Askari Bank - Valuation Model

8/6/2019 Askari Bank - Valuation Model

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ASSUMPTIONS (In Rs Mn) Weights 2000 2001 2002 2003

Risk Weigted Assets (RWA) Err:522 Err:522 Err:522 Err:522Capital Adequacy Ratio - Estimated Err:522 Err:522 Err:522 Err:522

Risk Weighted Assets - ActualCapital Adequacy Ratio - Actual 12.0% 10.8% 12.0% 10.0%

LIABILITIESActual Deposits 30,360 41,200 51,732 61,657

Growth 35.7% 25.6% 19.2%

Deposit breakup - CURRENCYLocal currency 23,809 32,416 43,257 48,200Foreign currency 6,551 8,784 8,474 13,457TOTAL 30,360 41,200 51,732 61,657

In %Local Currency 78% 79% 84% 78%Foreign currency 22% 21% 16% 22%

Deposit breakup - CUSTOMER - CalculatedFixed 5,679 7,741 7,732 6,763Savings 20,364 27,785 37,054 43,083Current - Non remunerative 3,879 5,027 6,507 11,406FI deposits - Remunerative 342 619 438 404TOTAL 30,264 41,172 51,732 61,657

26,385 36,145 45,224 50,250In %Fixed 19% 19% 15% 11%Savings 67% 67% 72% 70%Current - Non remunerative 13% 12% 13% 18%FI deposits - Remunerative 1% 2% 1% 1%

Fixed 22% 21% 17% 13%Savings 77% 77% 82% 86%FI deposits - Remunerative 1% 2% 1% 1%

Borrowing from Financial Institutions 4,773 5,629 11,461 15,903Growth 18% 104% 39%

Export Refinance 2,882 3,222 3,392 7,329Growth 12% 5% 116%

Interbank liabilities and Others 1,891 2,407 8,069 8,575% of Net advances 10.6% 10.3% 26.9% 19.1%

BreakupExport refinance 60% 57% 30% 46%Interbank liabilities 40% 43% 70% 54%

Bills Payable 192 320 608 974Growth 67% 90% 60%

Other Liabilities 748 940 988 963as % of gross interest income 33% 32% 33% 70%


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Deferred Tax liabilites 185 263 1,297 807

ASSETSCash 0% 4,424 4,736 Err:522 Err:522

as % of deposits 11.5% Err:522 Err:522

Held with SBP 530 1,889 4,153 5,242as % of deposits 1.7% 4.6% 8.0% 8.5%

Balances with other banks 20% 2,198 4,588 1,304 2,650as % of deposits 7.2% 11.1% 2.5% 4.3%Growth 109% -72% 103%

Lending to Financial Institutions 20% 3,435 4,112 3,414 5,771as % of deposits 11.3% 10.0% 6.6% 9.4%Growth 20% -17% 69%

Gross Investments Err:522 Err:522 Err:522 Err:522(56) (56) - -- - - -

Federal govt securitiesListed sharesOther securitiesDeferred tax liability

Net Investments Err:522 Err:522 Err:522 Err:522as % of deposits Err:522 Err:522 Err:522 Err:522

DetailsFIB & PIB 2% 2,058 5,144 4,671 6,135

as % of Deposits 6.8% 12.5% 9.0% 9.9%

T-Bills 2% 6,000 5,334 18,686 12,245as % of Deposits 19.8% 12.9% 36.1% 19.9%

(FIB+TBills) as % of Deposits 26.5% 25.4% 45.2% 29.8%

Other Government securities 0% - - - -as % Deposits 0.0% 0.0% 0.0% 0.0%

Equity investment 100% 345 345 285 335Listed companies (Ordinary & Preference shares) 96 96 41 90Unlisted companies 56 56 56 56Investment in Mutual funds - - - -NIT 194 194 189 189as % Deposits 0.8% 0.6% 0.5%

Bonds / TFCs / PTCs / Debentures & OTHERS 75% Err:522 Err:522 Err:522 Err:522% of total investments Err:522 Err:522 Err:522as % of DTL Err:522 Err:522 Err:522

Gross loans 18,564 24,241 31,342 46,341(672) (949) (1,306) (1,564)

Net Loans 85% 17,893 23,291 30,035 44,778Growth in gross loans 30.6% 29.3% 47.9%

ADR 61% 59% 61% 75%Details

Less: Provision for diminutionAdd: Surplus on revaluations

Less: accumulated provisioning for NPL


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Other Advances 10,129 14,715 20,565 29,443Growth 45% 40% 43%as % of Gross loans 55% 61% 66% 64%

Export refinance 2,882 3,222 3,392 7,329Growth 12% 5% 116%as % of Gross loans 16% 13% 11% 16%

Bills discounted/purchased 5,553 6,303 7,384 9,570Growth 13.5% 17.1% 29.6%as % of Gross loans 29.9% 26.0% 23.6% 20.7%

Other Assets 100% 1,213 1,824 1,816 1,426as % of Gross Interest Income 37.8% 42.9% 37.4% 35.0%

Fixed assets 100% 641 723 1,663 1,980

Contingencies & Commitment 0 - - -GrowthAsset growth

DetailsGuarantees for Govt, Banks and Suppliers 65%

GrowthCommitments to lend credit

GrowthTrade-related liabilities 5%

GrowthFX contract 0%

Growth

INCOME STATEMENTGross Interest Income - Actual 3,213 4,251 4,858 4,074

-16%Gross Interest Income - Calculated - - - -Difference (Actual-Calculated)

Details

Return from Cash balancesas % of last year's cash balance

Return on Lending to Financial Institutionsas % of Avg. Lending to FI

Return on Balances with other banksas % of Avg. Balances with banks

Interest income from Investments

Return on PIB & FIBReturn on average PIB & FIB

Return on T-BillsReturn on average T-bill

Return on other Govt. securitiesReturn on average Govt. securities

Bonds/TFCs/PTCs


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Return on average TFC & Others

Interest income from Advances

Return on advancesRet on advances/Avg advances

Return on export refinanceReturn on Exp refin/Avg Exp refinance

Int on bills discountedInc from bills disc/Avg bills discounted

ActualWeighted Average return on Advances

BreakupInterest on NET loansInterest on INVESTMENTS

Provision for non-performing loans Err:522 Err:522 357 Err:522as % of Gross loans Err:522 Err:522 1.14% Err:522as % on Incremental Advances Err:522 5.0% Err:522

Provision for diminution in value of investment - - - -

Bad debts written off 0 0 0 -% of NPL 0.0% 0.0% 0.0%

Dividend Income - Actual 14 12 27 38as % of average investment in listed shares 12.0% 39.3% 57.3%

Fee, Commision & Brokerage Income 381 551 417 525as % of Import+Export of Askari 0.7% 0.8% 0.5% 0.5%Growth 45% -24% 26%as % of Advances 2.1% 2.4% 1.4% 1.2%

Total trade of PAKISTANUS $ rate 54.10 61.91 58.00 58.00

Imports -In $ $10,810 $11,242 $11,162 $12,992Growth 4% -1% 16%

Exports - In $ $8,914 $9,186 $9,826 $11,706Growth 3% 7% 19%

Imports - In PKR 584,821 695,992 647,396 753,536Exports - In PKR 482,247 568,705 569,908 678,948

