Bank AL Habib Limited (BAHL): Earnings below industry estimates on higher provisions and OPEX, EPS clocked in at PKR5.7 down 43%QoQ/2.8xYoY – By AAH Research

<p></p><ul><li><span style="font-family:Arial, Helvetica, sans-serif;font-size:medium;">BAHL announced its 4QCY23 financial result on 31st of Jan&rsquo;24, where it reported a PAT of ~PKR 6.34 bn (EPS of PKR 5.70) on consolidated basis, which is -43% QoQ / +2.8x YoY higher. Results were below industry expectations as major deviation came from provisions.</span></li></ul><ul><li><span style="font-family:Arial, Helvetica, sans-serif;font-size:medium;">Net-interest income rose 14% QoQ to PKR 39.2 bn in 4QCY23 on back of strong asset yields and mobilization of low cost deposits. Bank&rsquo;s non-interest income rose by 10% QoQ. Bank&rsquo;s operating expenses increased 21% on a sequential basis to PKR 21.7bn, bringing the cost to income ratio to 48%. BAHL&rsquo;s reported provisions PKR5.2bn for the quarter against reversal of PKR 1.0...