Bank Alfalah Limited has reported a strong improvement in profitability for the quarter ended March 31, 2026, with unconsolidated profit after tax rising to Rs11.13 billion from Rs7.04 billion in the same quarter last year.
According to the bank’s financial statements, profit before tax increased to Rs23.52 billion during the quarter, compared with Rs15.38 billion in the corresponding period of 2025. This represents growth of nearly 53%, reflecting a stronger overall earnings performance.
The bank’s net mark-up/interest income stood at Rs34.50 billion in the quarter, compared with Rs33.70 billion a year earlier. Meanwhile, non-mark-up/interest income increased to Rs18.70 billion from Rs9.17 billion, providing a significant boost to total income.
Total income reached Rs53.37 billion, compared with Rs42.29 billion in the first quarter of 2025. Operating expenses also increased to Rs30.62 billion from Rs26.97 billion, while the bank recorded a net reversal of credit loss allowance and provisions during the quarter.
Earnings per Share Improves
The improvement in profitability was also reflected in earnings per share. Bank Alfalah reported basic and diluted earnings per share of Rs3.53, compared with Rs2.23 in the same period last year.
On a consolidated basis, profit after tax attributable to equity holders of the holding company stood at approximately Rs10.91 billion, compared with about Rs7.08 billion a year earlier. Consolidated EPS increased to Rs3.48 from Rs2.24.
Dividend Increased
Alongside the financial results, Bank Alfalah’s board recommended an interim cash dividend of 30%, equivalent to Rs1.50 per share, for the quarter ended March 31, 2026. This compares with a 25% dividend, or Rs1.25 per share, declared for the corresponding quarter of 2025.
The higher dividend signals the bank’s confidence in its earnings performance and provides shareholders with a stronger cash return for the quarter.
Balance Sheet Remains Strong
As of March 31, 2026, Bank Alfalah’s unconsolidated total assets stood at approximately Rs3.04 trillion, compared with Rs3.63 trillion at the end of December 2025. Deposits and other accounts were reported at around Rs2.47 trillion, while net assets stood at approximately Rs190.73 billion.
The bank also reported cash and balances with treasury banks of more than Rs222 billion at the end of the quarter.
Overall, Bank Alfalah’s first-quarter 2026 results show a substantial improvement in profitability, supported particularly by stronger non-mark-up income and higher overall earnings. The combination of rising profit, improved EPS and a higher interim dividend makes the quarter a positive one for the bank and its shareholders.
