KARACHI: United Bank Limited reported consolidated earnings of Rs29.9 billion for the fourth quarter of 2025, translating into earnings per share of Rs11.9, up 15 per cent from a year earlier but 15 per cent lower than the previous quarter.
For the full year 2025, the bank posted earnings of Rs130 billion, with earnings per share of Rs51.9, marking a 73 per cent increase compared with 2024.UBL announced a final dividend of Rs8 per share, bringing total payout for 2025 to Rs29.5 per share.
According to a report by Topline Research, the fourth-quarter result fell short of industry expectations due to higher non-interest expenses.Operating costs rose 21 per cent year-on-year (YoY) and 34 per cent quarter-on-quarter (QoQ) to Rs43.6 billion in the final quarter.
The increase was mainly linked to branch expansion and marketing efforts. Total deposits nearly doubled, rising 96 per cent YoY to Rs5.2 trillion by December 2025.The bank’s cost-to-income ratio stood at 40 per cent in the fourth quarter, compared with 38 per cent a year earlier and 31 per cent in the third quarter. For the full year, the ratio improved to 33 per cent from 39 per cent in 2024.
Net interest income increased 38 per cent YoY to Rs94.1 billion in the fourth quarter, supported by higher current account deposits and improved returns on investments. However, non-interest income declined 42 per cent YoY as gains on securities fell sharply to Rs1.5 billion.The effective tax rate for the quarter was 55 per cent, compared with 53 per cent in the previous quarter, taking the full-year tax rate to 55 per cent versus 48 per cent in 2024.
