Meezan Bank LTD

Meezan Bank
The Premier Islamic Bank

Best Bank
in Pakistan 2020
1'81(i:71317471g by
FORM-8
October 28, 2022 MEBL/CS/PSX-17/164/2022
The General Manager

Pakistan Stock Exchange Limited
Stock Exchange Building
Stock Exchange Road
Karachi.
TRANSMISSION OF QUARTERLY REPORT OF MEEZAN BANK LIMITED FOR THE

PERIOD ENDED SEPTEMBER 30, 2022
We have to inform you that the Quarterly Report of Meezan Bank for the period ended
September 30, 2022 have been transmitted through PUCARS and is also available on Bank's website.
You may please inform the THE Certificate Holders of the Exchange accordingly.
Yours Sincerely,
mad Sohai an
Company Secretary
°
Encl: As above.
Meezan Bank Ltd.

Head Office: Meezan House, C-25, Estate Avenue, SITE, Karachi - Pakistan.
PABIC: (92-21) 38103500 UAN: 111-331-331 & 111-331-332 www.meezanbank.com
CONTENTS
Corporate Information 03
Directors' Review 04
Condensed Interim Unconsolidated Statement of Financial Position 12
Condensed Interim Unconsolidated Profit and Loss Account 13
Condensed Interim Unconsolidated Statement of Comprehensive Income 14
Condensed Interim Unconsolidated Statement of Changes in Equity 15
Condensed Interim Unconsolidated Cash Flow Statement 16
Notes to and Forming Part of the

Condensed Interim Unconsolidated Financial Statements 17
Condensed Interim Consolidated Statement of Financial Position 50
Condensed Interim Consolidated Profit and Loss Account 51
Condensed Interim Consolidated Statement of Comprehensive Income 52
Condensed Interim Consolidated Statement of Changes in Equity 53
Condensed Interim Consolidated Cash Flow Statement 54
Notes to and Forming Part of the

Condensed Interim Consolidated Financial Statements 55
CO R P O R AT E I N F O R M AT I O N
AS OF SEPTEMBER 30, 2022
Board of Directors Riyadh S. A. A. Edrees Chairman

Faisal A. A. A. Al-Nassar Vice Chairman
Bader H. A. M. A. Al-Rabiah
Mubashar Maqbool
Faisal Fahad Al-Muzaini
Naveed Iftikhar Sherwani
Mohamed Guermazi
Mohammad Abdul Aleem
Nausheen Ahmad
Yousef S.M.A Al-Saad
Irfan Siddiqui President & CEO
Shariah Board Justice (Retd.) Muhammad Taqi Usmani Chairman

Dr. Muhammad Imran Ashraf Usmani Vice Chairman
Sheikh Esam Mohamed Ishaq
Mufti Muhammad Naveed Alam
Management Irfan Siddiqui President & CEO

Ariful Islam Deputy CEO
Board Audit Committee Mohammad Abdul Aleem

Faisal A.A.A. Al-Nassar
Mohamed Guermazi
Mubashar Maqbool
Board Risk Faisal A. A. A. Al-Nassar

Management Committee Mubashar Maqbool
Bader H. A. M. A. Al-Rabiah
Yousef S.M.A Al-Saad
Board Human Resources, Riyadh S. A. A. Edrees

Remuneration & Compensation Mohammad Abdul Aleem
Committee Nausheen Ahmad
Board Information Mubashar Maqbool

Technology Committee Riyadh S. A. A. Edrees
Faisal A. A. A. Al-Nassar
Irfan Siddiqui
Board IFRS 9 Implementation Riyadh S. A. A. Edrees

Oversight Committee Faisal Fahad Al-Muzaini
Irfan Siddiqui
Resident Shariah Board Member Mufti Muhammad Naveed Alam
Chief Financial Officer Syed Imran Ali Shah
Company Secretary Muhammad Sohail Khan
Auditors A. F. Ferguson & Co., Chartered Accountants
Legal Adviser Haidermota & Co. Advocates
Registered Office Meezan House

and Head Office C-25, Estate Avenue, SITE, Karachi - 75730, Pakistan
Phone: (92-21) 38103500, 37133500, Fax: (92-21) 36406056
24/7 Call Centre: (92-21) 111-331-331 & 111-331-332
E-mail [email protected]
Website www.meezanbank.com
www.meezanbank.pk
Shares Registrar THK Associates (Pvt.) Ltd

