Habib Metropolitan Bank : HMB | Habib Metropolitan Bank Limited Transmission of Quarterly Report for the period ended 31-03-2024

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OUR VISION

To be the most respected financial institution based on trust, service and commitment

CONTENTS

Corporate Information	1
Directors' Review	2
Unconsolidated Condensed Interim Statement of Financial Position	6
Unconsolidated Condensed Interim Profit and Loss Account	7
Unconsolidated Condensed Interim Statement of Comprehensive Income	8
Unconsolidated Condensed Interim Statement of Changes in Equity	9
Unconsolidated Condensed Interim Cash Flow Statement	10
Notes to the Unconsolidated Condensed Interim Financial Statements	11
Consolidated Condensed Interim Financial Statements	47

CORPORATE INFORMATION

BOARD OF DIRECTORS

CHAIRMAN

Mohamedali R. Habib

PRESIDENT & CHIEF EXECUTIVE OFFICER

Khurram Shahzad Khan

DIRECTORS

Ali Abbas Sikander

Hamza Habib

Mohomed Bashir

Mohsin A. Nathani

Muhammad H. Habib

Rashid Ahmed Jafer

Tahira Raza

BOARD COMMITTEES

AUDIT

Mohsin A. Nathani

Muhammad H. Habib

Rashid Ahmed Jafer

Tahira Raza

CREDIT

Hamza Habib

Khurram Shahzad Khan

Mohamedali R. Habib

Mohsin A. Nathani

Rashid Ahmed Jafer

HUMAN RESOURCE & REMUNERATION

Mohamedali R. Habib

Mohomed Bashir

Mohsin A. Nathani

Tahira Raza

SHARIAH BOARD

Tan Sri Dr. Mohd. Daud Bakar - Chairman Mufti Abdul Sattar Laghari - Member

Mufti Khawaja Noor ul Hassan - Resident Member

COMPANY SECRETARY

INFORMATION TECHNOLOGY

Ali Abbas Sikander

Hamza Habib

Khurram Shahzad Khan

Mohamedali R. Habib

RISK & COMPLIANCE

Khurram Shahzad Khan

Mohsin A. Nathani

Muhammad H. Habib

Rashid Ahmed Jafer

Tahira Raza

Ather Ali Khan

REGISTERED OFFICE	SHARE REGISTRAR
CDC Share Registrar Services Limited
Ground Floor, HABIBMETRO Head Office	CDC House, 99-B,Block-B,
I. I. Chundrigar Road,	S.M.C.H.S., Main Shahra-e-Faisal,
Karachi - 74200, Pakistan	Karachi - 74400

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DIRECTORS' REVIEW

On behalf of the Board of Directors of Habib Metropolitan Bank, I am pleased to present the condensed interim unaudited financial statements for the quarter ended 31 March 2024.

During the first quarter of 2024, Pakistan's economic and financial position continued to improve steadily due to the resumption of funding from multilateral and bilateral partners and prudent policy decisions. The rupee remained stable throughout the period, averaging under Rs. 280/USD. Pakistan successfully concluded the nine-monthStand-by Agreement with the IMF, and discussions are underway for a longer tenure program.

Year-on-year inflation registered at 20.7 percent in March 2024, following a downward trajectory since its peak at 38.0 percent in May 2023. Inflation is expected to maintain a downward trend due to the government's measures to curb inflationary pressure.

The current account posted a deficit of $508 million in 9MFY24, an improvement from the deficit of $4,054 million in the same period last year, largely reflecting an improvement in the trade balance and higher workers' remittances. Exports increased by 7.3 percent to $28.8 billion, while imports declined by 4.3 percent in 9MFY24 due to lower international commodity prices.

The State Bank of Pakistan has maintained the policy rate at 22 percent in its latest monetary policy meeting.

By the Grace of Allah, HABIBMETRO posted a profit before tax of Rs. 11,573 million for the first quarter of 2024, an increase of 15.0 percent year-on-year, translating into after-tax earnings of Rs. 5.63 per share.

Bank deposits increased to Rs. 1,086,684 million compared to Rs. 1,012,303 million as of 31 December 2023, a growth of 7.3 percent. The Bank successfully maintained the current deposits that grew in the last year, closing at Rs. 374,261 million. Investments declined by 2.8 percent to Rs. 899,745 million, whereas net advances increased by 5.5 percent to Rs. 434,568 million during the first quarter.

The Bank's net mark-up/interest income amounted to Rs. 16,345 million, with a growth of 18.7 percent compared to Rs. 13,770 million in the same period last year, whereas non-mark-up/interest income increased to Rs. 3,732 million.

The Bank's Net Equity stands at Rs. 93,361 million with a capital adequacy level of 17.85 percent.

The Bank maintained its Pakistan Credit Rating Agency Limited (PACRA) ratings of AA+ for Long Term and A1+ for Short Term, denoting high credit quality with a low expectation of credit risk, and a strong capacity for timely payment of financial commitments.

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