Total Import and Export 1,067,068 1,264,697 1,217,304 1,432,484Growth 19% -4% 18%

Total trade of AskariImport and Export 56,800 70,800 87,500 105,500

Growth 24.6% 23.6% 20.6%as % of total Trade 5.3% 5.6% 7.2% 7.4%

Total Imports 26,200 32,000 40,200 48,700


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Growth 22.1% 25.6% 21.1%as % of total Imports 4.5% 4.6% 6.2% 6.5%

Total Exports 30,600 38,800 47,300 56,800Growth 26.8% 21.9% 20.1%% of total Exports 6.3% 6.8% 8.3% 8.4%

Other Income 108 108 163 200

Rent on lockers 6 6 7 7Growth 10% 16% 2%

Net profit on sale of property & equipment 2 7 4 5Recovery of expenses from customers 83 89 137 157

as % of Advances 0.5% 0.4% 0.5% 0.4%Rent on property 17 6 14 31

Growth -65% 137% 116%

Income from dealing in Foreign currency 125 126 182 113as % of Import+Export of Pakistan 0.01% 0.01% 0.01%Growth 1% 44% -38%

Trading Income - - 57 79as % of avg investment in ordinary shares 0.0% 83.8% 119.8%

Interest expense - Actual 2,274 2,903 3,017 1,380-54.27%

Interest expense - Calculated - - - -Difference (Actual - Calculated)

Interest on deposits - ActualInterest on deposits - Calculated

Interest on Fixed deposits% int on LCY dep (excluding current)

Interest on Savings deposits% int on LCY dep (excluding current)

Interest on Financial Institutions Deposits% int on LCY dep (excluding current)

ActualWeighted average rate on Deposits

Excluding Zero

Interest on Financial Institutions Borrowings% int on LCY dep (excluding current)

Interest on Subordinated Debt

Administrative expenses 679 853 1,090 1,436

Salaries expense 294 358 454 587Growth 22% 27% 29%

Salary expense - per EMPLOYEE 256,568 279,798 312,121 340,493Growth 9.1% 11.6% 9.1%


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Salary expense - per BRANCH 10,147,724 9,956,139 9,879,304 10,115,000Growth -1.9% -0.8% 2.4%

No. of Staff 1,147 1,281 1,456 1,723Hiring / (Retrenchment) 134 175 267

Number of branches 29 36 46 58New branches 7 10 12

Ratio of staff per branch 39.6 35.6 31.7 29.7

Charge / (reversal) for defined benefit plans 21 17 30 34Growth -20% 78% 14%

Wages as % of Admin expenses 46.4% 44.0% 44.4% 43.2%

Depreciation 74 84 112 168

Other administrative expense 290 394 495 648Growth 35% 26% 31%Other admin expense / branch - Rs Mn 10.02 10.93 10.75 11.17

Growth 9% -2% 4%

Other provisions / (reversals) / writeoffs - - - -

Other charges 0 1 2 1% of NPL 0.0% 0.1% 0.0%

Tax - Actual 436 458 557 799Current year 484 355 437 874Prior year - - -Deferred (48) 104 120 (75)

Tax - Calculated Err:522 544 Err:522

Corporate Tax rate 50.0% 47.0% 44.0%

Income tax on statutory rate Err:522 582 Err:522

Change in tax rate - - -Income taxed at reduced rate (5) (11) (15)Income exempt from taxes - (27) (35)Other difference - - -Prior year provision - - -

SPREAD ANALYSISEarning Assets (Loans + Invest + FI lend - Equity Inv) Err:522 Err:522 Err:522 Err:522Return on earning assets 3,213 4,251 4,858 4,074

Return on average EA Err:522 Err:522 Err:522

Borrowings (Deposits+Borrowings from FI) 35,133 46,829 63,192 77,560Return paid on borowings 2,274 2,903 3,017 1,380

Return on average borrowings 7.1% 5.5% 2.0%

Spreads 939 1,348 1,841 2,694

NIMs (Spread on EA - as % of EA) Err:522 Err:522 Err:522


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Spread on EA - as diff b/w lend. & borr. Cost 0.0% Err:522 Err:522 Err:522

Cost of fund 7.1% 5.5% 2.0%Return on EA Err:522 Err:522 Err:522NIMS Err:522 Err:522 Err:522

CY04A1.0%1.5%2.0%2.5%3.0%3.5%4.0%4.5%5.0%5.5%6.0%

Co


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2004 2005 2006 2007 2008 2009 2010 2011 2012

Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522

108,019 127,6918.5% 11.2% 10.9%

83,319 118,795 131,839 143,037 163,062 185,075 209,13535.1% 42.6% 11.0% 8.5% 14.0% 13.5% 13.0%

64,205 98,379 110,008 123,506 140,796 159,804 180,57919,113 20,416 21,831 19,531 22,265 25,271 28,55683,319 118,795 131,839 143,037 163,062 185,075 209,135

77% 83% 83% 86% 86% 86% 86%23% 17% 17% 14% 14% 14% 14%

13,275 38,000 40,350 29,998 58,702 68,478 77,38051,292 59,361 66,389 83,753 73,378 83,284 94,11118,464 20,089 23,925 28,468 32,453 36,835 41,623

288 1,344 1,175 818 (1,472) (3,521) (3,979)83,319 118,795 131,839 143,037 163,062 185,075 209,13564,855 98,705 107,914 114,569 130,608 148,241 167,512

16% 32% 31% 21% 36% 37% 37%62% 50% 50% 59% 45% 45% 45%22% 17% 18% 20% 20% 20% 20%

0% 1% 1% 1% -1% -2% -2%

20% 38% 37% 26% 45% 46% 46%79% 60% 62% 73% 56% 56% 56%

0% 1% 1% 1% -1% -2% -2%

13,782 1 0,562 14,963 17,554 Err:522 Err:522 Err:522-13% -23% 41.7% 17.3% Err:522 Err:522 Err:522

9,777 9,465 13,378 9,918 6,943 6,943 6,94333% -3% 41% -26% 0% 0% 0%

4,005 1,097 1,584 7,635 Err:522 Err:522 Err:5225.7% 1.3% Err:522 Err:522 Err:522 Err:522 Err:522

71% 90% 89% 57% Err:522 Err:522 Err:52229% 10% 11% 43% Err:522 Err:522 Err:522

1,227 1,316 1,839 2,627 3,753 5,361 7,65726% 7% 40% 43% 43% 43% 43%

1,283 2,045 2,603 3,220 Err:522 Err:522 Err:522115% 48% 37% 37% 37% 37% 37%


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527 567 736 472 472 472 472


6,774 9,342 12,127 10,469 9,066 10,216 11,5448.1% 7.9% 9.2% 7.3% 5.9% 5.9% 5.9%

4,848 5,550 7,333 3,497 3,497 3,497 3,4975.8% 4.7% 5.6% 2.4% 2.1% 1.9% 1.7%83% 14% 32% -52% 0% 0% 0%