Plot No, 32-C, Jami Commercial, Street 2,
DHA, Phase VII, Karachi - 75500, Pakistan
Phone: (92-21) 111-000-322, 35310191-6 Fax: (92-21) 35310191
Email: [email protected], [email protected]
Website: www.thk.com.pk
MEBL SEP-2022
DIRECTORS' R E V I E W
The Board of Directors is pleased to present the condensed interim unaudited financial
statements of Meezan Bank Limited and consolidated financial statements for the nine
months ended September 30, 2022.
Economy
After staging an impressive GDP growth of 6.0% in FY22, Pakistan's economy is expected to
slow down in FY23 due to economic challenges – as the balance of payments pressures,
fiscal slippages, high inflation, restrictions on non-essential imports, and resumption of IMF
program have triggered sharp monetary and fiscal tightening. The tough global macro
environment arising out of Russia–Ukraine conflict and commodity super cycle – particular-
ly oil prices have added to economic imbalances. Domestic inflation rose substantially,
which prompted the State Bank of Pakistan (SBP) to tighten monetary policy by raising the
policy rate to 15 percent. The situation was further exacerbated by the unprecedented flood-
ing in Pakistan during the 3rd Quarter resulting in more than 30 million people being
rendered homeless and over eight hundred thousand heads of cattle washed away. Agricul-
ture, especially in the province of Sind has also been very badly affected.
To fill the widening fiscal gap, the Federal Government has increased the income taxes on
select corporate sectors, including the banking industry, through the Federal Budget
2022-23. The International Monetary Fund’s (IMF) Executive Board also completed its
combined seventh and eighth reviews of the Extended Arrangement under the Extended
Fund Facility (EFF) for Pakistan and disbursed US$1.1 billion which strengthened the coun-
try’s foreign exchange reserves.
The Federal Board of Revenue’s (FBR) budgeted revenue target for the first quarter of the
current financial year has been surpassed. Pakistan Rupee–US Dollar parity has improved
lately while commodity prices have started coming down. Pakistan’s anticipated removal
from the Financial Action Task Force (FATF) grey list should also bode well for the economy.
We are hopeful that the Government’s focus to address domestic and external imbalances
and commitment to implementing fiscal discipline in the country will lay the foundation for
inclusive and sustainable growth.
Our performance
By the grace of Allah, Meezan Bank continued to deliver strong financial results during the
nine months ended September 30, 2022. Profit after tax registered a growth of 46% to Rs
28.6 billion from Rs 19.6 billion in corresponding period last year. This was achieved despite
the higher taxation charge levied under the Finance Act 2022 by the Federal Government –
the effective tax rate for the period ended September 30, 2022 increased to 49% versus 40%
in September 2021.
Basic Earnings per Share for the nine months period, on enhanced share capital of Rs 17.9
billion, increased to Rs 15.98 per share from Rs 10.93 per share in September 2021. The Bank
remains sufficiently capitalized with Capital Adequacy Ratio (CAR) of 19.19% – well above
the minimum regulatory requirement. We are pleased to inform you that the Board has
approved Rs 2.00 (2.00%) interim cash dividend for the third quarter. This brings the total
dividend payout for the nine months period to Rs 5.50 (55%) as Rs 3.50 per share (35%)
interim cash dividend was paid for the first half of 2022. This is in addition to the 10% bonus
shares issued in the last quarter.
The Financial Highlights of Meezan Bank are given below:
Rupees in millions
Statement of Financial Position September 30, December 31, Growth %

2022 2021
Total Assets 2,446,915 1,902,971 29%
Investments 1,243,737 620,132 101%
Sovereign 1,220,117 594,101 105%
Others 23,620 26,031 (9%)
Islamic financing and related assets - Gross 872,628 777,295 12%

Deposits 1,657,916 1,455,886 14%
ADR (Gross Advances to Deposits)- % 53% 53%
Equity 103,795 86,558 20%
Rupees in millions
Profit & Loss Account Jan - Sep Jan - Sep Growth %

