Amana Bank posts record 2025 profit as earnings surge on SME-driven growth

Amana Bank reported its strongest financial performance since inception, with profit before tax (PBT) rising 47percent to Rs. 4.1 billion in 2025, driven by robust financing growth and improved operational efficiency, the bank said.

Profit after tax (PAT) climbed 40percent to Rs. 2.4 billion, while operating profit before taxes rose 45percent year-on-year to Rs. 5.5 billion. Total operating income increased 16percent to Rs. 10.1 billion, supported by a 21percent rise in net financing income to Rs. 8.3 billion and a 27percent jump in fee and commission income to Rs. 1.4 billion.

The bank’s balance sheet expansion was underpinned by a strong push into small and medium enterprises (SMEs), with customer advances rising 36percent to Rs. 150.9 billion, accounting for 74 percent of total assets. Deposits grew by Rs. 18 billion to Rs. 172 billion, while total assets increased 12percent to Rs. 204.3 billion.

Asset quality remained among the strongest in the industry, with Stage 3 impaired financing at 1.2percent, as the bank maintained tight risk controls. Efficiency gains were reflected in the cost-to-income ratio improving to 51.8percent from 53percent a year earlier.

Returns also strengthened, with return on equity reaching 10.4percent, entering double-digit territory for the first time, while return on assets rose to 2.1percent. Capital and liquidity buffers remained well above regulatory thresholds, signalling continued financial resilience.

Chairman Asgi Akbarally said 2025 marked a “defining chapter” for the bank, highlighting the crossing of the Rs. 4 billion PBT milestone and improved profitability metrics as evidence of a maturing business model.

Managing Director/CEO Mohamed Azmeer said the performance reflected stronger market positioning, disciplined execution and a continued focus on customer-centric, development-oriented banking.

The bank, which operates under a non-interest-based model, declared its eighth consecutive interim dividend of Rs. 1.30 per share. Its share price rose over 20 percent during the year to close at Rs. 30.00, reflecting investor confidence in its growth trajectory.