2,325 10,172 8,393 14,444 13,860 14,806 15,6852.8% 8.6% 8.5% 8.5% 8.5% 8.0% 7.5%-60% 338% -17% 72% -4% 0% 6%

Err:522 Err:522 Err:522 39,196 36,467 41,402 46,821(38) (2) (2) (3) (3) (3) (3)- 1,263 1,535 236 241 247 253 261 269

128 289 200 200 200 200 200 2001,145 1,254 30 35 40 47 54 63

(10) (8) 6 6 6 6 6 6(45) (101) (70) (70) (70) (70) (70) (70)

Err:522 Err:522 Err:522 39,429 36,705 41,645 47,071Err:522 Err:522 Err:522 27.6% 22.5% 22.5% 22.5%

5,250 4,634 4,564 4,785 5,455 6,191 6,9966.3% 3.9% 3.5% 3.3% 3.3% 3.3% 3.3%

7,670 14,492 16,929 26,064 21,198 24,060 27,1889.2% 12.2% 12.8% 18.2% 13.0% 13.0% 13.0%

15.5% 16.1% 16.3% 21.6% 16.3% 16.3% 16.3%

599 1,260 1,284 1,488 1,697 1,926 2,1760.7% 1.1% 1.0% 1.0% 1.0% 1.0% 1.0%

1,035 1,875 2,034 2,837 3,226 3,673 4,188979 1,719 1,878 2,593 2,982 3,430 3,94456 156 156 196 196 196 196- - - - - - -- - - 47 47 47 47

1.2% 1.6% 1.5% 2.0% 2.0% 2.0% 2.0%

Err:522 Err:522 Err:522 4,022 4,892 5,552 6,274Err:522 Err:522 Err:522 10.2% 13.3% 13.3% 13.3%Err:522 Err:522 3.0% 3.0% 3.0% 3.0% 3.0%

71,619 88,396 102,725 108,189 122,394 139,732 160,957(1,780) (2,419) Err:522 Err:522 Err:522 Err:522 Err:52269,838 85,977 Err:522 Err:522 Err:522 Err:522 Err:522

54.5% 23.4% 16.2% 5.3% 13.1% 14.2% 15.2%86% 74% 78% 76% 75% 76% 77%


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47,340 64,169 72,152 84,406 95,379 108,732 125,04161% 36% 12% 17% 13.0% 14.0% 15.0%66% 73% 70% 78% 78% 78% 78%

9,777 9,465 13,378 9,918 9,918 9,918 9,91833% -3% 41% -26% 0% 0% 0%14% 11% 13% 9% 8% 7% 6%

14,503 14,761 17,195 13,864 17,097 21,082 25,99751.5% 1.8% 16.5% -19.4% 23.3% 23.3% 23.3%20.2% 16.7% 16.7% 12.8% 14.0% 15.1% 16.2%

1,559 2,733 3,813 5,535 Err:522 Err:522 Err:52234.8% 31.1% 30.3% 36.6% 34.2% 33.6% 33.4%

2,595 3,193 3,810 5,128 5,189 5,117 5,014

35,120 71,008 93,560 Err:522 Err:522 Err:522 Err:522102% 32% Err:522 Err:522 Err:522 Err:522

Err:522 Err:522 Err:522 Err:522 Err:522 Err:522

34,912 44,441 Err:522 Err:522 Err:522 Err:522

397 1,716 4,567 Err:522 Err:522 Err:522 Err:522

20,180 22,483 28,222 Err:522 Err:522 Err:522 Err:522

14,543 11,897 16,330 Err:522 Err:522 Err:522 Err:522

4,487 8,781 12,597 15,143 Err:522 Err:522 Err:522

10% 96% 43% 20%- - Err:522 Err:522 Err:522 Err:522 Err:522Err:522 Err:522 Err:522 Err:522 Err:522

range mentioned in A/cErr:522 Err:522 Err:522 Err:522 Err:522

4.7% 4.7% 4.7% 4.7% 4.7%

898 1,104 1,401 1,419 1,5099.65-12.5% 9.7% 9.7% 9.9% 9.9% 9.9%

193 162 105 105 1052.37-4.69% 3.0% 3.0% 3.0% 3.0% 3.0%

Err:522 Err:522 3,266 3,348 3,791

368 491 512 582 6597-14% 8.0% 10.5% 10.0% 10.0% 10.0%

1,414 1,935 2,127 2,037 2,3069-9.44% 9.0% 9.0% 9.0% 9.0% 9.0%

102 139 159 181 2058.0% 10.0% 10.0% 10.0% 10.0%

Err:522 Err:522 468 548 621


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54.4% 30.7% 21.4% 25.6% 20.2% 14.9% 12.7%7.4% 8.1% 6.4% 6.6% 6.8% 7.0% 7.2%

70,100 92,000 97,300 115,895 137,988 164,229 186,89423.4% 31.2% 5.8% 19.1% 19.1% 19.0% 13.8%

9.3% 10.4% 9.8% 10.0% 10.2% 10.4% 10.6%

178 207 322 337 384 420 460

8 8 10 11 12 14 158% 6% 15% 12% 12% 12% 12%

5 7 7 6 20 20 20132 155 281 293 323 355 390

0.2% 0.2% Err:522 Err:522 Err:522 Err:522 Err:52233 37 24 26 29 31 348% 12% -35% 9% 9% 9% 9%

181 356 584 656 775 891 9960.01% 0.02% 0.02% 0.02% 0.02% 0.02% 0.02%

60% 97% 64% 12% 18% 15% 12%

540 100 110 2,363 418 481 553101.0% 7.4% 6.1% 105.7% 15.0% 15.0% 15.0%

1,117 4,278 6,977 8,686 Err:522 Err:522 Err:522-19.02% 282.95% 63.08% 24.48%

- - 6,979 8,686 Err:522 Err:522 Err:522(1) 0 Err:522 Err:522 Err:522

5,823 7,3215,852 7,325

3,526 3,482 4,657 6,995 8,0227.0% 9.0% 9.9% 10.5% 11.0% 11.0%

2,264 3,754 3,928 3,917 4,4352.5% 3.6% 5.0% 5.0% 5.0% 5.0%

63 90 (32) (247) (371)6.0% 5.0% 9.0% 9.9% 9.9% 9.9%

3.6% 5.1%3.6% 4.6% 5.1% 5.9% 6.1% 6.1%4.3% 5.6% 6.3%

791 1,024 Err:522 Err:522 Err:5226.2% 6.3% 6.3% 6.3% 6.3%

335 336 336 336 33611.2% 11.2% 11.2% 11.2% 11.2%

1,845 2,592 3,277 4,790 5,564 6,252 6,929

797 1,105 1,439 2,288 2,632 2,954 3,23536% 39% 30% 59% 15% 12% 9%

376,411 401,121 443,908 596,715 644,452 689,564 737,83310.5% 6.6% 10.7% 34.4% 8.0% 7.0% 7.0%


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10,629,853 11,158,455 11,792,680 15,252,033 15,951,166 16,880,521 17,484,6535.1% 5.0% 5.7% 29.3% 4.6% 5.8% 3.6%