2022 2021
Profit / return earned on financing,
investments and placements 153,879 77,615 98%
Profit on deposits and other dues expensed (76,730) (29,096) 164%
Net spread earned 77,149 48,519 59%
Fee, commission and other non -funded income 15,046 10,267 47%
Operating income 92,195 58,786 57%
Operating and other expenses (34,077) (25,583) 33%
Provision against NPLs and others - net (1,735) (553) 214%
Profit before tax 56,383 32,650 73%
Taxation (27,787) (13,084) 112%
Profit after tax 28,596 19,566 46%
Earnings per share - Rupees - on enhanced share capital 15.98 10.93 46%
Number of branches 940 849 11%
Return on financings, investments and placements increased by 98% to Rs 153.9 billion from
Rs 77.6 billion in the corresponding period last year, contributed by both a higher volume of
earning assets and a higher benchmark Policy Rate which, on average, increased from 7.01%
in the corresponding period last year to 12.47% during the nine months ended September
2022. On the other hand, the return on deposits and other dues recorded an increase of
164% closing at Rs 76.7 billion from Rs 29.1 billion in the corresponding period last year.
The Bank’s operating and other expenses also increased by 33% to Rs 34 billion from Rs 25.6
billion, primarily due to an increase in costs associated with the opening of 91 new branches
since September 2021, a substantial rise in inflation, and a steep rupee devaluation. Howev-
er, it is heartening to note that notwithstanding the increase in operating and other expens-
es, the Bank’s income efficiency ratio improved to 37% from 44% in the corresponding
period last year on the back of its continued focus on cost rationalization and efficient
operating cycle.
The total assets of the Bank reached Rs 2.45 trillion, after registering a growth of 29% (Rs 544
billion), from December 2021 levels of Rs 1.91 trillion. The investment portfolio of the Bank
doubled, growing to Rs 1.2 trillion from Rs 620 billion last year, after an investment of more
than Rs 600 billion in GoP Ijarah Sukuk. The resumption of GoP Ijarah Sukuk has provided
necessary liquidity deployment instruments for the Islamic Banking Industry and we are
hopeful that this program will remain in place in line with SBP’s 5 year strategic plan to grow
the Islamic Banking Industry.
The Bank was able to grow its gross financings book to Rs 873 billion – a increase of 12% over
Rs 777 billion in December 2021. The growth is well-distributed across all segments in line
with the Bank’s strategic objective to maintain a high-quality diversified asset portfolio
spread across top-tier corporates, mid-tier commercials, small and medium-sized entities
and consumer segments. The Bank is also actively extending Islamic financing under export
refinance, long-term financing facility, financing for renewable energy, temporary economic
refinance for plant and machinery, SME Asaan Finance, etc.
During the nine months ended 30th September 2022, the Bank made an additional general
provision of Rs 1.75 billion against potential non-performing financings and decline in
borrowers’ repayment capacity given the current economic slowdown and the impact of the
recent unprecedented floods. The Bank’s non-performing financing ratio has slightly
improved to 1.5% against an overall banking industry average of around 7%. The Bank main-
tains a comfortable level of provisions against its non-performing financings with a cover-
age ratio of 154% - one of the highest in the Banking industry. The Bank does not foresee any
adverse impact as a result of its implementation of IFRS 9.
As part of its deposit management strategy, the Bank’s current account deposit recorded a
growth of 17% from the last year-end to close at Rs 781 billion. Current account deposits
now represent 47% – a substantial part of its total deposit base. The Bank’s saving accounts
also crossed Rs 595 billion bringing its total CASA deposits to 83% of total deposits, amount-
ing to Rs 1.37 trillion as of September 30, 2022 vs Rs 1.21 trillion last year. On an overall basis,
the deposits of the Bank grew by 14% or Rs 202 billion closing at Rs 1.66 trillion as of 30th
September 2022 from Rs 1.46 trillion last year. The Bank continues to maintain its leadership
in Roshan Digital Accounts (RDA) with a market share of 25% in terms of total inflows
through this channel, representing $1.2 billion in foreign remittances.
The Bank continues to focus on a hybrid growth model underpinned by expanding its physi-
cal presence in underserved areas of the country whilst simultaneously augmenting its
digital footprint through innovative offerings and smooth channel migration. The Bank has
added 38 new branches to its network since December 2021, bringing its branch network
size to 940 branches with a presence in more than 307 cities. 61 new ATMs were also added
over the same period and the Bank now operates with an extensive network of 1,000 plus
ATMs. Meezan recently launched Pakistan’s first digital supply chain financing platform
‘Wisaaq’ that digitizes business payments to enable a cashless and digital supply chain for
distributors, enabling them to avail Shariah-compliant financing facilities to meet their work-
ing capital requirements. The Bank’s acquiring business has also expanded to 212 cities in
the country which would foster and accelerate the digital payments landscape of the country.
VIS Credit Rating Company Limited has reaffirmed the entity ratings of the Bank at
‘AAA/A-1+’ (Triple A/ A-One Plus) which denotes the highest credit quality, with negligible
risk factors. The outlook on the assigned ratings is ‘Stable’.
Outlook
The Bank remains committed to contributing to the economic growth and stability of the
country by strengthening the Islamic Banking Industry (IBI) and assisting the government to
shift toward Shariah-compliant banking solutions in line with the SBP’s strategic vision to
increase the market share of IBI to 30% by 2025 from its current level of around 20%. The
Bank will continue to strengthen its equity base in line with its future growth plans while
maintaining adequate buffers over regulatory requirements.
The Board would like to express its sincere thanks and gratitude to the State Bank of
Pakistan, the Securities and Exchange Commission of Pakistan, and the Ministry of Finance
for their continuous commitment to establishing a viable Islamic financial system in the
country. We would also like to thank our shareholders, Board members, Members of the
Shariah Board, holders of Additional Tier I Sukuk and Sub-ordinated Sukuk (Tier II) and each
one of our staff members for their hard work, commitment and support without which these
results would not have been made possible. Most importantly, we are thankful to Allah
Almighty for His blessings on our Bank which have enabled us to achieve this in a very short
period. We pray that He gives us more strength and wisdom to further expand our Vision of
establishing Islamic banking as banking of first choice in Pakistan.
On behalf of the Board
Irfan Siddiqui
Riyadh S.A.A. Edrees President & CEO
Chairman
Karachi:
October 19, 2022
CONDENSED INTERIM UNCONSOLIDATED
STATEMENT OF FINANCIAL POSITION
AS AT SEPTEMBER 30, 2022
Note September 30, December 31,
2022 2021
(Unaudited) (Audited)
ASSETS Rupees in 000
Cash and balances with treasury banks 6 152,413,160 170,500,698

Balances with other banks 7 13,187,682 16,420,036
Due from financial institutions - net 8 35,964,299 238,401,637
Investments - net 9 1,243,737,014 620,132,043
Islamic financing and related assets - net 10 852,338,939 758,086,120
Fixed assets 11 39,259,109 33,957,947
Intangible assets 12 1,791,544 1,495,810
Deferred tax assetsS 13 3,797,659 175,555
Other assets - net 14 104,425,184 63,801,554
2,446,914,590 1,902,971,400
LIABILITIES
Bills payable 15 42,638,472 36,141,378

Due to financial institutions 16 505,307,507 220,414,234
Deposits and other accounts 17 1,657,916,371 1,455,886,468
Sub-ordinated Sukuk 18 20,990,000 20,990,000
Other liabilities 19 116,267,060 82,981,545
2,343,119,410 1,816,413,625
NET ASSETS 103,795,180 86,557,775
REPRESENTED BY
Share capital 17,896,243 16,269,312

