Bank Alfalah Limited is restructuring its share capital. The Board of Directors recently proposed a 2-for-1 share split to change the bank’s stock accessibility. This decision aims to reduce the face value of each share from Rs. 10 to Rs. 5.
Understanding the Share Split
Under this proposed restructuring, shareholders will receive two shares for every single share they currently hold. However, this change remains subject to final approval. To facilitate this transition, the bank plans to amend its Memorandum and Articles of Association. This formal update will officially reflect the new share structure and face value.
Bank Alfalah Financial Performance & Profitability
The bank also released its financial results for the year ended December 31, 2025. Bank Alfalah reported a total profit of Rs. 27.80 billion for the year. This figure shows a decline compared to the Rs. 39.86 billion profit recorded in the previous year.
Consequently, the Earnings Per Share (EPS) also faced downward pressure. The EPS dropped to Rs. 17.62 from the previous year’s Rs. 25.27. These figures indicate a visible squeeze on the bank’s overall profitability during the last fiscal year.
Dividend Payouts for Shareholders
Despite the decline in annual profit, the board has announced rewards for its investors. The bank declared a final cash dividend of Rs. 3 per share, which is equivalent to 30%. This final payout comes in addition to three interim dividends of 25% each that the bank already distributed during the year.