2,118 2,754 3,241 3,834 4,084 4,284 4,384395 636 487 593 250 200 100

75 99 122 150 165 175 18517 24 23 28 15 10 10

28.2 27.8 26.6 25.6 24.8 24.5 23.7

24 58 76 118 136 152 167-29% 139% 32% 55% 15% 12% 9%

44.5% 44.8% 46.2% 50.2% 49.7% 49.7% 49.1%

200 275 340 400 440 471 503

824 1,155 1,423 1,983 2,356 2,674 3,02527% 40% 23% 39% 19% 13% 13%

10.99 11.66 11.67 13.22 14.28 15.28 16.35

-2% 6% 0% 13% 8% 7% 7%

- - - - 1 2 3

0 2 6 12 13 14 150.0% 0.0% 0.0% 0.1% 0.1% 0.1% 0.2%

920 837 1,097 (381) Err:522 Err:522 Err:522876 829 984 99

- (188) - (234)44 197 113 (246)

Err:522 Err:522 Err:522 (63) Err:522 Err:522 Err:522

41.0% 38.0% 35.0% 35.0% 35.0% 35.0% 35.0%

Err:522 Err:522 Err:522 805 Err:522 Err:522 Err:522

- - - - - - -(9) (17) (33) (41) (51) (59) (68)

(221) (38) (39) (827) (146) (168) (194)- - - - - - -- - - - - - -

Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:5224,487 8,781 12,597 15,143 Err:522 Err:522 Err:522

Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522Err:522

97,100 129,357 146,802 160,590 Err:522 Err:522 Err:5221,117 4,278 6,977 8,686 Err:522 Err:522 Err:522

1.3% 3.8% 5.1% 5.7% Err:522 Err:522 Err:5220.6%

3,370 4,502 5,620 6,458 Err:522 Err:522 Err:522

Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522


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Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522

CY04A CY05A CY06A CY07A1.3% 3.8% 5.1% 5.7% Err:522 Err:522 Err:522


CY05A CY06A CY07A

AKBL Margins

t of fund Return on EA NIMS


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2013 2014 2015 2016 2017 2018 2019 2020

10.457.59

18.04


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279 291 304 320 338 359 384 412200 200 200 200 200 200 200 20073 84 98 113 132 153 177 2056 6 6 6 6 6 6 6

(70) (70) (70) (70) (70) (70) (70) (70)


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PROVISIONING (In Rs Mn) 2000 2001 2002 2003 2004 2005Opening balance 538 Err:522 Err:522 Err:522 Err:522 Err:522

Exchange adjustment - - - - - -Charge for the year Err:522 Err:522 357 Err:522 Err:522 Err:522Amounts written off (1) (5) 0 (51) (60) 0Miscellaneous adjustment - - - -

Closing balance Err:522 Err:522 Err:522 Err:522 Err:522 Err:522

Writeoff as % of initial Prov. -0.2% Err:522 Err:522 Err:522 Err:522 Err:522

Classificaiton of ProvisioningOther Assets Espcially Mentioned (OAEM) - 64 64Substandard 7 5 52Doubtful 7 25 175Loss 574 786 1,120General Err:522 Err:522 Err:522TOTAL Err:522 Err:522 Err:522 Err:522 Err:522 Err:522

Non Performing Loan (NPL)Total NPL 1,085 1,162 1,246 1,278 1,166 2,373Gross Advances 18,564 24,241 31,342 46,341 71,619 88,396

NPL as % of Gross loans 5.8% 4.8% 4.0% 2.8% 1.6% 2.7%

Loss Coverage Err:522 Err:522 Err:522 Err:522 Err:522 Err:522Change in NPL 77 84 32 (112) 1,207

Classificaiton of NPLsOther Assets Espcially Mentioned (OAEM) 32 42 -Substandard 94 70 305Doubtful 91 91 551Loss 945 1,074 1,517

TOTAL 1,085 1,162 1,246 1,278 1,166 2,373


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2006 2007 2008 2009 2010Err:522 Err:522 Err:522 Err:522 Err:522

- - - - -Err:522 3,922 796 838 966

(2) (34) Err:522 Err:522 Err:522(23)

Err:522 Err:522 Err:522 Err:522 Err:522


64 20922 4547 407

2,607 5,867Err:522 Err:522Err:522 Err:522 Err:522 Err:522 Err:522

3,656 6,908 7,815 8,922 10,277102,725 108,189 122,394 139,732 160,957

3.6% 6.4% 6.4% 6.4% 6.4%

Err:522 Err:522 Err:522 Err:522 Err:5221,283 3,251 907 1,107 1,355

3 5107 210103 819

3,442 5,874

3,656 6,908 7,815 8,922 10,277


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Advances - INDUSTRY 896,000 926,000 945,000 1,146,000 1,616,000Growth 3.3% 2.1% 21.3% 41.0%

Advances - Askari 17,893 23,291 30,035 44,778 69,838Growth 30.2% 29.0% 49.1% 56.0%

Askari advances as % of industry 2.0% 2.5% 3.2% 3.9% 4.3%

InvestmentsBanking Industry Investments 320,051 312,884 625,201 745,291 626,046

Growth -2.2% 99.8% 19.2% -16.0%Investments - Askari Err:522 Err:522 Err:522 Err:522 Err:522

Growth Err:522 Err:522 Err:522 Err:522

Askari investments as % of industry Err:522 Err:522 Err:522 Err:522 Err:522

Advance to deposit (ADR)ADR (Net) - Industry 68% 64% 57% 59% 68%ADR (Net) - Askari 59% 57% 58% 73% 84%

ADR (Gross) - Askari Err:522 Err:522 Err:522 Err:522 Err:522

ADR - Excluding Export refinance Err:522 Err:522 Err:522 Err:522 Err:522

Investment to Deposit (IDR)Investment to Deposit (IDR) - INDUSTRY 24% 21% 38% 38% 26%Investment to Deposit (IDR) - Askari Err:522 Err:522 Err:522 Err:522 Err:522

ADR + IDRADR + IDR - INDUSTRY 92% 85% 94% 97% 94%ADR + IDR - Askari Err:522 Err:522 Err:522 Err:522 Err:522

Branch AnalysisBranches 29 36 46 58 75Deposit / Branch - In Mn 1,047 1,144 1,125 1,063 1,111

Advance / Branch - In Mn 617 647 653 772 931Admn expense / Branch - In Mn 10.02 10.93 10.75 11.17 10.99Employee / Branch 39.6 35.6 31.7 29.7 28.2

Employee AnalysisNo. of employees 1,147 1,281 1,456 1,723 2,118Salaries / Employee - In Rs 256,568 279,798 312,121 340,493 376,411Total Income / Employee - In Rs Err:522 Err:522 467,536 Err:522 Err:522

GrowthAdvances 30% 29% 49% 56%Deposits 36% 26% 19% 35%Assets Err:522 Err:522 Err:522 Err:522

Deposit / Branch 9% -2% -5% 5%Advances / Branch 5% 1% 18% 21%


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2005 2006 2007 2008 2009 2010 2011 2012 2013

Err:522 Err:522 Err:522 Err:522 Err:522 Err:522Err:522 Err:522 Err:522 34.0% 37.2% 39.8%

