HABIB BANK LIMITED

Group Members :
Syed Sultan Ali
Omair Rehman
Azhar Akhtar
Syed Sagheer Abbas

Contents of Discussion
Mission
Statement
Introduction
History
Level of
Management

Contents of Discussion
(Cont..)

Environmental Challenges
Products & Services
Assets
Shares
Sponsors

Contents of Discussion
(Cont..)
Competitors
SWOT Analysis
Achievements

Mission Statement
To be recognized as the
leading financial institution
of Pakistan and dynamic
international bank in the
emerging
markets,
providing our customers
with a premium set of
innovative
product
and
services,
and
granting
superior
value
to
our
stakeholders, shareholders,
customers and employees.

INTRODUCTION
HBL establish itself in the Quaids
city (Karachi) on 8 August 1947.
Habib Bank Group is leader in
Pakistans Service Industry.
Extensive network of 1501
branches.
It was Privatized during the start
of 21st century in 2004.
Pioneer in providing innovative
services such as:
First installation of mainframe
computer in Pakistan.
Followed by ATM service and Internet
Banking facilities.

History
Young boy Ismail Habib reached Bombay in
search of
job.
Got job in utensils and non-ferrous metals.
Intelligent and keen to his work & selected as
President of the market.
Expanded business and engaged in Private
Banking.

Level of Management & Board

of Directors
President & CEO: Mr. Zakir Mehmood
Board of Directors
Mr. Zakir Mehmood (President & CEO)

Mr. Sultan Ali Allana (Chairman)

Level of Management &

Board of Directors
Mr. Ahmed Jawad

Mr. Sajid Zahid

Mr. Sikandar Mustafa

Level of Management &

Board of Directors

Mr. Mushtaq Malik

Mr. Moez Jamal

ENVIRONMENTAL CHALLENGES
A broad view of market is important when
management is interested in introducing
better services for customers. Factors that
influence buyers and thus change the size
and composition of market overtime
involves initially building customer profiles.
These influences include:

Political and Legal Environment

Economic Trends
Socio Cultural Environment
Technological Factors
Terrorism (Latest)

POLITICAL AND LEGAL

ENVIRONMENT

Banks are strongly affected by the political and

legal considerations.
This environment is composed of regulatory
agencies and government law that influence
and limit various organizations and individuals.
Mostly these laws create new opportunities for
business.
Business legislations has following purposes:
To protect banking companies from unfair competition.
To protect consumers from unfair business practices
adopted by banking companies
To protect the interest of the society from unbridled
business behavior.

Economic Trends
A banking market requires better
consumer market in volume along
with higher borrowing power. The
available borrowing power depends
on:
Consumer Income
Saving rates
Consumption Patrons
Rates of Interest
Budget Deficit
Exchange rates
Cost of living
Inflation

SOCIO-CULTURAL ENVIROMENT
A society is shaped by beliefs,
norms and values. People in a
society consciously and
unconsciously interact with:
Themselves
Others
Organization
Society
Nature

TECHNOLOGICAL FACTORS
The rate of
change of
technology has
greatly affected
the rate of growth
of economy.
New technology
is creating deep
rooted affects
which could be
observed in long
run.
The improvement
techniques
involved in on
line banking.

TERRORISM
It truly destroys the ongoing of
an organization, and hence
makes it difficult to achieve the
desired objectives or goals of
the company.
In Pakistan, the economy of the
country collapsed because of
the terrorist activities in the past
few years, especially in the most
affected areas like of Khyber
PakhtunKhuwa (KPK) and in the
present days, KARACHI
Due to terrorism not only HBL or
Banks only but all the business
sector of the country is affected

PRODUCTS
Following are some of the products and services that are provided by
the HBL

Products:
HBL Muhafiz Rupee Travelers Cheque
HBL Auto Finance
HBL Flexi Loans for salaried personnel
HBL Lifestyles Financing Scheme
HBL House Financing Loans
HBL Fast Transfer
Haryali Agricultural Loans
HBL E-Bank
Money club account

SERVICES

Retail Banking
Commercial
Banking
Corporate
Banking
International
Operations

RETAIL BANKING
RETAIL BANKING
Core strenght of
HBL with 1425
branches
Provides
diversified low
cost deposit base
Formed basis for
corporate and
investment
banking and
treasury activities

