July 20, 2024 12:01 am
Home Banking BRAC Bank logged 35% profit growth in 2023

BRAC Bank logged 35% profit growth in 2023

by fstcap

BRAC Bank PLC registered a 35 percent increase in profit to Tk 827.50 crore last year thanks to its focus on small and medium enterprises (SME) and technology-based customer services, which added over 3.60 lakh new customers.

The private commercial lender made a Tk 614.20-crore profit in 2022.

Following a board meeting yesterday, the bank, thus, reported consolidated earnings per share of Tk 4.73 in 2023.

It was Tk 3.75 in 2022.

The consolidated net operating cash flow per share surged to Tk 40.76 in 2023 from Tk 23.39 in the previous year.

Meanwhile, the consolidated net asset value per share rose to Tk 41.36 from the previous year’s Tk 38.03.

In the meeting, the board of directors recommended 10 percent cash and 10 percent stock dividends.

The board also approved the audited financial statements for 2023.

Talking to The Daily Star after the meeting, BRAC Bank Managing Director Selim RF Hussain said the biggest reason behind the profit growth was the growth in the bank’s balance sheet.

“Our customer deposits and customer loans have increased a lot. Our deposits grew by 34 percent while deposits in the overall banking sector grew by only 11 percent,” he said.

“Our loans have grown by 26 percent compared to the national average of 10-11 percent,” he added.

More than 3.60 lakh new customers joined BRAC Bank in 2023, he said. “As our highest focus is on the SME sector, the growth in the sector was the maximum last year,” said Hussain.

Another big reason behind the growth is the adoption of new app-based retail customer and corporate services, which received a tremendous response, he said.

Besides, the bank’s overall reputation and values, and the board’s good governance has put a big positive impact on the profit growth, Hussain said.

Source: thedailystar

You may also like