7.9% 9.2% 7.3% 5.9% 5.9% 5.9%20.2% 18.2% 23.5% 18.5% 18.5% 18.4%

Err:522 Err:522 Err:522 Err:522 Err:522 Err:52210.3% Err:522 Err:522 Err:522 Err:522 Err:522

19.5% 17.0% Err:522 Err:522 Err:522 Err:5220.0% 0.0% Err:522 Err:522 Err:522 Err:522

22.8% 21.3% 23.5% Err:522 Err:522 Err:522

74% 72% 59% Err:522 Err:522 Err:52226% 28% 41% Err:522 Err:522 Err:522

2,373 3,656 6,908 7,815 8,922 10,277Err:522 Err:522 Err:522 Err:522 Err:522 Err:522Err:522 Err:522 Err:522 Err:522 Err:522 Err:522

2.7% 3.6% 6.4% 6.4% 6.4% 6.4%Err:522 Err:522 Err:522 Err:522 Err:522 Err:522Err:522 Err:522 Err:522 Err:522 Err:522 Err:522Err:522 Err:522 170% Err:522 Err:522 Err:522

Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522


Err:522 Err:522 Err:522 Err:522 Err:522 Err:522Err:522 Err:522 Err:522

Err:522 Err:522 117% Err:522 Err:522 Err:522Err:522 Err:522 Err:522 Err:522 Err:522 Err:522Err:522 Err:522 Err:522 Err:522 Err:522 Err:522Err:522 Err:522 Err:522 Err:522 Err:522 Err:522Err:522 Err:522 Err:522 Err:522 Err:522 Err:522

25.3 32.0 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:52229.3 36.8 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:52229.3 36.8 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522

2,818,000 3,175,886 3,636,389 4,145,484 4,705,124 5,316,79018.6% 12.7% 14.5% 14.0% 13.5% 13.0%

118,795 131,839 143,037 163,062 185,075 209,13542.6% 11.0% 8.5% 14.0% 13.5% 13.0%

4.2% 4.2% 3.9% 3.9% 3.9% 3.9%


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2,036,000 2,400,444 2,760,511 3,146,982 3,556,090 4,018,38126.0% 17.9% 15.0% 14.0% 13.0% 13.0%

85,977 Err:522 Err:522 Err:522 Err:522 Err:52223.1% Err:522 Err:522 Err:522 Err:522 Err:522

4.2% Err:522 Err:522 Err:522 Err:522 Err:522

730,067 775,546 899,633 1,034,578 1,163,901 1,303,56916.6% 6.2% 16.0% 15.0% 12.5% 12.0%

Err:522 Err:522 39,429 36,705 41,645 47,071Err:522 Err:522 Err:522 -6.9% 13.5% 13.0%

Err:522 Err:522 4.4% 3.5% 3.6% 3.6%

72% 76% 76% 76% 76% 76%72% Err:522 Err:522 Err:522 Err:522 Err:522



26% 24% 25% 25% 25% 25%Err:522 Err:522 28% 23% 23% 23%

98% 100% 101% 101% 100% 100%Err:522 Err:522 Err:522 Err:522 Err:522 Err:522

99 122 150 165 175 1851,200 1,081 954 988 1,058 1,130

868 Err:522 Err:522 Err:522 Err:522 Err:52211.66 11.67 13.22 14 15 1627.8 26.6 25.6 24.8 24.5 23.7

2,754 3,241 3,834 4,084 4,284 4,384401,121 443,908 596,715 644,452 689,564 737,833

Err:522 Err:522 699,664 Err:522 Err:522 Err:522

23% Err:522 Err:522 Err:522 Err:522 Err:52243% 11% 8% 14% 14% 13%


8% -10% -12% 4% 7% 7%-7% Err:522 Err:522 Err:522 Err:522 Err:522


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2014 2015

Err:522 Err:522Err:522 Err:522Err:522 Err:522

Err:522 Err:522Err:522 Err:522Err:522 Err:522


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Core Equity 6,038 6,437 7,008 7,369Revaluation on Fixed assets & Investments 354 276 732 1,218Total Equity 6,393 6,713 7,740 8,587Nos of share 300.65 300.65 300.65 300.65

BV - Core Equity 20.1 21.4 23.3 24.5BV - Total Equity 21.3 22.3 25.7 28.6

Asset qualityNPL 2,373Provisioning 2,419

Gross NPL / Gross Advances 2.7%Net NPL / Net Advances -0.1%Loss coverage ratio 102%

Branches 99

NIMs (NII /EA)Earning Assets (Loans + Inv + FI lend - Equity Inv)Provisions against loans & advancesDeposit


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20061Q2006 2Q2006 1H2006 3Q2006 4Q2006 2006 1Q2007 2Q2007

2,830 3,006 5,835 3,258 3,504 12,597 25% 3,591 3,6921,648 1,579 3,227 1,777 1,973 6,977 33% 2,102 2,1951,181 1,427 2,608 1,481 1,531 5,620 15% 1,489 1,49741.7% 47.5% 44.7% 45.5% 43.7% 44.6% 41.5% 40.5%

20% 30% 26% 21% 27% 25% 26% 5%

330 260 590 152 387 1,129 97 608330 260 590 152 386 1,128 97 608

- - - - 0 0 (0)- - - - - - - -

888851 1,167 2,018 1,329 1,144 4,491 1,393 889

498 550 1,048 559 533 2,139 27% 587 746232 254 485 259 269 1,014 11% 248 292

11 49 60 37 13 109 -3% 52 6115 153 268 143 173 584 18% 146 170

79 13 93 38 (21) 110 165% 58 187

61 81 142 81 98 322 22% 84 90

759 787 1,546 933 805 3,283 29% 924 1,073759 787 1,545 927 805 3,277 924 1,073

- - - - - - -- 0 0 6 0 6 - 0

45.2% 39.8% 42.3% 45.7% 39.0% 42.3% 44.5% 47.8%

590 930 1,520 955 871 3,347 1,056 561

176 226 402 340 354 1,097 329 (203)111 222 334 359 291 984

- (78) (78) - 78 -

65 82 147 (19) (15) 11329.9% 24.3% 26.5% 35.6% 40.7% 32.8% 31.2% -36.2%

-11% 76% 29% 8% Err:522 Err:522 76% 9%414 704 1,118 615 517 2,250 726 765

1.38 2.34 3.72 2.05 1.72 7.48 2.42 2.54

-- -

0% 0%

Mar-06 Jun-06 Sep-06 Dec-06 Mar-07 Jun-07

85,588 89,811 89,780 Err:522 Err:522 97,190 97,17225,817 28,152 28,477 Err:522 Err:522 30,767 36,236

107,381 122,543 122,701 131,839 8% 126,781 142,255

80% 76% 76% Err:522 80% 71%24% 23% 23% Err:522 24% 25%

104% 99% 99% Err:522 104% 97%


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7,783 8,487 9,102 9,619 10,145 10,9091,259 1,418 1,373 1,434 1,728 2,5289,042 9,905 10,475 11,053 11,873 13,437

