NBP Reports Rs48.9 Billion Profit After Tax in Nine Months

National Bank of Pakistan reports Rs7.75 trillion in assets as lower interest rates weigh on income during the first nine months of 2026.

National Bank of Pakistan (NBP) reported a profit after tax of Rs48.9 billion for the nine months ended September 30, 2026, with earnings per share of Rs22.98, as lower interest rates and reduced capital gains affected its income.

The bank recorded total income of Rs193.6 billion during the period. Its gross interest income declined 6.4% year on year to Rs562.6 billion, mainly due to the lower average interest-rate environment. NBP noted that the corresponding period last year had benefited from stronger net interest income and capital-market gains.

Net interest income stood at Rs156.1 billion after the bank recorded a cost of funds of Rs406.5 billion. Income from its investment portfolio reached Rs427.1 billion, with investments continuing to favour shorter-duration government securities.

Non-fund income totalled Rs37.5 billion. Foreign-exchange income increased 24.3% year on year to Rs5.9 billion, while dividend income rose 33.4% to Rs5.2 billion. Fee and commission income stood at Rs17.9 billion amid lower business volumes.

Capital gains declined to Rs9.8 billion from Rs13.3 billion in the same period of 2025, when market conditions were particularly strong.

Operating expenses increased 8.8% to Rs96.8 billion. NBP said the pace of expense growth was slower than the 9.3% increase recorded in the corresponding period last year. However, its cost-to-income ratio stood at 50%, reflecting the impact of lower income on operating efficiency.

The bank’s total assets grew 9.7% from the end of 2025 to Rs7.75 trillion at September 30, 2026. Net advances rose 1.7% to Rs1.36 trillion, while investments at cost increased to Rs5.29 trillion, mainly through government securities.

Total deposits stood at Rs4.01 trillion following the bank’s efforts to rationalise certain high-cost deposits. Core deposits amounted to Rs3.59 trillion, representing 89.5% of the total, while current accounts reached Rs1.90 trillion, or 47.3% of deposits.

During the period, NBP distributed a dividend of Rs35 per share for 2025, amounting to Rs74.5 billion. Following the payout, net assets stood at Rs470.2 billion and total eligible capital reached Rs478.2 billion.

The bank’s Capital Adequacy Ratio was 21.12%, while its Tier 1 capital ratio stood at 16.46% and leverage ratio at 3.69%. NBP said these ratios remained above applicable regulatory requirements following the substantial shareholder distribution. Its standalone credit rating of AAA was reaffirmed by PACRA and VIS Credit Rating.

The Federal Government appointed Imran Sarwar as NBP President and CEO on September 3, 2026, for a three-year term. Commenting on the results, Sarwar said the bank remained profitable and well-capitalised despite the prevailing interest-rate environment and its significant return to shareholders.

NBP continues to serve key economic segments, including agriculture, small and medium enterprises, microfinance and Islamic banking through its Aitemaad network. The bank is also pursuing digital transformation, incorporating environmental, social and governance principles into its strategy, expanding green banking products and developing its corporate social responsibility initiatives.

Established in 1949, NBP says it remains focused on financial inclusion and supporting Pakistan’s socio-economic development.