Financial results for the quarter and nine months period ended september 30, 2025 - Meezan Bank limited

Note

September 30,

December 31,

2025

(Unaudited)

2024

(Audited)

•----• (Rupees

in '000) •

ASSETS

Cash and balances with treasury banks

6

279,155,077

260,734,258

Balances with other banks

7

19,193,486

13,424,950

Due from financial institutions

8

42,503,857

34,964,299

Investments

9

2,512,825,474

1,870,535,620

islamic financing and related assets

10

1,129,211,868

1,514,755,936

Property and equipment

11

49,028,840

46,847,734

Right-of-use assets

12

21,177,411

21,230,197

Intangible assets

13

3,311,806

2,896,880

Deferred tax assets Other assets

14

179,566,719

136,683,257

Total Assets

4,235,974,538

3,902,073,131

LIABILITIES

Bills payable

15

59,890,731

112,605,407

Due to financial institutions

16

499,087,518

722,286,318

Deposits and other accounts

17

3,176,286,193

2,584,871,300

Lease liability against right-of-use assets

18

27,417,046

25,848,322

Sub-ordinated sukuks

19

16,990,000

20,990,000

Deferred tax liabilities

20

3,637,112

14,211,335

Other liabilities

21

179,869,886

174,276,157

Total Liabilities

3,963,178,486

3,655,088,839

NET ASSETS

272,796,052

246,984,292

REPRESENTED BY

Share capital

18,005,546

17,947,407

Reserves

55,578,845

48,002,267

Surplus on revaluation of assets - net of tax

22

17,2S2,832

22,141,192

Unappropriated profit

181,958,829

158,893,426

272,796,052

246,984,292

CONTINGENCIES AND COMMITMENTS

23

assets, investments and placements

24

102,587,804 128,665,073

312,113,701

378,333,126

Profit / return on deposits and other dues expensed

25

40,115,700 52,011,635

123,885,748

164,188,852

Net profit / return

62,472,104 76,653,438

188,227,953

214,144,274

OTHER INCOME

Fee and commission income

26

Dividend income

Foreign exchange income

Gain on securities

27

Net gains on derecognition of financial assets measured

Other income Total other income

28

9,376,342

6,526,971

25,769,287

18,208,040

Total income

71,848,446

83,180,409

213,997,240

232,352,314

OTHER EXPENSES

Operating expenses

29

Workers welfare fund

29.1

Other charges

30

Total other expenses

26,407,992

23,279,592

62,735,896

66,849,292

Profit before credit loss allowance / provisions

45,440,454

59,900,817

151,261,344

165,503,022

Credit loss allowance / provisions and write offs / (reversal of provisions / credit loss allowance) - net

31

255,422

2,572,228

3,634,014

1,900,027

Extra ordinary / unusual items

PROFIT BEFORE TAXATION

45,185,032

57,328,589

147,627,330

163,602,995

Taxation

32

24,123,042

31,709,576

80,401,536

86,539,799

PROFIT AFTER TAXATION

21,061,990

25,619,013

67,225,794

77,063,196

5,910,624

5,891,413

16,783,494

15,358,335

40,623

150,473

924,760

1,069,021

2,750,426

28,341

5,988,493

607,885

358,341

167,907

1,027,645

282,699

316,328

288,837

1,044,895

890,100

25,321,509

21,777,110

59,424,668

62,987,150

1,083,017

1,207,524

3,252,033

3,433,665

3,466

294,958

59,195

428,477

- - - - - -

- - - - - -

-

5,994,714

(145,286)

604892

5,994,714

(145,286

604,892

Share capital

Revenue

reserved

bUfplLis / (deficit) on

revaluation of

Unappr priated

Total

Share premium

Statutory reserve'

0istribut-able Capital Reserve -Gain on Bargain Purchase

Employee share option compensa tion reserve

General reserve

lnvest• ments

Non•

Balance ac at January 01, 2024 (Auditedj

17,912,532

2,626,441

30,617,082 "3,117,

""

e

(R21

'66,766 10,920,597

" """

118,992,231 184,907,517

knpacl oladoption of IFRS 9 - net of tax

1,188,390

25,760

1,214,150

Protl after taxation (or the nine months period endad September 30, 2024 - Restated

