BRAC Bank continues strong growth in customer deposits and loans
BI Report || BusinessInsider

Photo: Courtesy
Despite a challenging business environment in 2022, BRAC Bank has grown balance sheet strongly.
The consolidated BRAC Bank entity (i.e. BRAC Bank with all its subsidiaries) has earned a Net Profit After-Tax (NPAT) of Tk 380 crore in the first nine months of 2022, reflecting a growth of 12 percent compared to the same period of 2021. On a standalone basis, BRAC Bank’s NPAT stood at Tk 392 crore.
The bank shared its financial results for third quarter (Q3) 2022 along with other performance and operational achievements in a virtual earnings disclosure program on November 16, read a press release.
Local and foreign investment analysts, portfolio managers and capital market experts joined the event which was broadcast live on social media for the bank’s stakeholders.
BRAC Bank’s Managing Director and Chief Executive Officer Selim R F Hussain; Deputy Managing Director and Chief Financial Officer M Masud Rana; Deputy Managing Director and Chief Operating Officer Md Sabbir Hossain; Deputy Managing Director and Head of Corporate Banking Tareq Refat Ullah Khan; Deputy Managing Director and Head of SME Banking Syed Abdul Momen; Deputy Managing Director and Head of Treasury and Financial Institutions Md Shaheen Iqbal; Head of Alternate Banking Channels Nazmur Rahim; Head of Branches Sheikh Mohammad Ashfaque; Head of Credit Risk Management Ahmed Rashid Joy and Head of Deposits and NFB, Retail Banking Sarah Anam presented the financial results and operational achievements,. A Q&A session was conducted at the end of the disclosure event.
Highlights of the Bank’s year to date Q3 2022 performance:
- Deposits grew by Tk 4,621 Crore (20% annualized) and Customer Loans and Advances grew by Tk 7,380 crore (or 31% annualized) in the preceding nine months.
- The Bank’s NPL, at 3.9%, is both comprehensive and well managed and has not increased from last year despite the removal of COVID forbearances. The Bank has maintained a 114% NPL coverage to absorb possible shocks.
- Total revenue grew by 15% (consolidated) and 8% (solo) compared to Q3 2021 – despite a 90 bps drop in the Net Interest Margin (NIM) on account of higher deposit costs.
- Revenue growth is driven by new to bank customer acquisition and balance sheet growth.
- The bank has continued its long term strategy of investing in People, Technology and Infrastructure. Year on Year Total Operating Costs increased by 22%, mainly driven by regulatory compensation requirements and overall inflation.
- Net Operating Cash Flow per share rose to Tk 1.74 from Tk (10.57) due to higher deposit mobilization and additional funds borrowed in 2022.
- Earnings per Share (EPS) stood at Tk 2.53 for the Consolidated Entity, compared to Tk 2.67 last year.
- The Bank’s Net Asset Value (NAV) Per Share rose to Tk 39.66 from Tk 38.21 at the same time last year.
Commenting on the financial results, the bank’s Managing Director and Chief Executive Officer Selim R F Hussain, elaborated: “The Bangladesh economy, along with many other developing nations, has been heavily impacted by global economic challenges over the past nine months. During these difficult times, we are pleased to once again validate the sustainability of our business model. The Bank’s large physical distribution network allied with customer centric digital services and product innovation have underpinned our strong growth in 2022.”
“I want to thank the talented BRAC Bank Team for their commitment, the Board of Directors for their continuous guidance and the Bangladesh Bank for their pro-active regulatory support during these difficult times”, he added.