reports
- MarketLine Department
Bank Al Habib Ltd - Strategy, SWOT and Corporate Finance Report
Summary Bank Al Habib Ltd - Strategy, SWOT and Corporate Finance Report, is a source of comprehensive company data and information. The report covers the company's structure, operation, SWOT analysis, product and service offerings and corporate actions, providing a 360˚ view of the company. Key Highlights Bank Al Habib Ltd (Bank AL Habib) provides banking and other related financial products and services. It offers a range of retail and commercial banking products and services to individuals ...
Bank Al-falah Ltd: 1 director
A director at Bank Al-falah Ltd sold 150,000 shares at 41.404PKR and the significance rating of the trade was 51/100. Is that information sufficient for you to make an investment decision? This report gives details of those trades and adds context and analysis to them such that you can judge whether these trading decisions are ones worth following. Included in the report is a detailed share price chart which plots discretionary trades by all the company's directors over the last two years clea...
- Yusra Beg
Pakistan Banks – 2QCY23 Result Previews - Strong core performance to c...
* Pre-tax 2QCY23 profits for the IMS Banking Universe are expected to rise 10%QoQ, reflecting strong core performance. However, net earnings may come off by 15%QoQ due to retrospective impact of super tax (10% vs. 4% previously). Payouts should remain broadly intact. * Domestic asset quality has remained resilient, which should keep the cost of risk in check. Impairment, if any, should also be contained compared to the last few quarters. We expect MEBL to stand out due to the lagged ass...
- Yusra Beg
Pakistan Banks: Returning conviction
* With the IMF staff-level agreement in place, the much needed breathing space for Pakistan's economy reinforces our liking for the banking sector. The absence of banks from debt restructuring in Zambia and Sri Lanka also provides comfort if this conversation crops up again in Pakistan next year. * 1QCY23 results indicate underlying profitability is strong, on rising margins and resilient asset quality. Our 2023-27f earnings estimates remain broadly unchanged, even as we conservatively ...
- Yusra Beg
Bank Alfalah: 1QCY23 Review - Core business is performing very well
BAFL has posted 1QCY23 consolidated NPAT of PKR10.8bn (EPS: PKR6.83), up a very strong 2.1x YoY and much higher than our expected EPS of PKR3.90. BAFL has reported strong NII, lower provisioning, very high fx income and lower than anticipated admin expenses. The bank did not announce any cash dividend, in line with expectations. 1QCY23 RESULTS HIGHLIGHTS: * BAFL reported a sharp 20% QoQ and 95% YoY rise in NII to PKR27.9bn – much higher than expectations led by strong balance sheet growth (d...
- Yusra Beg
Banks – 1QCY23 Result Previews - Earnings momentum to accelerate
* We expect the IMS Banking Universe to lift by 54% YoY and 20% QoQ in 1QCY23f, as we incorporate strong pickup in NII, a lower impairment charge on overseas bonds (for those banks that have already booked it in CY22), and a lower effective tax rate (43%). This should more than offset rising admin expenses and any untoward increase in loan provisions. * The higher interest rate environment will drive up margins while balance sheet growth remains strong. BAFL may stand out in terms of se...
- Yusra Beg
Bank Alfalah: Smooth sailing
BAFL remains a top banking play in the current interest rate setting, on a combination of strong margin expansion and balance sheet growth. Continued focus on digital backs our liking. We lift our CY23-27f EPS estimates by 12%, with our TP of PKR50/sh offering a 1yr return of 84%. Our estimates incorporate a higher cost of risk (CY23/24f: 100bps/70bps) amid IFRS-9 implementation and a tough economic backdrop, especially given BAFL’s greater Consumer & SME exposure relative to peers. The cost ...
