AB Bank incurs Tk1,758cr loss in H1

Business Report :

AB Bank, a listed private sector lender, witnesses financial distress in the first half of 2025, reporting a substantial loss of Tk1,758 crore, following a net loss of Tk1,906 crore in 2024.
During the January-June period of 2025, the bank’s loss per share surged to Tk19.63, compared to earnings per share (EPS) of Tk0.16 in the same period last year, according to its unaudited financial statements released on Sunday.
The lender attributed the steep loss primarily to a decline in net interest income, driven by lower earnings from loans and advances.
Despite the massive loss, AB Bank’s consolidated net operating cash flow per share turned positive by the end of June, rebounding from a heavily negative state in the first half. The bank said the improvement was supported by higher deposits from both customers and other banks. Its cash flow per share rose to Tk3.99 in June 2025, from negative Tk28.12 in the same period last year.
However, the bank’s consolidated net asset value (NAV) per share dropped into negative territory, standing at Tk12.33 as of June 2025, down from a positive Tk28.88 a year earlier.
Second Quarter Hit Hard
After incurring a Tk255 crore loss in the January-March quarter of 2025, or Tk2.85 per share, AB Bank’s financial performance worsened dramatically in the April-June quarter. The lender suffered a loss of Tk1,502.97 crore in three months, translating into a per share loss of Tk16.78.
In stark contrast, the bank had posted a profit of Tk3.58 crore in the second quarter of 2024, with an EPS of Tk0.04. Owing to these heavy losses, AB Bank did not declare any dividend for 2024, after paying a 2 per cent stock dividend in 2023.
By the end of 2024, the bank’s total deposits stood at Tk32,292 crore, loans and advances at Tk33,185 crore, and total assets at Tk40,987 crore, according to its annual report.