Equity Analysis /

Pakistan (IMS): Banking sector – switch to large banks

    Tellimer Research
    29 May 2019
    Published by

    Q1 19 results reinforce our positive outlook on the banking sector. Pre-tax profits are up by 35% yoy on strong margin expansion, while the cost of risk remains in check. Reported profits are flat, but this is due to the one-off retrospective impact of the super tax on 2017 earnings. Share prices of our covered banks have turned the corner since last week, and we remain bullish.