RE (PPI) - The Faysal Bank Limited has reported Profit After Tax of Rs0.79 billion translating into an Earning Per Share of Rs1.08 as compared to Profit After Tax Rs1.73 billion (EPS of Rs2.37) in the same period last year, depicting a substantial decline of 54 percent YoY.
According to experts, a massive upsurge of 79 percent in administrative expense seems to be the main reason behind the decline in earnings. Moreover, interest expense also showed a growth of 54 percent because of higher cost of deposits.
On the other hand, augment of 67 percent in net interest income supported earnings from seeing further plunge. In addition to this, 58 percent and 30 percent rise in interest income and non interest income respectively, and 79 percent decrease in provisioning expense bode well for the earnings. The bank provisioned Rs0.13b in 1HCY11 as against Rs0.60b in last year.