Reserves 26,461,434 23,393,198
Unappropriated profit 58,806,861 42,831,655
Surplus on revaluation of assets - net of tax 20 630,642 4,063,610
103,795,180 86,557,775
CONTINGENCIES AND COMMITMENTS 21
The annexed notes 1 to 37 form an integral part of these condensed interim unconsolidated financial statements.
Riyadh S. A. A. Edrees Irfan Siddiqui Faisal A. A. A. AINassar Mohammad Abdul Aleem Syed Imran Ali Shah
Chairman President& Chief Executive Director Director Chief Financial Officer
PROFIT AND LOSS ACCOUNT (UNAUDITED)
FOR THE QUARTER AND NINE MONTHS PERIOD ENDED SEPTEMBER 30, 2022
Note Quarter Nine months Quarter Nine months

ended period ended ended period ended
September 30, September 30, September 30, September 30,
2022 2022 2021 2021
Rupees in 000
Profit / return earned on Islamic financing and

related assets, investments and placements 22 65,582,358 153,878,806 27,498,562 77,615,000
Profit on deposits and other dues expensed 23 33,855,422 76,729,876 10,185,340 29,096,456
Net spread earned 31,726,936 77,148,930 17,313,222 48,518,544
OTHER INCOME
Fee and commission income 24 3,438,653 9,600,144 2,506,984 6,608,816
Dividend income 128,466 552,119 160,527 573,269
Foreign exchange income 734,743 3,866,649 543,966 2,149,005
(Loss) / Gain on securities - net 25 (104,612) 76,999 80,938 339,009
Other income 26 190,759 950,300 164,579 597,772
4,388,009 15,046,211 3,456,994 10,267,871
Total income 36,114,945 92,195,141 20,770,216 58,786,415
OTHER EXPENSES
Operating expenses 27 12,279,116 32,744,892 8,587,719 24,847,146
Workers Welfare Fund 506,021 1,242,851 245,231 729,344
Other charges 28 83,091 89,024 1,608 6,524
Total other expenses 12,868,228 34,076,767 8,834,558 25,583,014
Profit before provisions 23,246,717 58,118,374 11,935,658 33,203,401
Provisions and write offs - net 29 545,866 1,735,254 120,527 553,418
Extra ordinary/ unusual items
Profit before taxation 22,700,851 56,383,120 11,815,131 32,649,983
Taxation 30 11,223,605 27,786,725 4,856,713 13,083,633
Profit after taxation 11,477,246 28,596,395 6,958,418 19,566,350
Rupees
Restated
Basic earnings per share 31 6.41 15.98 3.89 10.93
Diluted earnings per share 31 6.41 15.97 3.89 10.93
STATEMENT OF COMPREHENSIVE INCOME (UNAUDITED)
Note Quarter Nine months Quarter Nine months

2022 2022 2021 2021
Rupees in 000
Profit after taxation for the period 11,477,246 28,596,395 6,958,418 19,566,350
Other comprehensive income
Items that may be reclassified to
profit and loss account in subsequent periods:
Surplus / (deficit) on revaluation of investments 20 2,515,957 (5,555,197) (391,688) 927,290
Deferred tax on revaluation of investments 20 (1,081,862) 2,123,812 144,821 (739,120)
1,434,095 (3,431,385) (246,867) 188,170
Items that will not be reclassified to profit and
loss account in subsequent periods:
Surplus on revaluation of non - banking assets - -
Deferred tax on revaluation of non - banking assets 20 - (1,544) (1,227)
- (1,544) - (1,227)
Other Comprehensive income/ (loss) for the period 1,434,095 (3,432,929) (246,867) 186,943
Total Comprehensive Income for the period 12,911,341 25,163,466 6,711,551 19,753,293
STATEMENT OF CHANGES IN EQUITY ( U N AU D I T E D)
FOR THE NINE MONTHS PERIOD ENDED SEPTEMBER 30, 2022
Revenue Surplus / (deficit) on
Capital reserves
reserve Unappro- revalution of
priated Total
Share Share Statutory Non - Employee General profit Investments Non-
capital premium reserve * Distributable share option reserve banking
Capital Reserve compensation Assets
- Gain on Bargain reserve
Purchase
Rupees in 000
Balance as at January 01, 2021 14,147,228 2,406,571 14,833,341 3,117,547 - 66,766 29,021,521 5,542,351 19,941 69,155,266
Profit after taxation for the nine months period
ended September 30, 2021 - - - - - - 19,566,350 - - 19,566,350
Other Comprehensive income for the nine months period
ended September 30, 2021 - net of tax - - - - - - - 188,170 (1,227) 186,943
- - - - - - 19,566,350 188,170 (1,227) 19,753,293
Other appropriations
Transfer to statutory reserve - - 1,956,635 - - - (1,956,635) - - -
Issue of bonus shares @ 15% 2,122,084 - - - - - (2,122,084) - - -
Final cash dividend for the year 2020 @ Rs 2 per share - - - - - - (2,829,446) - - (2,829,446)
First Interim cash dividend for the year 2021 @ Rs 1.5 per share - - - - - - (2,122,085) - - (2,122,085)
Second Interim cash dividend for the year 2021 @ Rs 1.5 per share - - - - - - (2,122,085) - - (2,122,085)
Balance as at September 30, 2021 16,269,312 2,406,571 16,789,976 3,117,547 - 66,766 37,435,536 5,730,521 18,714 81,834,943
Profit after taxation for the quarter ended December 31, 2021 8,788,807 8,788,807
Other Comprehensive loss for the quarter ended
December 31, 2021 - net of tax (73,503) (1,690,444) 4,912 (1,759,035)
8,715,304 (1,690,444) 4,912 7,029,772
Transfer from surplus in respect of incremental depreciation of
Non-banking assets to unappropriated profit - net of tax 93 (93)
Transfer to statutory reserve 878,881 (878,881)
Recognition of share based compensation 133,457 133,457
Transactions with owners recognised directly in equity
Third Interim cash dividend for the year 2021@ Rs 1.5 per share (2,440,397) (2,440,397)
Balance as at December 31, 2021 16,269,312 2,406,571 17,668,857 3,117,547 133,457 66,766 42,831,655 4,040,077 23,533 86,557,775
Profit after taxation for the nine months period