COMMERCIAL BANKING
COMMERCIAL
BANKING

On November 1, 2000
Commercial Banking
came into being
providing two-fold
objective of setting up
Commercial banking:
First to stop the erosion of
market share in the middle
market.
Second, to regain the lost
market share

CORPORATE BANKING
CORPORATE BANKING
This group serves large institutional customers who
require sophisticated products in an environment of
intense competition
This Group is now recognized as a market leader
& participates in most large structured finance deals

INTERNATIONAL OPERATIONS
First international branch was opened in 1951 in Colombo-Sri
Lanka:
The Banks branches in financial centers continue to
provide efficient trade settlement .
Also provide services to the entire network and business
with other banks

Assets
NOTE 20102009
(IN RUPEES)
Cash and balances with treasury banks 5
81,640,246
79,839,836
Balances with other banks 6
37,413,185
40,366,687
Lendings to financial institutions 7
30,339,344
5,352,873
Investments 8
254,909,116
216,467,523
Advances 9
459,750,012
454,662,499
Operating fixed assets 10
16,155,290
16,766,668
Deferred tax asset 11
9,572,203
9,205,944
Other assets 12
34,920,007
41,262,754
TOTAL

924,699,403

863,924,793

Shares
Total number of share holders= 113,506.
Total Shares=1,001,880,000 (More than 1 Billion).
Each Share of HBL= Rs.5.
Cost of per share in market= Rs.120.
It has a domestic market share of over (40%). It
also continues to dominate the commercial
banking sector with a major market share in
inward forward remittances (55%) and loans to
small industries, traders and farmers.

SPONSORS OF HBL
The following two are the main
sponsors of HBL:
Agha Khan Group (The biggest
sponsor of HBL (Habib Bank Limited)
with the most share i-e 51%).
Government and General Public (with
49%).

COMPETITORS OF HBL

NBA (National Bank Limited).

UBL (United Bank Limited).
MCB (Muslim Commercial Bank).
Allied Bank.
Standard Chartered.
Bank Alfalah.

1501 share
20%
branches
in financial
World wide
market.
Large Balance sheet size.
Largest
20%
share
commercial
in financial
bank.
market.
1501 branches
Largest
customer
World
base.
wide
Largest customer
Professional
and well
base.
trained staff.
Professional
Goodwill
& historical
and wellbackground.
trained staff.
Goodwillcommercial
Largest
& historicalbank.
background.

ACHIEVEMENTS IN 2008
Deposit growth for the year has been
12.5%
Net asset growth of the bank has been
19% over 2007.
HBLs consolidated Pre-tax profit for
2008 is Rs. 22.03 billion.
Profit after tax is Rs. 15.61 billion,
which translates into an earning per
share of Rs. 20.47.

ACHIEVEMENTS IN 2009
Deposit growth for the year has been 14.3%.
Net asset growth of the bank has been 27.2%
over 2008.
HBLs consolidated Pre-tax profit for 2009 is Rs.
21.4 billion.
The profit after tax is Rs. 13.4 billion, which
translates into an earning per share of Rs. 14.70.
The Bank announced a final cash dividend of Rs.
6.00 per share (60%) and bonus shares of 10%.

ACHIEVEMENTS IN 2010
Deposit growth has been Rs. 16.8
billion, total assets have grown by
Rs. 11.5 billion.
Net assets by Rs. 1.9 billion.
HBL's consolidated Pre-tax profit for
2010 is Rs. 12.8 billion.
The profit after tax is Rs. 7.9 billion,
which translates into an earning per
share of Rs. 7.70 showing increase of
26% over June 2009.

ACHIEVEMENTS IN 2011
Deposit has registered remarkable growth of 25%.
Net asset growth of the bank has been 14% over
2010.
HBLs consolidated Pre-tax profit for 2011 is Rs.34
billion.
Profit after tax is Rs. 22 billion, which translates
into an earning per share of Rs. 20.13. The Bank
announced a final cash dividend of Rs. 4 per share
(40%) and 1 bonus shares for every 10 shares
held (10%), which is in addition to the interim
dividend of Rs. 3 per share.

Thanks for the

Presentation