7T,063,196

77,063,196

Other amprehensive incoma I (loss) for nine months period ended

September 30, 2024 - net of bx

- Movement in surplus on revaluation of investments

in debt instrument at FVOCI - nel of tax

- Loss on sale of debt investments carried at FVOCI

reclassified to satement of profit or loss account - net of ax

- Movemen! in surplus on revaluation of eguily investments

carried al FVOCI - net of tax

Tobl oltier comprehensive bss - net a(tax

-

-

-

- 6454,320

6,454,320

Transfer kom surplus on revaluaGon of assets to unapprorqriated

profit - net of tax

(512,979)

512,979

Recognition of share based compensalion

422,024

422,024

Other appropriations

Transfer to statutory reserve'

7,706,320

(7,706,320)

Transactlons with owners recognised dlrectly In equlty

Final cash dividend for the year 2023 @ Rs 8 |›er share

First interim cash dividend for the year t0t4 @ Rs 7 per share

Second interim cash dividend for the year 2024 @ Rs 7 per share

(39,431,984)

(39,431,984)

bsue of 3,487,520 shares undef IIe

Employees shares option scheme (note 34.2)

34,875

477,812

(299,231)

45,432

258,888

Balance as at September 30, 2024 (Unaudited) - restated

17,S47,407

3,104,253

38,323,402

3,1t7,5t7

777,114

66,766 18,050,328

•

149,501,294

230,888,111

Profit alter taxation for the quarter ended

December 31, 2024 - Restated

24,444,328

24,444,328

(14,330,026)

(14,330,026)

(12,538,773)

(12,M8,773)

(12,563,185

(12,563,185)

4,096,974

4,096,974

(1,468,194

(1,468,194

(208,738

(208,738

1,626,243

1,626,243

Share capital

Capital reserves

Revenue recerves

Surplus I (deficit) on revaluation of

Unappropriated P° *!

Share premium

Statutory reserve*

Distrlbut-able Capital Reserve -G8in on Bargain Purchase

Employee share option compensation reserve

General reserve

investments

jjpg. banking Assea

- -

- -

(5,730,488

1,556,044

(5,730,488)

(475,687

1,556,044

Total other comprehensive loss - net of tax

Transfer from surplus on revaluaDon of assets to unapprorpriated

-

-

-

(4,650,131)

(4,650,t31)

proft - net of tax

(238,229)

238,229

Recognition of share based compensation

548,841

548,841

Other appropriations Transfer b statutory reserve"

6,722,579

(6,722,579)

Transactions with owners recognised directly in equity

Final cash dividend for the year 2024 @ Rs 7 per share

First interim cash dividend for the year 2025 @ Rs 7 per share Second interim cash dividend for the year 2025 @ Rs 7 per snare

(37,730,253)

(37,730,253)

Issuance of 5,813,938 shares under the

Employees share apron scheme (note 34.2)

58,139

774,981

(469,B23)

54,212

417,509

Balance as at September 30, 2025 (Unaud8ed)

18,005,546

3,879,234

47,490,413

3,117,547

1,024,885

66,766 17,252,832

• 181,958,829

272,796,052

(12,563,185

(12,563,185)

(12,563,185

(12,563,185)

(12.603,883

(12,603,883)

CASH FLOW FRONI OPERATING ACTIVITIES

Profit before taxation

147,627,330

163,602,995

Less: Dividend income

(924,760)

(1,069,021)

146,702,570

162,533,974

Adjustments:

Depreciation

29

5,225,439

4,338,477

Net profit / return

(191,308,782)

(216,956,272)

Amortisation

29

592,403

500,516

Depreciation on right-of-use assets

29

2.123,652

1,942,379

Amortisation of lease liability against right-of-use assets

Credit loss allowance / provisions and write offs / (reversal of provisions / credit loss allowance) - net

25

31

3,080,829

3,634,014

2,811,998

1,900,027

Share based compensation expense

548,841

422,024

Unrealised (gain) / loss - FVTPL

27

(15,546)

6,206

Gain on sale of property and equipment

28

(376,027}

(304,852)

(176,495,177)

(205,339,497)

(29,792,607)

(42,805,523)

Decrease / (Increase) in operating assets

Due from financial institutions

(7,539,771)