- Yusra Beg
Bank Alfalah: 4QCY22 Review - One-offs overshadow strong revenues
BAFL has posted 4QCY22 consolidated NPAT of PKR4.1bn (EPS: PKR2.32), up 11% YoY, but lower by 25% QoQ. This takes CY22 NPAT to PKR18.4bn (EPS: PKR10.35), up 27% YoY. Earnings came in lower than our estimated 4Q EPS of PKR3.10 with deviation primarily led by high provisioning expense – which we understand is largely on the Pak Euro bond, and lower-than-expected Fx gains. BAFL announced a final cash dividend of PKR2.50/sh, higher than our estimated PKR2.0/sh, taking full year cash payout to PKR...
- Yusra Beg
Pakistan Banks: 4QCY22 Result Previews - NII growth may be negated by ...
We estimate the IMS Banking Universe to report flat sequential earnings in 4QCY22 (up 19% YoY), as we incorporate significantly lower Fx income, sticky total provisions and higher admin expenses. These factors should offset sequentially higher NII. UBL may stand out in terms of sequential profit growth, given its low base (one-off impairment in the previous quarter). In general, there is room for minor negative surprises on payouts across our coverage, with mark-to-market bond repricing pushi...
- Raza Jafri
Bank Alfalah: BAFL announces mega buy-back
Bank Alfalah’s Board has approved the buy-back of up to 200mn ordinary shares (11.25% of the paid up capital of the bank). This is subject to approval in an EOGM scheduled for 6th December 2022. BAFL’s share price hit an upper circuit PKR34.26/sh after the announcement. At this price, BAFL trades at a CY23f P/B of 0.5x and P/E of 2.1x. It is one of our top picks among Pakistan Banks with a TP of PKR50/sh. About the offer: The buy-back period will be across 14th Dec 2022 – 2nd June 2023, or un...
- Yusra Beg
Bank Alfalah: 3QCY22 Review: Strong NII offsets high opex; earnings be...
BAFL has posted 3QCY22 consolidated NPAT of PKR5.5bn (EPS: PKR3.11), up 48% YoY and 48% QoQ. This takes 9MCY22 NPAT to PKR14.3bn (EPS: PKR8.03), up 33% YoY. Earnings came in higher than our estimated 3Q EPS of PKR2.90. Key takeaways from the result include strong rise in NII (up 84% and 22% QoQ) - as margin expansion comes through more fully - which offset a spike in admin expenses (+45% YoY) and higher provisions (+12% QoQ). We understand the latter may be driven by general provisions and su...
- Yusra Beg
Pakistan Banks: Tough 2022 but the outlook is better
* Pakistan banks have had a tough 2022, with the economy experiencing significant stress amidst unhelpful politics. Fiscal needs also compelled the government to heavily tax banks, which sharply clipped profitability. The sector has underperformed the KSE100 this year. * The outlook is better. Margins are rising and are expected to be downward sticky. Asset quality is resilient, even with the floods, and while the regulatory climate is tighter, it is in the price. The recently resumed I...
- Yusra Beg
Bank Alfalah: 2QCY22 Result Review - Very strong NII delivery
BAFL has posted 2QCY22 consolidated NPAT of PKR3.7bn (EPS: PKR2.10), up 4%YoY but lower by 26%QoQ. This takes 1HCY22 NPAT to PKR8.8bn (EPS: PKR4.93), up 25%YoY. The result is higher than our estimated EPS of PKR1.85, with robust NII delivery, offsetting higher admin expenses and a sharp rise in provisions (higher discretionary general provisions instead of new infection). BAFL announced an interim cash dividend of PKR2.5/sh versus our expectation of PKR2.0/sh. 2QCY22 RESULTS HIGHLIGHTS: * BA...
- Raza Jafri
- Yusra Beg
Bank Alfalah: Result review – Strong beat in 1QCY22 results!
BAFL has posted consolidated NPAT of PKR5.0bn (EPS: PKR2.83) in 1QCY22, up a very strong 48%yoy / 35%qoq. The result beat our expected EPS of PKR2.15 by some distance, with positive surprise on net interest income and fee. The effective tax rate came in at just 36%, but the result would still be a beat even if this is normalized. KEY HIGHLIGHTS INCLUDE: * Strong 38%yoy / 17%qoq growth in net interest income to PKR14.3bn, with margin expansion coming through forcefully. NII growth should acce...
