Higher earnings, strong asset quality drive IDLC H1 performance

FE Team | Published: July 29, 2026 23:57:12

IDLC Finance PLC delivered a strong performance in the first half of 2026, posting a Consolidated Net Profit after Tax (NPAT) of BDT 1,370 million. This records a 26% increase over the same period of the previous year. The leading NBFI's Earnings Per Share (EPS) therefore rose to BDT 2.99 in H1 2026 from BDT 2.37 in H1 2025, says a statement.
IDLC's profitability indicators strengthened during the period, with annualized Return on Equity (ROE) improving to 12.36%, and Return on Assets (ROA) improving to 1.52%. These improvements prove stronger earnings generation and efficient deployment of capital and assets.
On a standalone basis, customer deposits reached BDT 114.54 billion, while the loan portfolio stood at BDT 117.60 billion. Asset quality remained robust, with the Non-Performing Loan (NPL) ratio improving to 4.47% from 4.58% in H1 2025, which is significantly lower than the industry average. The company maintained an NPL provision coverage ratio of 112%, underscoring its prudent risk management practices and commitment to long-term financial stability.
IDLC's diversified business model, with subsidiaries - IDLC Securities Limited, IDLC Investments Limited, and IDLC Asset Management Limited - contributed positively to the overall performance, reinforcing the strength of the company's integrated financial services platform.
"While the industry continues to navigate funding costs, asset quality pressures and evolving customer needs, our focus throughout the first half of 2026 remained unchanged. We successfully maintained a healthy balance sheet, strengthened customer relationships, and pursued growth opportunities with prudence", said M Jamal Uddin, Managing Director & CEO of IDLC Finance.
Kazi Mahmood Sattar, Chairman of IDLC Finance, said, "We are thoroughly encouraged by the improvement in profitability alongside continued portfolio quality, which we believe positions us well for strong and sustainable growth in the years ahead".
The financial statements for the half-year ended June 30, 2026 were approved by the Board of Directors at the Company's 370th Board Meeting, held on July 28, 2026 at the IDLC Corporate Head Office in Gulshan, Dhaka.