JS Bank profit jumps 67pc as loan-loss reversal and cheap deposits lift earnings

JS Bank's profit after tax climbed 67 percent to Rs 4.300 billion for the nine months to September 30, 2026, from Rs 2.569 billion a year earlier, the bank said on Wednesday. Profit before tax rose 58 percent to Rs 8.932 billion from Rs 5.665 billion, lifting earnings per share to Rs 2.10 from Rs 1.25.

A swing in credit-loss provisioning did much of the work. The bank booked a net reversal of credit loss allowances of Rs 1.733 billion, against a net charge of Rs 3.182 billion in the same period last year. Fee income edged up 4.34 percent to Rs 3.828 billion, while non-markup expenses rose just 3.3 percent to Rs 23.152 billion.

The balance sheet kept growing. Total assets rose 12 percent to Rs 733.719 billion from Rs 655.636 billion at December 2025, and deposits increased 10 percent to Rs 598.123 billion. Non-remunerative deposits made up 43.35 percent of the total, up from 40.87 percent, as the bank pushed for a cheaper funding base.

JS Bank also completed its sixth Tier-2 Term Finance Certificate issuance, raising Rs 4 billion. With the improved profit and the extra Tier-2 capital, its Capital Adequacy Ratio stood at 13.30 percent at September 30, 2026.

Basir Shamsie, President and CEO of JS Bank, said the nine-month performance reflected "steady progress" in strengthening the bank's financial position and growing its core business. "The continued growth in deposits, improvement in our low-cost deposit mix, and disciplined cost management are encouraging," he said, adding that the bank remains focused on sustainable growth, customer experience and financing key sectors of Pakistan's economy.