300.65 300.65 300.65 300.65 300.65 300.65

25.9 28.2 30.3 32.0 33.7 36.330.1 32.9 34.8 36.8 39.5 44.7

2,991 3,188 3,656 4,038 5,9423,007 3,159 Err:522 3,642 4,250

3.2% 3.4% Err:522 4.0% 5.9%0.0% 0.0% Err:522 0.4% 1.7%

101% 99% Err:522 90% 72%

104 122 122 121

2006 1Q2007 2Q20071.09% 1.02%

134,167 139,208 154,34397 608

126,781


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20071H2007 3Q2007 4Q2007 2007 CY07A

7,284 3,898 3,962 15,143 15143.244,297 2,254 2,135 8,686 8685.622,986 1,644 1,827 6,458 6,45841.0% 42.2% 46.1% 42.6% 9MCY07E 9MCY06A YoY

15% 11% 19% 15% Net interest income 4,630 4,089 13.2%Provisioning & writeoffs 891 742 20.2%

705 187 3,029 3,920 3921.74 Other Income 1,912 1,607 19.0%705 187 3,030 3,922 Profit before taxes 2,183 2,476 -11.8%

(1) - (1) (2) Net Profit 1,860 1,733 7.3%- - - - EPS 6.19 5.77

DPS - -2,282 1,458 (1,202) 2,537 2,536

1,333 579 2,654 4,565 4,565540 272 260 1,073 1072.87

58 74 5 137 137.08316 157 183 656 655.76245 (9) 2,127 2,363 2362.98

174 85 78 337 336.81

1,997 1,471 1,334 4,802 4,8021,997 1,470 1,322 4,790 4789.54

- - - - 0- 1 11 12 12.05

46.2% 66.2% 29.8% 43.6%

1,618 565 118 2,301 2,300

126 197 (704) (381) (381)- 197 99 98.54- - (234) -233.95

- (246) -245.817.8% 34.9% -596.4% -16.6%

33% -40% 59% 19%1,492 368 822 2,683 2,681

4.96 1.22 2.74 8.92 8.92

15%

Sep-07 Dec-07

94,877 Err:52242,703 39,429

142,436 143,037

70% Err:52230% 28%

100% Err:522


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11,277 Err:5222,008 166

13,285 Err:522300.65 300.65

37.5 Err:52244.2 Err:522

6,509 6,9084,403 Err:522

6.6% Err:5222.2% Err:52268% Err:522

1H2007 3Q20071.08%

150,098705 187

142,255 142,436


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Interim DividendFinal Dividend 148 207 217 228 251Dividend for previous year 251

Unappropriated profit c/f Err:522 Err:522 Err:522 Err:522 1,538 Err:522

Statutory Reserve as % of PAT Err:522 Err:522 20.2% Err:522 Err:522 Err:522Declaretion / Issued during the year DPS

Interim - -Final 2.00 1.50

Total 1.5 2 2 2 2.00 1.50Total Dividend - Announced 148 207 217 228 251 226

Payout ratio Err:522 Err:522 32% Err:522 Err:522 Err:522Growth in dividends 40% 5% 5% 10% -10%

BonusInterim 0%Final 20% 33%

Total 5% 4% 10% 20% 33%

Share Capital 1,256 1,507


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2006 2007 2008 2009 2010 2011 2012 2013 2014 201520%

35% 30% Err:522 Err:522 Err:522 Err:52212,597 15,143 Err:522 Err:522 Err:522

6,977 8,686 Err:522 Err:522 Err:5225,620 6,458 Err:522 Err:522 Err:522

44.6% 42.6% Err:522 Err:522 Err:52225% 15% Err:522 Err:522 Err:522

24%Err:522 3,920 796 838 966Err:522 3,922 796 838 966

0 (2) - - -- - - - -

Err:522 2,537 Err:522 Err:522 Err:522Err :522 Err:522

2,139 4,565 Err:522 Err:522 Err:5221,014 1,073 Err:522 Err:522 Err:522

109 137 171 197 226584 656 775 891 996110 2,363 418 481 553322 337 384 420 46038% 113%

3,283 4,802 5,578 6,268 6,9473,277 4,790 5,564 6,252 6,929- - 1 2 36 12 13 14 15

42.2% 43.4% Err:522 Err:522 Err:522

27% 46%- - - - -

Err:522 2,301 Err:522 Err:522 Err:522Err:522 Err:522

1,097 (381) Err:522 Err:522 Err:522Err:522 -16.6% Err:522 Err:522 Err:522

Err:522 Err:522Err:522 2,683 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522

Err:522 6.61 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522Err:522 Err:522 Err:522 Err:522 Err:522 14% 13% 12% 11% 10%

1,618 1,800 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522

Err:522 4,482 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522

Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522894 597 597 597 597 597 597 597 597 597

- - - - - - -497 1,002 1,052 - - - - - -


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- - - - - - -

226 200 451 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522

Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522

1.00 1.50 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:5221.00 1.50 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522200 451 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522

Err:522 17% 25% 25% 30% 45% 45% 45% 50% 55%-11% 125% Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522

0% 0%50% 35%50% 35% 0% 0% 0% 0% 0% 0% 0% 0%

2,004 3,006 4,059 4,059 4,059 4,059 4,059 4,059 4,059 4,059


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AKBL Financial Highlights

(Rs mn) CY06A CY07A CY08F CY09F CY10FNet Int. inc. 5,620 6,458 Err:522 Err:522 Err:522Prov. & Writeoffs Err:522 3,920 796 838 966Other income 2,139 4,565 Err:522 Err:522 Err:522Non int. expense 3,283 4,802 5,578 6,268 6,947Profit after tax Err:522 2,683 Err:522 Err:522 Err:522EPS (Rs) @ 405.8mn Err:522 6.61 Err:522 Err:522 Err:522DPS (Rs) #REF! #REF! 1.50 1.50 Err:522ROE - Core Err:522 Err:522 Err:522 Err:522 Err:522ROA Err:522 Err:522 Err:522 Err:522 Err:522Source: Company Reports & InvestCap Research

AKBL Financial Highlights(Rs mn) CY07A CY06A YoYNet Int. income 6,458 5,620 15%Prov. & Write offs 3,920 Err:522 Err:522Other income 4,565 2,139 113%Non int. expense 4,802 3,283 46%Profit after tax 2,683 E rr:522 Err:522EPS (Rs) @ 405.8mn 6.61 Err:522DPS (Rs) #REF! #REF!Source: Company Reports & InvestCap Research

AKBL's Deposit MixDeposit Mix CY07 % to T.Dep CY06 % to T.DepFixed 29,998 21% 40,350 31%Savings 83,753 59% 66,389 50%Current - Non 28,468 20% 23,925 18%FI deposits - R 818 1% 1,175 1%


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Cash Flow Statement 2000 2001 2002 2003 2004 2005Net Income Err:522 681 Err:522 Err:522 Err:522

Depreciation (CGS) 84 112 168 200 275

Operating Cash Flows Err:522 792 Err:522 Err:522 Err:522

Capex (167) (1,052) (485) (815) (873)Change in Advances (5,399) (6,744) (14,742) (25,061) (16,139)Change in Investments Err:522 Err:522 Err:522 Err:522 Err:522Change in Balances with other banks (2,390) 3,284 (1,346) (2,198) (702)Change in Lending to Financial Institutions (677) 697 (2,356) 3,446 (7,847)Change in Other Assets (611) 7 390 (133) (1,173)

