Key Takeaways
- MCB Bank Limited announced robust financial results for the half year ended June 30, 2026.
- The bank declared a second interim cash dividend of Rs 9.00 per share (90pc), bringing total dividends to Rs 18.00 per share (180pc).
- Net markup income increased by 5.6 percent year-on-year, driven by higher low-cost deposits and effective yield optimization.
MCB Bank Limited has reported a resilient performance for the half year ended June 30, 2026, despite challenging macroeconomic conditions.
The Board of Directors, chaired by Mian Mohammad Mansha, approved the financial statements and declared a second interim cash dividend of Rs 9.00 per share (90pc), taking the cumulative dividends for 2026 to Rs 18.00 per share (180pc).
The bank’s Profit Before Tax (PBT) stood at Rs 55.1 billion, while its Profit After Tax (PAT) was Rs 26.5 billion, translating into an Earnings Per Share (EPS) of Rs 22.34.
On a consolidated basis, PBT and PAT were recorded at Rs 58.8 billion and Rs 28.1 billion respectively, reflecting a 6 percent year-on-year increase in total income to Rs 93.9 billion.
Net markup income increased significantly by 5.6 percent year-on-year to Rs 75.3 billion, supported by a higher low-cost deposit base and effective yield optimization despite lower average policy rates compared to the previous year.
Non-markup income rose by 7 percent year-on-year to Rs 18.7 billion, with fee and commission income increasing by 21 percent to Rs 11.9 billion, driven by sustained momentum in digital banking and higher transaction volumes.
Within this segment, card-related income increased by 13 percent, branch banking fee income rose by 5 percent due to improved customer engagement, while consumer banking fee income recorded a robust 27 percent increase.
Foreign exchange and dividend incomes contributed Rs 4.1 billion and Rs 2.1 billion respectively to the non-markup income base.
Operating expenses increased by 9 percent year-on-year but maintained a healthy cost-to-income ratio of 39.20 percent, indicating disciplined cost management while enhancing operational efficiency.
