Islami Bank incurs Tk 89 crore in loss in Q3

Islami Bank Bangladesh PLC reported a consolidated loss of Tk 89.20 crore in the third quarter of 2024.

This sharply contrasts the Tk 94.46 crore profit the bank made from the same period last year. 

Shares of Islami Bank declined 1.96 percent to Tk 49.9 as of 11:52 am today on the DSE.

Islami Bank's losses per share was Tk 0.55 in the July-September quarter this financial year, compared to an earnings per share of Tk 0.59 in the same period the previous year, according to a disclosure on the Dhaka Stock Exchange (DSE). 

The bank attributed the slump to higher provisions it made against investments. 

However, the Shariah-based bank's nine-month earnings offered a bright picture, showing a consolidated profit of Tk 267.71 crore. 

Cash flow of the bank improved considerably, with consolidated net operating cash flow per share (NOCFPS) in the negative at Tk 3.02 for January-September 2024, up from Tk 48.09 in the negative. 

"Solo NOCFPS improved year-on-year, attributed to increased placements from other banks," Islami Bank said. 

Despite the challenging quarter, Islami Bank's cash and cash equivalents remain strong, amounting to Tk 12,353.7 crore as of September 30, 2024.