Investing Cash Flows Err:522 Err:522 Err:522 Err:522 Err:522

Fresh Equity Err:522 Err:522 Err:522 Err:522 Err:522Change in Deposits 10,840 10,531 9,925 21,662 35,476Change in Borrowings from FI 856 5,832 4,442 (2,122) (3,219)Change in Bill payable 129 288 365 253 89

Change in Other liabilities 277 1,087 (533) 17 790Subordinated debt - - - 1,000 2,000Dividends paid (207) (217) (228) (251) (251)

Financing Cash Flows Err:522 Err:522 Err:522 Err:522 Err:522

Net Change in Cash Err:522 Err:522 Err:522 Err:522 Err:522Beginning Cash Balance 4,424 Err:522 Err:522 Err:522 Err:522Ending Cash Balance 4,424 Err:522 Err:522 Err:522 Err:522 Err:522Reported Net Change in Cash 4,736 Err:522 Err:522 Err:522 Err:522CHECK Err:522 Err:522 Err:522 Err:522 Err:522

Free cashflows Err:522 (259) Err:522 Err:522 Err:522


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2006 2007 2008 2009 2010 2011 2012Err:522 2,683 Err:522 Err:522 Err:522 #REF! #REF!

340 400 440 471 503 #REF! #REF!

Err:522 3,083 Err:522 Err:522 Err:522 #REF! #REF!

(957) (1,718) (500) (400) (400) #REF! #REF!Err:522 Err:522 Err:522 Err:522 Err:522 #VALUE! #VALUE!Err:522 Err:522 2,724 (4,940) (5,426) #VALUE! #VALUE!(1,783) 3,836 - - - #VALUE! #VALUE!1,779 (6,051) 584 (946) (879) #VALUE! #VALUE!

(1,080) (1,722) Err:522 Err:522 Err:522 Err:522 #VALUE!

Err:522 Err:522 Err:522 Err:522 Err:522 #REF! #REF!

Err:522 Err:522 Err:522 Err:522 Err:522 #REF! #REF!13,045 11,197 20,025 22,013 24,060 #VALUE! #VALUE!

4,400 2,591 Err:522 Err:522 Err:522 Err:522 #VALUE!523 788 1,126 1,608 2,297 #VALUE! #VALUE!

727 350 Err:522 Err:522 Err:522 #VALUE! #VALUE!- (2) - - - #VALUE! #VALUE!

(226) (200) Err:522 Err:522 Err:522 #VALUE! #VALUE!

Err:522 Err:522 Err:522 Err:522 Err:522 #REF! #REF!

Err:522 Err:522 Err:522 Err:522 Err:522 #REF! #REF!Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522Err:522 Err:522 Err:522 Err:522 Err:522 #REF! #REF!Err:522 Err:522 Err:522 Err:522 Err:522 #REF! #REF!

Err:522 1,364 Err:522 Err:522 Err:522 #REF! #REF!


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BALANCE SHEET (In PKR Mn) 2000 2001 2002 2003 2004 2005 2006Equity

Authorized Capital 1,500 1,500 1,500 1,500 4,000 4,000 4,000

Nos of Shares 98.62 103.55 108.73 114.17 125.58 150.70 200.43

Paid up capital 986 1,036 1,087 1,142 1,256 1,507 2,004Reserves 1,227 1,521 1,939 2,760 4,317 4,471 5,815Unapproriated profit Err:522 Err:522 Err:522 Err:522 1,538 1,618 1,800Total Err:522 Err:522 Err:522 Err:522 7,112 7,595 9,619

Surplus on Fixed Assets - - - - - - -Surplus on Investment (60) 22 1,146 1,146 443 1,218 1,434Equity with revaluations Err:522 Err:522 Err:522 Err:522 7,555 8,813 11,053

Liabilities

Deposits 30,360 41,200 51,732 61,657 83,319 118,795 131,839Fixed 5,679 7,741 7,732 6,763 13,275 38,000 40,350Savings + Current (remunerative) 20,364 27,785 37,054 43,083 51,292 59,361 66,389Current 3,879 5,027 6,507 11,406 18,464 20,089 23,925Financial Institutions (FI) 342 619 438 404 288 1,344 1,175

Borrowings from Financial Institutions 4,773 5,629 11,461 15,903 13,782 10,562 14,963Bills payable 192 320 608 974 1,227 1,316 1,839Other liabilities 748 940 988 963 1,283 2,045 2,603Deferred tax liabilities 185 263 1,297 807 527 567 736Subordinated Debt - - - - 1,000 3,000 3,000Liabilities against finance lease 42 49 55 37 14 1 1Liabilities 36,300 48,402 66,140 80,340 101,151 136,286 154,982

Assets

Cash & balances with Central banks 4,424 4,736 Err:522 Err:522 Err:522 Err:522 Err:522Balances with other banks 2,198 4,588 1,304 2,650 4,848 5,550 7,333Lending to Fianancial Institutions 3,435 4,112 3,414 5,771 2,325 10,172 8,393Investments Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522

Govt securities 8,058 10,478 23,357 18,380 13,519 20,387 22,777Equity investment / Ordinary shares 345 345 285 335 1,035 1,875 2,034Bonds Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522Revaluations (56) (56) - - (38) (2) (2)

Advances 17,893 23,291 30,035 44,778 69,838 85,977 Err:522Fixed Assets 641 723 1,663 1,980 2,595 3,193 3,810Other Assets 1,213 1,824 1,816 1,426 1,559 2,733 3,813Deferred Tax assets - - - - - - -Total Assets Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522

Check Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522


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2007 2008 2009 2010 2011 2012 2013 2014 2015

4,000 4,000 4,000 4,000 4,000 4,000 4,000 4,000 4,000

300.65 405.87 405.87 405.87 405.87 405.87 405.87 405.87 405.87

3,006 4,059 4,059 4,059 4,059 4,059 4,059 4,059 4,059Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522

- - - - - - - - -166 171 177 183 183 183 183 183 183

Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522 Err:522

143,037 163,062 185,075 209,13529,998 58,702 68,478 77,38083,753 73,378 83,284 94,11128,468 32,453 36,835 41,623

818 (1,472) (3,521) (3,979)

17,554 Err:522 Err:522 Err:5222,627 3,753 5,361 7,6573,220 Err:522 Err:522 Err:522

472 472 472 4722,997 2,997 2,997 2,997

- - - -169,906 Err:522 Err:522 Err:522

Err:522 Err:522 Err:522 Err:5223,497 3,497 3,497 3,49714,444 13,860 14,806 15,68539,429 36,705 41,645 47,07132,338 28,350 32,177 36,360

2,837 3,226 3,673 4,1884,022 4,892 5,552 6,274

(3) (3) (3) (3)

Err:522 Err:522 Err:522 Err:5225,128 5,189 5,117 5,0145,535 Err:522 Err:522 Err:522

