnerships with stakeholders of the housing sector.
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