BML posts Rs4.7bn loss in 1HCY26

Bank Makramah Limited (PSX: BML) swung to a loss in the first half of 2026, with Mettis Global putting the deficit at Rs4.68bn for the six months to June 30. That compares with a restated profit of Rs704.47m in the same stretch of 2025. On a per-share basis, the company recorded a loss of Rs4.62, against earnings of Rs0.70 a year earlier.

The main driver was a sharp widening of net mark-up expense, which rose to Rs2.33bn from Rs358.79m, as interest income fell 60% to Rs4.08bn while interest expense dropped 40% to Rs6.41bn. Non-markup income also contracted 56% to Rs1.02bn, mainly because gains on securities fell 93% and other income dropped 91%. Foreign exchange income partly offset these declines, rising 242% to Rs388.67m.

Operating expenses rose 10% to Rs4.59bn, pushing the loss before credit loss allowance to Rs5.90bn. A charge of Rs321.91m for credit losses and write-offs contrasted with a Rs3.67bn provision reversal a year earlier, and the pre-tax loss reached Rs5.58bn. Taken together, these items left the bank with a final net loss of Rs4.68bn for the period.