Islamic financings and related assets

382,027,063

(130,770,248)

Other assets (excluding advance taxation and profit receivable)

(5,825,757

(2,683,250}

Increase in operating liabilities

368,661,535

(133,453,498)

Bills payable

(52,714,676)

4,176,313

Due to financial institutions

(222,315,884)

(38,021,821)

Deposits and other accounts

591,414,893

342,398,514

Other liabilities (excluding current taxation and profit payable)

381,336

10,830,812

316,765,669

319,383,818

655,634,597

143,124,797

Net profit / return received

275,237,878

329,556,431

Net profit / return paid

(126,140,802)

(164,754,419)

Income tax paid

(75,450,144)

(87,382,688)

Net cash generated from operating activities

729,281,529

220,544,121

CASH FLOW FROM INVESTING ACTIVITIES

Net (investments) / divestments in amortised cost securities

(133,798,202)

(20,984,249)

Net investments in securities classified as FVOCI

(522.393,781)

(136,445,223)

Net investments in securities classified as FVTPL

3,739,677

5,256,087

Net investment in associates

(14,032)

Investment in subsidiaries

(1,000,000)

Dividends received

901.102

1,034,604

Investments in property and equipment

(7,484,529)

(10,791,746)

Investments in intangible assets

(1,007,329)

(938,459)

Proceeds from sale of property and equipment

734,636

493,777

Net cash used in investing activities

(659,308,426)

(163,389,241)

CASH FLOW FROM FINANCING ACTIVITIES

Payment of lease liability against right-of-use assets

18

(3,582,971)

(3,031,994)

Redemption of subordinated sukuks

(4,000,000)

Proceed against issue of shares Dividend paid

34.2

417,509

(37,731,007}

258,888

(40,257,918}

Net cash used in financing activities

(44,896,469)

(43,031,024)

Net increase in cash and cash equivalents

25,076,634

14,123,856

Cash and cash equivalents at the beginning of the period

272,075,918

251,384,492

Expected credit loss allowance on cash and cash equivalents - net

31

(4,363)

(32,038)

272,071,555

251.352,454

Cash and cash equivalents at the end of the period

35

297,148,189

265,476,310

279,449,368

260,873,367

19,077,065

13,290,726

42,503,857

34,964,299

2,525,137,927

1,878,852,841

1,129,211,868

1,514,755,936

49,541,528

47,226,503

21,549,194

21,622,622

3,388,659

2,960,432

179,650,670

137,641,875

59,890,731

112,605,407

499,087,518

722,286,318

3,175,646,908

2,584,583,671

27,846,435

26,286,276

16,990,000

20,990,000

5,580,421

15,530,758

182,064,410

176,275,951

REPRESENTED BY

Share capital

18,005,546

17,947,407

Reserves

55,603,161

48,026,583

Surplus on revaluation of assets - net of tax

17,252,832

22,141,192

Unappropriated profit

188,777,300

163,601,395

279,638,839

251,716,577

Quarter

ended September 30,

Quarter ended

September 30,

Nine montha

period ended September 30,

Nine months

period ended September 30,

2025

2024

(Restated)

2025

2024

(Restated)

--- Rupees

in '000 -

Profit / return earned on Islamic financing and related

assets, invastments and placements

102,590,715

128,662,424

312,125,967

378,341,563

Profit / return on deposits and other dues expensed

40,119,278

52,013,231

123,913,692

164,189,149

Net profit / return

62,471,437

76,649,193

188,212,275

214,152,414

OTHER INCOME

Fee and commission income

7,817,992

6,992,921

21,842,864

18.322,631

Dividend income

59,268

(168,678)

232,477

487,514

Foreign exchange Income

2,748,867

29,096

5,987,429

608,280

Gain on securities

359,485

(745,177)

