IPDC Finance posts 45% profit growth in H1 2025

IPDC Finance PLC has reported a 45.3% year-on-year growth in net profit, reaching Tk150 million in the first half of 2025, mainly driven by improved investment income.

According to its unaudited financial statements, the non-bank financial institution's earnings per share (EPS) stood at Tk0.37 during the January–June period, compared to Tk0.25 in the same period last year.

Gross interest income rose by 9.9% to Tk4,643 million, while interest expenses jumped 22.8% to Tk3,690 million due to higher deposit costs, Bangladesh Bank's policy rate hikes, and challenging economic conditions. Investment income soared by 158.6% to Tk565 million, buoyed by better treasury returns and favourable capital market movements.

Operating income was Tk1,601 million, marking a 4.1% year-on-year growth, while operating income in the second quarter alone rose by 11.4% to Tk844 million.

By containing operating expense growth at 5% through strategic hiring and resource optimisation, the company recorded an operating profit of Tk820 million in H1'25, reflecting a 3.2% year-on-year growth. Operating profit in Q2 stood at Tk446 million, up by 19.5% from the previous quarter.

Net profit after tax stood at Tk114 million in April–June, up 33.8% from the same quarter last year.

Rizwan Dawood Shams, managing director of IPDC Finance PLC, said, "Despite challenges in the macroeconomic environment and rising funding costs, our strategic focus on treasury efficiency, risk management, and operational discipline enabled us to deliver solid results."

As of June 2025, IPDC's loans, leases, and investment portfolio grew by 6.8% from December 2024 to Tk84,384 million. Its investment portfolio expanded 36.4%, while loans and advances rose 2.7%. Customer deposits stood at Tk56,646 million, showing 9.4% growth over six months.

The company's net asset value (NAV) per share was Tk16.79, and net operating cash flow per share (NOCFPS) improved significantly to Tk8.53, from negative Tk9.29 in June 2024.