Soneri Bank Limited officially received shareholder approval for its annual audited financial statements for the year ended December 31 2025 during its 34th Annual General Meeting held in Lahore. The session was chaired by Amin A. Feerasta, Chairman of the Board, and attended by President and Chief Executive Officer Muhtashim Ahmad Ashai along with senior management. The financial results highlight a period of stable and persistent performance for the institution despite the challenges posed by declining interest rates and a shifting macroeconomic environment. The bank reported a profit before tax of Rs 11.606 billion and a profit after tax of Rs 4.558 billion for the fiscal year 2025. While these figures represent a slight dip from the previous year’s earnings of Rs 12.638 billion and Rs 5.901 billion respectively, the underlying operational metrics remain robust.
A significant factor impacting the net profit was the imposition of additional taxation on banking companies related to prior years. This resulted in an effective tax rate of 60.7 percent for the current year compared to 53.3 percent in 2024. Consequently, the earnings per share for 2025 stood at Rs 4.1341, down from the previous year’s Rs 5.3528. Despite this tax-driven contraction in net profit, the shareholders approved a final cash dividend of 15 percent, which translates to Rs 1.50 per share. This decision reflects the board’s confidence in the bank’s capital position and its commitment to delivering consistent value to its investors even during periods of fiscal adjustment.
The bank’s core revenue streams showed positive momentum, with net interest income improving by 8.39 percent to reach Rs 27.042 billion. This growth was primarily driven by improved average business volumes which helped offset the compression in spreads typically seen in a falling interest rate environment. Non-interest income also witnessed a substantial increase of 20.40 percent year on year, reaching Rs 8.133 billion. This surge was largely supported by a 12.94 percent growth in fee and commission income, indicating that the bank is successfully diversifying its revenue base. Collectively, the overall revenue of the bank showed an improvement of over 10 percent compared to the prior year.
Operationally, Soneri Bank achieved a historic milestone by opening 126 branches within a single calendar year, bringing its total network to 670 branches. While this aggressive expansion led to a 24.07 percent increase in non-markup expenses, the management noted that this investment is essential for long-term growth and market penetration. The bank’s deposit base responded positively to this expansion, growing by 26.87 percent to close at Rs 689.106 billion. Furthermore, the bank managed to significantly reduce its cost of deposits from 13.13 percent last year to 7.10 percent in 2025. This was achieved through a strategic focus on improving the CASA mix and rationalizing funding costs while maintaining high service standards.
On the balance sheet side, net investments rose by 24.7 percent to reach Rs 479.247 billion, while the net advances portfolio stood at Rs 214.324 billion. Although the ratio of non-performing loans saw a marginal increase to 3.41 percent, the bank maintained strong provisioning with an overall coverage ratio of 96.77 percent. Soneri Bank remains adequately capitalized with a Capital Adequacy Ratio of 14.89 percent, which is well above regulatory requirements. These figures underscore the bank’s resilient financial health and its ongoing commitment to a customer-centric business strategy designed to meet the evolving needs of its diverse clientele across Pakistan.
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