LAHORE : HBL has reported PAT of Rs21.9b for 2013, translating into an EPS of Rs16.43, declining by a meager 0.4% YoY. The result came higher than expectation on account of lower provisions charged during the year. The board has also announced final cash dividend of Rs2.0/sh, taking total dividend for 2013 to Rs8.0/sh. The announcement of cash dividend was also accompanied with bonus shares of 10%. On the back of lower discount rate in 2013 and changes in the calculation of minimum deposit rate on savings account, net interest income declined by 4.7%YoY to Rs53.4bn as compared to Rs56.1bn registered in 2012.

Furthermore a notable decline in provisions for NPLs has supported the bottom line which declined by 80% YoY to Rs1.04bn.

The bank’s non-interest income remained robust during the year, increasing by 22% YoY to Rs15.1bn on account of 1) 27% YoY increase in fee & commission income to Rs7.4bn, 2) 68% YoY jump in dividend income to Rs0.86bn and 3) 100% YoY increase in capital gains to Rs1.9bn.