ended September 30, 2022 28,596,395 - - 28,596,395
ended September 30, 2022 - net of tax - (3,431,385) (1,544) (3,432,929)
28,596,395 (3,431,385) (1,544) 25,163,466
Transfer from surplus in respect of incremental depreciation of
Non-banking assets to unappropriated profit - net of tax - - - - - - 39 - (39) -
Transfer to statutory reserve - - 2,859,640 - - - (2,859,640) - - -
Recognition of share based compensation - - - - 208,596 - - - - 208,596
Issue of bonus shares @ 10% 1,626,931 - - - - - (1,626,931) - - -
Final cash dividend for the year 2021 @ Rs 1.5 per share - - - - - - (2,440,397) - - (2,440,397)
First Interim cash dividend for the year 2022 @ Rs 1.75 per share - - - - - - (2,847,130) - - (2,847,130)
Second Interim cash dividend for the year 2022 @ Rs 1.75 per share - - - - - - (2,847,130) - - (2,847,130)
Balance as at September 30, 2022 17,896,243 2,406,571 20,528,497 3,117,547 342,053 66,766 58,806,861 608,692 21,950 103,795,180
*This represents reserve created under section 21(i)(b) of the Banking Companies Ordinance, 1962.
C A S H F LO W S TAT E M E N T ( U N AU D I T E D)
Note Nine months Nine months

period ended period ended
September 30, September 30,
2022 2021
Rupees in 000
CASH FLOW FROM OPERATING ACTIVITIES
Profit before taxation 56,383,120 32,649,983
Less: Dividend income (552,119) (573,269)
55,831,001 32,076,714
Adjustments for non-cash charges and other items:
Depreciation 2,219,330 1,786,173
Amortization 328,697 262,331
Non cash items related to right of use assets 3,230,394 2,371,360
Provisions and write offs - net 1,735,254 553,418
Recognition of share based compensation 208,596 -
Gain on sale of fixed assets (170,862) (77,210)
7,551,409 4,896,072
63,382,410 36,972,786
Decrease / (increase) in operating assets
Due from financial institutions 202,437,338 (26,405,391)
Islamic financings and related assets (95,327,620) (92,038,055)
Other assets (40,675,142) (21,016,688)
66,434,576 (139,460,134)
Increase / (decrease) in operating liabilities
Bills payable 6,497,094 13,322,937
Due to financial institutions 284,893,273 44,749,695
Deposits and other accounts 202,029,903 89,726,084
Other liabilities 21,208,229 13,636,049
514,628,499 161,434,765
644,445,485 58,947,417
Income tax paid (18,861,458) (11,276,513)
Net cash flow from operating activities 625,584,027 47,670,904
CASH FLOW FROM INVESTING ACTIVITIES
Net investments in securities (629,723,862) (41,259,212)
Dividends received 506,872 491,834
Investments in fixed assets (8,968,183) (4,199,642)
Investments in intangible assets (624,431) (759,031)
Proceeds from sale of fixed assets 296,573 132,778
Net cash used in investing activities (638,513,031) (45,593,273)
CASH FLOW FROM FINANCING ACTIVITIES
Payment of lease liability against right-of-use assets (2,598,286) (2,248,191)
Dividend paid (5,792,602) (5,998,353)
Net cash used in financing activities (8,390,888) (8,246,544)
Decrease in cash and cash equivalents (21,319,892) (6,168,913)
Cash and cash equivalents at the beginning of the period 32 186,920,734 155,688,374
Cash and cash equivalents at the end of the period 32 165,600,842 149,519,461
NOTES TO AND FORMING PART OF THE CONDENSED INTERIM UNCONSOLIDATED
F I N A N C I A L S TAT E M E N T S ( U N A U D I T E D )
1 LEGAL STATUS AND NATURE OF BUSINESS
1.1 Meezan Bank Limited (the Bank) was incorporated in Pakistan on January 27, 1997, as a public
limited company under the Companies Act, 2017 (previously Companies Ordinance, 1984), and
its shares are quoted on the Pakistan Stock Exchange Limited. The Bank was registered as an
‘Investment Finance Company’ on August 8, 1997, and carried on the business of investment
banking as permitted under SRO 585(I)/87 dated July 13, 1987, in accordance and in conformity
with the principles of Islamic Shariah. A ‘Certificate of Commencement of Business' was issued to
the Bank on September 29, 1997.
1.2 The Bank was granted a ‘Scheduled Islamic Commercial Bank’ license on January 31, 2002 and
formally commenced operations as a Scheduled Islamic Commercial Bank with effect from
March 20, 2002, on receiving notification in this regard from the State Bank of Pakistan (the SBP)
under section 37 of the State Bank of Pakistan Act, 1956. Currently, the Bank is engaged in corporate,
commercial, consumer, investment and retail banking activities.
1.3 The Bank was operating through nine hundred and forty branches as at September 30, 2022
(December 31, 2021: nine hundred and two branches). Its registered office is at Meezan House,
C-25, Estate Avenue, SITE, Karachi, Pakistan.
1.4 Based on the financial statements of the Bank for the year ended December 31, 2021, the VIS Credit
Rating Company Limited has reaffirmed the Bank's medium to long-term as 'AAA' and the short-
term rating as "A1+".
2 BASIS OF PRESENTATION
The Bank provides Islamic financing and related assets mainly through Murabaha, Istisna, Tijarah,
Ijarah, Diminishing Musharakah, Running Musharakah, Bai Muajjal, Musawammah, Service Ijarah,
Wakalah, Wakalah Tul Istithmar, and Export Refinance under Islamic Export Refinance Scheme and
various long term refinancing facility of the State Bank of Pakistan.
The purchases and sales arising under these arrangements are not reflected in these financial
statements as such but are restricted to the amount of facility actually utilised and the appropriate
portion of profit thereon. The income on such financing is recognised in accordance with the
principles of Islamic Shariah. However, income, if any, received which does not comply with the
principles of Islamic Shariah is recognised as charity payable if so directed by the Resident Shariah
Board Member (RSBM) of the Bank.
3 STATEMENT OF COMPLIANCE
3.1 This condensed interim financial statements (here-in-after referred to as "financial statements")
has been prepared in accordance with the accounting and reporting standards as applicable in
Pakistan for interim financial reporting. The accounting and reporting standards as applicable in
Pakistan for interim financial reporting comprise of:
- International Accounting Standard (IAS) 34, Interim Financial Reporting, issued by the International
Accounting Standards Board (IASB) as notified under the Companies Act, 2017;
- Islamic Financial Accounting Standards (IFAS) issued by the Institute of Chartered Accountants
of Pakistan as are notified under the Companies Act, 2017;
- Provisions of and directives issued under the Banking Companies Ordinance, 1962 and the
Companies Act, 2017; and
- Directives issued by the State Bank of Pakistan (SBP) and the Securities Exchange Commission
of Pakistan (SECP).
Whenever the requirements of the Banking Companies Ordinance, 1962, the Companies Act, 2017
or the directives issued by the SBP and the SECP differ with the requirements of IAS 34, the
requirements of the Banking Companies Ordinance, 1962, the Companies Act, 2017 and the said
directives, shall prevail.
3.2 Significant accounting policies and financial risk management
The significant accounting policies and methods of computation adopted in the preparation of
this condensed interim financial statements are consistent with those applied in the preparation
of the audited annual financial statements of the Bank for the year ended December 31, 2021.
3.2.1 The financial risk management objectives and policies adopted by the Bank are consistent with
those disclosed in the unconsolidated financial statements for the year ended December 31, 2021.
3.3 Amendments to approved accounting standards that are effective in the current period
There are certain new and amended standards that became effective during the period (enumerated
in note 3.5 to the annual financial statement of the Bank for the year ended December 31, 2021).
However, such standards did not have any significant effect on this condensed interim
unconsolidated financial statements.
3.4 Standards, interpretations of and amendments to approved accounting standards that are
not yet effective
As referred to in note 3.5 to the annual financial statements of the Bank for the year ended
December 31, 2021, there are certain amendments to the financial reporting standards which
would become effective from the next financial year, however such amendments are not expected
to have a material effect on the Bank's financial statements of the period of initial application.
IFRS 9 'Financial Instruments' - IFRS 9 replaced the existing guidance in IAS 39 Financial Instruments:
Recognition and Measurement. IFRS 9 includes revised guidance on the classification and
measurement of financial instruments and a new expected credit loss model for calculating impairment
on financial assets. The SBP vide its BPRD Circular Letter No. 03 of 2022 dated July 05, 2022 extended
the implementation date of IFRS 9 to January 01, 2023 from an earlier implementation date of
January 01, 2022. Moreover, SBP has also issued application instructions on IFRS 9 for banks in
Pakistan along with the requirements to conduct quarterly parallel run reporting for the year 2022
and the Bank is in the process of complying the same.
4 BASIS OF MEASUREMENT
4.1 This condensed interim unconsolidated financial statements has been prepared under the
historical cost convention except that certain available for sale investments, foreign currency
balances, Non-banking assets acquired in satisfaction of claims and commitments in respect of
certain foreign exchange contracts have been marked to market and carried at fair value in
accordance with the requirements of the SBP. In addition, obligation in respect of staff retirement
benefit and employees compensated leave balances are carried at present value.
4.2 Functional and presentation currency
This condensed interim unconsolidated financial statements has been presented in Pakistani
Rupee, which is the Bank's functional and presentation currency.
4.3 Rounding off
Figures have been rounded off to the nearest thousand rupees unless otherwise stated.
5 CRITICAL ACCOUNTING ESTIMATES AND JUDGEMENTS
The basis and the methods used for critical accounting estimates and judgments adopted in this
condensed interim financial statements are same as those applied in the preparation of the annual
financial statements of the Bank for the year ended December 31, 2021.

