Meezan Bank Net Profit 2025 highlights a strong financial performance in FY 2024, with the bank reporting record-breaking earnings. As Pakistan’s leading Islamic bank, Meezan Bank continues to demonstrate solid growth, despite a moderate decline in Q1 2025 profits due to taxation and reduced spreads.
Here’s a complete breakdown of their recent earnings, strategic drivers, and what it means for the future of Islamic banking in Pakistan.
Meezan Bank Annual Profit 2024
| Metric | Amount (Rs) | YoY Growth |
|---|---|---|
| Profit After Tax (PAT) | 101.5–104 billion | +20–21% |
| Profit Before Tax (PBT) | 222.1 billion | +31% |
| Earnings Per Share (EPS) | Rs 56.62–57.28 | Up from Rs 47.72 |
| Dividend Payout | Rs 28/share (280%) | Final Rs 7 + Interim Rs 21 |
- Meezan Bank became the most profitable bank in Pakistan in 2024.
- Record earnings were driven by Islamic financing, Sukuk investments, and strong deposit growth.
- The effective tax rate was ~54%, with higher provisioning in Q4 due to IFRS-9 adjustments.
Read More: Meezan Bank Reaches $2 Billion Market Capitalization Milestone
Meezan Bank Q1 2025 Results
| Metric | Q1 2025 | Q1 2024 |
|---|---|---|
| PAT | Rs 22–22.42 billion | Rs ~25 billion |
| YoY Decline | ~11–12% | – |
| EPS | ~Rs 12.3 | – |
| Dividend | Rs 7/share interim | – |
- The decline is linked to reduced net spreads, high provisioning (Rs 1.85 billion), and a 55% tax rate.
- However, non-funded income grew by 29%, particularly from foreign exchange, remittances, and digital banking fees.
Key Financial Strengths
| Area | Details |
|---|---|
| Total Assets | Rs 3.9 trillion (+30% YoY) |
| Total Deposits | Rs 2.97 trillion (Q1 2025) |
| CASA Ratio | 93% |
| Capital Adequacy | 23.2% in Q1 2025 |
| NPL Ratio | 2.1%, with 143% coverage |
Islamic Banking Insights
- Meezan Bank commands over 27% market share in Roshan Digital Accounts (RDAs) and one-third of the Islamic banking market in Pakistan.
- Uses Shariah-compliant modes such as Murabaha, Ijarah, and Sukuk instead of interest-based financing.
- Recognized for innovation and expansion with over 1,050 branches in 351 cities and a strong mobile banking user base (3.1 million+).
Read More: Meezan Bank Unveils Easy Installment Plans for iPhone 16 Series
Challenges & Outlook
Challenges:
- Decrease in net spreads due to lower policy rates
- Elevated tax impact and provisions under new regulations
- Increasing cost of digital and branch expansion
Opportunities:
- Rapid consumer shift toward Shariah-compliant financial services
- Continuous growth in Islamic banking assets and deposits
- Strong non-funded income and digital penetration driving future profitability
Final Thoughts
Meezan Bank Net Profit 2025 marks a landmark in Islamic banking history in Pakistan. With over Rs 101 billion in earnings and unmatched asset growth, Meezan stands resilient despite short-term pressures. Its long-term outlook remains solid, driven by digital innovation, low-risk Islamic structures, and expanding market leadership. Stay tuned with Bloom Pakistan