- - - -Err:522 Err:522 Err:522 Err:522

Err:522 Err:522 Err:522 Err:522


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2007 2008 2009 2010

4,414 5,066 5,566 5,966739 500 400 400(87) - - -

- - - -5,066 5,566 5,966 6,366

400 440 471 503

7.9% 7.9% 7.9% 7.9%

1,328 1,681 2,121 2,593(47) - - -

- - - -1,681 2,121 2,593 3,096

3,385 3,445 3,374 3,2711,743 1,743 1,743 1,743

- - - -

5,128 5,189 5,117 5,014


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VALUATION 2006 2007 2008 2009 2010

PE MultipleEPS Err:522 6.61 Err:522 Err:522 Err:522Discounted EPS Err:522 7.75 Err:522 Err:522 Err:522Discounted Average EPS Err:522

Justified PE multiple - MARKET 11.0

Justified PE multiple - BANKS 9.2

Fair value - Market PE Err:522

Fair value - Banking sector PE Err:522

Fair value - Average discounted earnings Err:522

CAPM Based Discount Rate

Beta 1.00

Risk free rate 11.2%

Risk premium 6.0%

Discount Rate 17.2%

Estimated Growth rateROE Err:522Retention ratio 45%Estimated terminal growth rate 10.0%Justified PBV Multiple Err:522

Current date 31-Dec-2008

Dividend Discount Method - DDMResult date 30-Dec-06 30-Dec-07 30-Dec-08 30-Dec-09 30-Dec-10

Dividend 200 451 Err:522 Err:522 Err:522

Discounted dividend Err:522 276 529 Err:522 Err:522 Err:522

Terminal Value Err:522

Discounted Terminal Value Err:522

Equity value Err:522Nos of shares in Mn 405.87Fair value of stock - DDM Err:522

Fair value CompositionPV of discounted Dividends Err:522Terminal Value Err:522

Relative valuaiotnsBV - Core Equity 32.0 Err:522 Err:522 Err:522 Err:522

Discounted Value 44.0 Err:522 Err:522 Err:522 Err:522

Surplus on Investments 4.8 0.6 0.6 0.6 0.6Discounted Value 6.6 0.6 0.6 0.5 0.4

Adjusted PBV Multiple - At Market Price 3.0 Err:522 Err:522 Err:522 Err:522


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Adjusted PBV Multiple - At Fair Value Err:522 Err:522 Err:522 Err:522 Err:522

Adjusted PE Multiple - At Market Price Err:522 15.1 Err:522 Err:522 Err:522

Adjusted PE Multiple - At Fair Value Err:522 Err:522 Err:522 Err:522 Err:522

Residual Income MethodPAT Err:522 2,683 Err:522 Err:522 Err:522Equity Charge 1,654 Err:522 Err:522 Err:522 Err:522Residual Income Err:522 Err:522 Err:522 Err:522 Err:522Discounted Value Err:522 Err:522 Err:522 Err:522 Err:522 Err:522Current Book Value 9,619

Terminal Value Err:522

Discounted Terminal Value Err:522

Equity value Err:522Nos of shares in Mn 405.87Value per share Err:522

Gain on investment 0.6

Fair value CompositionPV of discounted Residual Income Err:522Current Book value Err:522Discounted Terminal Value Err:522

AVERAGE QUOTED VALUE Err:522Market capitalization Err:522in USD Err:522


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Err:522 Err:522 Err:522 Err:522 Err:522Err:522 Err:522 Err:522 Err:522 Err:522Err:522 Err:522 Err:522 Err:522 Err:522Err:522 Err:522 Err:522 Err:522 Err:522


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Major equity investments - In MnName Nos of shares % holding Share price Market value (Mn)Allied bank Limited 19,651,327 140.00 2,751Sui Northern Gas Pipeline Limited 2,420,022 68.00 165Pakistan Strategic Allocation Fund 4,659,500 10.00 47Pakistan Telecommunication Ltd. 2,633,000 57.00 150Askari General Insurance 1,532,753

TOTAL 3,112


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Recorded price Recorded Value (Mn) Excess value21.38 420 2,331 11.63

9.76 24 141 0.7010.73 50 (3) (0.02)64.37 169 (19) (0.10)

7.30 11 --

674 2,449 12.22


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SHAREHOLDING PATTERNCategories Nos of shares %Individuals 45,798,727 22.9%

Investment Companies 19,622,299 9.8%

Financial Institutions 8,578,492 4.3%

Insurance companies 5,111,018 2.6%

AWT 94,764,280 47.3%

Foreign Shareholder 1,643,543 0.8%

Modarbas & Mutual Funds 3,467,475 1.7%

Joint Stock Companies 21,225,756 10.6%

Others 220,475 0.1%

TOTAL 200,432,064Free Float 50%


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58173844.xls

Rs. Mn

1Q 01 2Q 01 1H 01 3Q 01 4Q 01 2H 01 FY 01 1Q 02 2Q 02 1H 02 3Q 02 4Q 02 2H 02 FY INCOME STATEMENT

Gross Interest Income 14,868.0 14,868.0 22,248.4 22,248.4 #REF! 7,054.8 6,179.0 13,233.8 6,372.3 7,520.7 13,893.0

Less: Provisioning for NPL/Bad debt -600.0 -600.0 -1,100.0 -1,100.0 #REF! -306.0 -674.0 -980.0 -470.0 -372.2 -842.2

Less Interest Expense -9,765.1 -9,765.1 -14,320.8 -14,321 #REF! -4,593.7 -3,218.2 -7,811.9 -3,613.7 -3,272.9 -6,887

Net interest margin 5,102.9 5,102.9 7,927.6 7,927.6 #REF! 2,461.1 2,960.8 5,421.9 2,758.6 3,855.7 7,006.4

Non Interest income

Commission and brokerage 1,492.7 1,492.7 596.9 797.1 1,394.0 #REF! 504.1 904.9 1,408.9 621.3 1,106.8 1,728.1

Dividend Income 210.3 210.3 42.3 358.1 400.4 #REF! 5.4 116.0 121.4 413.2 382.4 795.6

Income from foreign currencyOther Income with capital gain

Total non interest income 1,759.8 1,759.8 999.0 1,742.8 2,741.8 #REF! 743.9 1,183.4 1,927.3 1,253.3 2,028.5 3,281.8

Total non-markup expenses -4,048.8 -4,048.8 -2,027.7 -2,195.6 -4,223.3 #REF! -1,825.3 -2,166.0 -3,991.3 -1,921.3 -3,857.9 -5,779.2

Staff Welfare Fund

Profit before tax 644.9 644.9 580.7 1,790.0 2,370.7 #REF! 934.2 1,353.9 2,288.0 1,529.0 2,227.7 3,756.8

Less: Provision for taxation -350.0 -350.0 -563.3 -953.8 -1,517.1 #REF! -646.0 -511.3 -1,157.3 -995.0 -1,639.1 -2,634.1

Profit after tax 294.9 294.9 17.4 836.2 853.6 #REF! 288.1 842.6 1,130.7 534.0 588.6 1,122.7 #

No. of shares #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF!

EPS #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF! #REF!

Effective tax rate -54% -0.5 -97% -53% #REF! -69% -38% -1.1 -65% -74%

As per current no. of shares 492 mn #REF! 0.41 1.19 0.75 0.83 #Balance Sheet Items

Askari Bank - Valuation Model

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