2022 2021
6 CASH AND BALANCES WITH TREASURY BANKS
Rupees in 000
In hand
- local currency 38,511,530 36,028,760
- foreign currencies 2,006,704 2,821,769
40,518,234 38,850,529
With the State Bank of Pakistan in
- local currency current accounts 6.1 69,761,486 70,308,704
- foreign currency current accounts 6.1 6,224,539 10,259,746
75,986,025 80,568,450
With the National Bank of Pakistan in
- local currency current accounts 35,878,400 50,668,296
National Prize Bonds 6.2 30,501 413,423

152,413,160 170,500,698
6.1 These include local and foreign currency amounts required to be maintained by the Bank with the
SBP as stipulated by the SBP. These accounts are non-remunerative in nature.
6.2 These represent the national prize bonds received from customers for onward surrendering to SBP.
The Bank, as a matter of Shariah principle, does not deal in prize bonds.

2022 2021
7 BALANCES WITH OTHER BANKS Rupees in 000
In Pakistan
- in current accounts 10,842,464 14,901,943
Outside Pakistan
- in current accounts 2,024,566 1,275,566
- in deposit accounts 7.1 320,652 242,527
2,345,218 1,518,093
13,187,682 16,420,036
7.1 It represent the balance in the remunerative account maintained with financial institutions outside
Pakistan. The return on this balance is 1.75% (December 31, 2021: 0.0001%) per annum.