1,028,789

282,699

Other income

342,327

290,333

1,146,405

898,109

Total other income

11,327,939

6,398,495

30,237,964

20,599,233

Total income

73.799,376

83,047,688

218,450,239

234,751,647

OTHER EXPENSES

Operating expenses

26,522,926

22,131,306

61,899,172

64,510,548

Workers welfare fund

1,129,190

1,226,242

3,346,820

3,480,187

Other charges

4,689

310,610

67,571

444,129

Total other expenses

27,656,805

23,668,158

65,313,563

68,434,864

46,142,571

59,379,530

153,136,676

166,316,783

Share of profit of associates

2,492,557

1,484,090

3,203,771

1,278,119

Profit before credit bss allowance / provisions

48,635,128

60,863,620

156,340,447

167,594,902

Credit loss albwance / provisions and write offs /

(ravarsal of provisions / credit loss albwance) - net

255.422

2,572,787

3,634,014

Extra ordinary / unusual items

PROFIT BEFORE TAXATION

48,379,706

58,290,833

152,706,433

165,694,316

Taxation

24,997,843

32,081,432

82,184,208

87,363,215

PROFIT AFTER TAXATION

23,381,863

26,209,401

70,522,225

78,331,101

Attributable to:

Shareholders of the Halding company

22,722,036

26,021.295

69,326,350

77,820,753

Non-controlling interest

659,827

188,106

1,195,875

510,348

23,381,863

26,209,401

70,522,225

78,331,101

CASH FLOW FROM OPERATING ACTIVITIES

Profit before taxation

152,706,433

165,694,316

Less: Dividend income

(232,477)

(487,514)

Adjustments:

152,473,956

165,206,802

Depreciation

5,334,161

4,409,879

Net profit / return

(191,335,776)

(217,605.638)

Amortization

628,213

532,700

Depreciation on right-of-use-assets

2,205,319

2,007,655

Amortisation of lease liability against right+f-use assets

3,123,501

2,844,608

Credit loss albwance / provisions and write offs / (reversal of provisions / credit

loss allowance)-net

3,634,014

1,900,586

Share based compensation expense

548,841

422,024

Unrealised gain - FVTPL

(15,546)

6,206

Gain on sale of property and equipment

(385,331)

(307,912)

Share of resuhs of associates

(3,203,771)

(1,278,119)

(179 466 375)

(207,068,011)

Decrease / (Increase) in operating assets

(26,992,419)

(41,861,209)

Due from financial institutions

(7,539,771)

Islamic financing and related assets

382,027,063

(130,770,248

Other assets (excluding advance taxation and mark-up receivable)

(4,951,090)

(2,599,299

369,536,202

(133,369,547)

Decrease / (Increase) in operating assets

Bills payable

(52,714,676)

4,176,313

Due to financial institutions

(222,315,884)

(39,873,350)

Deposits and other accounts

591,063,237

342,224,312

Other liabilities (excluding current taxation and mark-up payable)

1,300,851

11,149,486

317,333,528

317,676,761

659,877,311

142,446,005

Net profit / return received

275,250,144

329,088,330

Net profit / return paid

(126,168,746)

(163,669,562)

Income tax paid

(77,275,737)

(88,057,076)

Net cash generated from operating activities

731,682,972

219,807,697

CASH FLOW FROM INVESTING ACTNfTlES

Net (investments) / divestments in amortised cost securities

(133,798,204)

(21,143,666

Net investments in securities classified as FVOCI

(522,393,781)

(136,445,223)

Net investments in securities classified as FVTPL

3,739.677

5,256,087

Net investments in associates

(791,463)

(957,835)

Dividends received

208,819

453,097

Investments in property and equipment

(7,736.318)

(10,958,443)

Investments in inangible assets

(1,056.440)

(946,101)

Proceeds from sale of property and equipment

753,088

497,209

Net cash used in investing activities

(661,074,622)

(164,244,875)

CASH FLOW FROM FINANCING ACTIVITIES

Payment of lease liability against rightcf-use assets

(3,695,233)

(3,122,842)

Redemption of subordinated sukuks

(4,000,000)

Proceed against issue of shares

417,509

258,888

Dividend paid to equity shareholders of the Bank

(37,731,007)

(40,257,918

Dividend paid to non-controlling interest

(350,000)

(140,000

Net cash used in financing activities

(45.358,731)

(43,261,872)

Net Increase In cash and cash equivalents

25,249,619

12,300,950

Cash and cash equivalents at the beginning of the period

272,080,803

254,070,476

Expected credil bss allowance on cash and cash equivalents - net

(4,363)

(32,597)

272.076,440

254,037,879

Cash and cash equlvalents at the end of the perlod

297,326,059

266,338,829