- Yusra Beg
Bank Alfalah: On track and well placed
* BAFL continues to deliver consistently strong profits. A high margin sensitivity, increasing digital footprint and an attractive valuation set reinforce our liking for the name. We maintain our CY22/23f EPS estimates with a Dec’22 TP of PKR50/sh, offering an ETR of 64%. * BAFL’s loan and deposit growth remain robust (up 17% yoy and 29% yoy). Importantly, with ADR well above 50%, BAFL can afford to be choosy on the lending front, which bodes well for asset quality outlook and the cost ...
- Yusra Beg
Bank Alfalah: 4QCY21 review – Strong NFI offsets high provisions and a...
BAFL has posted 4QCY21 consolidated NPAT of PKR3.7bn (EPS: PKR2.09), up 71% yoy and flat qoq. This takes CY21 NPAT to PKR14.4bn (EPS: PKR8.12), up 33% yoy. The result is in line with our estimated 4Q EPS of PKR2.15. Key takeaways from the result include an in-line NII, higher than expected provisions of PKR893mn (which we understand is due to foreign securities and not fresh infection), and swift growth in admin expenses (21% yoy). This is offset by a very strong delivery in NFI courtesy high...
- Yusra Beg
Pakistan Banks 4QCY21 Preview: Earnings to rebound from one-offs last ...
* IMS Banking Universe is expected to report strong 47% yoy growth in earnings (albeit sequentially soft, up 4% qoq) in 4QCY21. This is led by robust balance sheet growth (NII up 13% yoy, 6% qoq) and absence of Covid related provisions – excluding which earnings are largely flat vs. last year. * Dividend payouts will stand out this quarter particularly for MCB (PKR5.0/sh), UBL (PKR4.0/sh) and BAHL (PKR4.0/sh). In terms of earnings we expect MEBL and UBL to outperform peers this result s...
- Yusra Beg
Bank Alfalah: Primed for a rebound
* BAFL is delivering consistently strong profits. Rising interest rates and high sensitivity to the same, together with the cheapest valuations on offer within the IMS Banking coverage, makes BAFL our top pick. Our rolled over Dec 2022 TP stands at PKR50/sh offering an ETR of 54%. * Headline loan and deposit growth remain robust (up 30% yoy and 26% yoy) with NPL ratio consistently staying under 4% against a coverage ratio of over 100%. Sharp margin expansion over the medium term in a ri...
- Yusra Beg
Bank Alfalah: 3QCY21 review – in-line result reinforces our liking
BAFL has posted 3QCY21 consolidated NPAT of PKR3.7bn (EPS: PKR2.09), up 29% yoy and 4% qoq. This takes 9MCY21 NPAT to PKR10.7bn (EPS: PKR6.03), up 24% yoy. The result is in line with our estimated EPS of PKR2.0. Key takeaways from the result include significantly lower provisions of PKR269mn (down c. 70%qoq), and strong fx income (on improved trade/remittance volumes) – both of which helped offset relatively muted NII growth. BAFL did not announce an interim dividend in line with expectations...
- Yusra Beg
Pakistan Banks: Nearing a rebound
* 2QCY21 results reinforce our positive stance on Pakistan Banks. Pre-tax profits were up a modest 11% qoq and 8% yoy but were mostly beats, led by a significantly lower cost of risk with reversals in some cases, rebounding net interest income and normalized fee. * We raise our CY21/22f EPS estimates by 7% on average as we incorporate improved revenue (margins + balance sheet growth) and stronger asset quality. Interest rate increases now appear to be closer on the horizon and can be a ...
Unfortunately, this report is not available for the investor type or country you selected.
Report is subscription only.
Thank you, your report is ready.
Thank you, your report is ready.