2022 2021
8 DUE FROM FINANCIAL INSTITUTIONS - NET Rupees in 000
Bai Muajjal:
With scheduled banks / financial institution - Secured 8.1 34,964,299 238,401,637
With other financial institution 15,500 15,500
34,979,799 238,417,137
Musharakah - Unsecured 8.2 1,000,000
Commodity Murabaha 26,066 26,066
36,005,865 238,443,203
Provision against non-performing amounts due

from financial institutions 8.3 (41,566) (41,566)
35,964,299 238,401,637
8.1 The average return on this product is 11.14% (December 31, 2021: 8.10%) per annum. These
balances have maturities in July 2025 (December 31, 2021: ranging between January
2022 to July 2025).
8.2 The average return on this product is 15.95% (December 31, 2021: Nil) per annum. This balance has
matured in October 2022.
September 30, 2022 (Unaudited) December 31, 2021 (Audited)
Non- Non-
performing performing
due from Provision due from Provision
financial held financial held
institutions institutions
Rupees in 000
8.3 Category of classification
Loss 41,566 41,566 41,566 41,566

852,234,577 - (4,971,381) 847,263,196
23,224,694 - - 23,224,694
5,594,488 - - 5,594,488
114,390,553 - 5,119,155 119,509,708
7,252,810 - - 7,252,810
4,390,010 75,892 - 4,314,118
9,941,389 - (183,128) 9,758,261
10,421,127 2,885,818 1,103,235 8,638,544

1,027,449,648 2,961,710 1,067,881 1,025,555,819
217,272,893 - - 217,272,893
63,050 - - 63,050
845,252 - - 845,252
1,245,630,843 2,961,710 1,067,881 1,243,737,014

379,007,000 378,027,592
- -
379,007,000 378,027,592
September 30, December 31,

2022 2021
2,398,016
- charge for the period / year on equity investments 652,948

- reversals for the period / year on recovery of debt instruments -
- reversals for the period / year on disposals of equity investments (89,254)
563,694
2,961,710


2022 2021
56,113,701
3,245,808
1,249,678
1,056,855
116,100
10,000
41,000
488,498
62,321,640
157,127,738
55,082,113
212,209,851
33,411,078
34,395,854
30,543,414
155,113
10,367,932
3,274,923
112,148,314
1,511,986
6,273,370
1,268,251
9,977
393,255
9,456,839
18,036,959
10,155,073
7,384,326
970,885
288,063
186,000
177,000
37,198,306
1,505,653
1,626,748
8,255,661
-
11,388,062
7,549,738
16,716
7,566,454
50,998,101

2022 2021
Ijarah financing and related assets

- Net investment in Ijarah 75,042
- Net book value of assets/investment in Ijarah under IFAS 2 61,719,013
- Net book value of assets/investment in Ijarah under IFAS 2 under SBP's ILTFF 1,157
61,795,212
- Advances against Ijarah 7,341,496
69,136,708
Diminishing Musharakah financing and related assets
- Diminishing Musharakah financing - others 139,628,661
- Diminishing Musharakah financing - housing 20,125,601
- Diminishing Musharakah financing - SBP's ILTFF 13,665,624
- Diminishing Musharakah financing - SBP's IRSPWS 626,289
- Diminishing Musharakah financing - SBP's IFRE 14,121,657
- Diminishing Musharakah financing - SBP's ITERF 8,709,513
- Diminishing Musharakah financing - SBP's IRFCC 193,705
- Diminishing Musharakah financing - SBP's IFFSAP 181,157
- Diminishing Musharakah financing - SBP's ISAAF 59,181
- Advances against Diminishing Musharakah 23,356,377
- Advances against Diminishing Musharakah under SBP's IFFSAP 125,661
- Advances against Diminishing Musharakah under SBP's IFRE 3,193,990
- Advances against Diminishing Musharakah under SBP's IRFCC 278,781
- Advances against Diminishing Musharakah under SBP's ISAAF 32,828
- Advances against Diminishing Musharakah under SBP's ITERF 10,649,711
- Advances against Diminishing Musharakah under SBP's ILTFF 12,616,890
247,565,626
- Wakalah Tul Istithmar financing 20,025,067
- Advance against Wakalah Tul Istithmar financing 8,500,000
- Advance against Service Ijarah 14,899,103
- Qard financing under SBP's IRSPWS 11,566
- Qard financing under SBP's IRFCC 286,435
- Labbaik (Qard for Hajj and Umrah) 3,810
- Staff financing 7,314,431
- Other financing 1,597,461
Gross Islamic financing and related assets 872,627,774
Less: Provision against non-performing Islamic financing

and related assets - Specific (12,538,994)
Less: Provision against non-performing Islamic financing
and related assets - General (7,749,841)
Islamic financing and related assets - net of provision 852,338,939

2022 2021
61,356,816
(4,978,587)
(264,528)
56,113,701
61,356,816
(56,113,701)
5,243,115
6,195,161
58,514,238
(8,595,698)
56,113,701
117,597
5,700,802
(839,812)
4,978,587
1,092,592
(11,953)
(23,784)
1,056,855
1,048,988
1,726,476
(1,718,609)
1,056,855
5,937
55,007
(48,991)
11,953
128,363
(11,096)
(1,167)
116,100
10,000
155,626
(49,526)
116,100
1,506
17,220
(7,630)
11,096

2022 2021
19,212,131
(637,900)
(537,272)
18,036,959
1,006,419
(18,066)
(17,468)
970,885
323,729
(33,196)
(2,470)
288,063
54,077,438
(1,027,371)
(2,051,966)
50,998,101
Net book value of assets / investments in Ijarah under IFAS 2 is net of depreciation of Rs 44,713 million
(December 31, 2021: Rs 41,547 million).
Islamic financing and related assets include Rs. 13,181 million (December 31, 2021: Rs. 14,450 million) which have
been placed under non-performing status as detailed below:
3,998 11
312,125 64,157
297,390 130,113
12,567,851 12,344,713
13,181,364 12,538,994
13,338,988 5,870,018 19,209,006
379,853 1,879,823 2,259,676

(1,179,847) - (1,179,847)
(799,994) 1,879,823 1,079,829
- - -
12,538,994 7,749,841 20,288,835
The Bank maintains general reserve (provision) in accordance with the applicable requirements of the Prudential
Regulations for Consumer Financing and House Financing issued by the SBP.
In addition, the Bank has also maintained a general provision of Rs 7,100 million (December 31, 2021: Rs 5,350 million)
against financing made on prudent basis, in view of prevailing economic conditions. This general provision is in
addition to the requirements of Prudential Regulations.
In accordance with BSD Circular No. 2 dated January 27, 2009 issued by the SBP, the Bank has availed the benefit of
Forced Sales Value (FSV) of collaterals against the non-performing financing. The accumulated benefit availed as at
September 30, 2022 amounts to Rs 294.9 million (December 31, 2021: Rs 176.6 million). The additional profit arising
from availing the FSV benefit - net of tax amounts to Rs 150.4 million as at September 30, 2022 (December 31, 2021:
Rs 107.7 million). The increase in profit, due to availing of the benefit, is not available for distribution of cash and stock
dividend to share holders.

2022 2021
7,294,137
20,751,469
11,213,503
39,259,109
4,612,435
938,175
747,749
950,146
45,632
7,294,137

2022 2021
(Unaudited) (Unaudited)
2,176,316 1,503,392
408,334 536,680
1,116,802 331,428
1,308,414 440,355
282,239 119,127
2,956,725 688,149
719,353 580,511
6,791,867 2,696,250
737,302 454,949
9,705,485 4,654,591

2022 2021
25,372 -
961 11
4,096 28
95,282 55,529
125,711 55,568

2022 2021
1,323,939 1,235,876
467,605 259,934
1,791,544 1,495,810

2022 2021
624,431 759,031

2022 2021
(324,719) (136,865)
(459,189) (2,583,001)
(16,552) (15,045)
(800,460) (2,734,911)
1,575,449 1,209,055
2,774 125,678
2,835,012 1,365,823
184,884 209,910
4,598,119 2,910,466
3,797,659 175,555

2022 2021
84,066,530
609,594
13,827,383
2,754,942
115,193
1,420,962
Receivables on account of sale of securities 146,262 -
49,340
27,421
365,909
-
1,110,839
104,494,375
(107,922)
104,386,453
38,731
104,425,184
107,922
107,922
39,854
104,815
(8,056)
(28,691)
107,922

2022 2021
BILLS PAYABLE
In Pakistan 42,638,472
Outside Pakistan -
42,638,472
DUE TO FINANCIAL INSTITUTIONS
In Pakistan 505,307,507
Outside Pakistan -
505,307,507
Details of due to financial institutions secured / unsecured

Secured
With State Bank of Pakistan
Musharakah under Islamic Export Refinance Scheme 67,048,769
Investment under Islamic Long Term Financing Facility 25,990,575
Investment under Islamic Refinance Facility for
Combating COVID-19 1,032,149
Investment under Islamic Financing for Renewal Energy 17,593,777
Investment under Islamic Temporary Economic
Refinance Facility for Plant and Machinery 19,199,776
Investment under Islamic Refinance Scheme for storage
of agriculture produce 230,018
Investment under Islamic Refinance Scheme for payment
of wages and salaries 540,079
Investment under Islamic Refinance Scheme for SME Asaan Finance 303,579
Investment under Shariah Compliant Open Market Operations 351,556,064
Investment under Shariah Compliant Standing Ceiling Facility -
483,494,786
With Scheduled Bank 17,000,000
Other financial institutions 683,324
Unsecured
Overdrawn nostro accounts 429,397
Other Musharakah 3,700,000
505,307,507
These represents acceptance of funds by the Bank on Mudarabah basis which has been invested in special
pools of the Bank and are secured against lien of the Bank's investment in Federal Government securities. The
expected average return on Open market operations is 15.20% (December 31, 2021: Nil) per annum.
These represents acceptance of funds by the Bank on Musharakah basis which are secured against pledge of
the Bank's investment in Government Ijarah Sukuk. The actual return on these Musharakah is around 15.36%
(December 31, 2021: 10.65%) per annum. These balances have matured in October 2022 (December 31, 2021:
January 2022).
These Musharakah are on profit and loss sharing basis with banks. The actual return on these Musharakah is
around 15.26% (December 2021: 10.37%) per annum. These balances have matured in October 2022
(December 2021: January 2022).
716,520,576 36,774,060 753,294,636

537,120,392 53,685,147 590,805,539
262,296,116 17,583,100 279,879,216
23,845,925 1,997,114 25,843,039
1,539,783,009 110,039,421 1,649,822,430
1,327,542 362,225 1,689,767

4,480,164 910 4,481,074
1,923,100 - 1,923,100
7,730,806 363,135 8,093,941
1,547,513,815 110,402,556 1,657,916,371

2022 2021
In August 2018, the Bank issued regulatory Shariah compliant unsecured, subordinated privately placed
Additional Tier I Sukuk based on Mudaraba of Rs. 7,000 million as instrument of redeemable capital under
section 66 of the Companies Act, 2017. The brief description of Additional Tier I sukuk is as follows:
The Mudaraba Profit is computed under General Pool on the basis of profit sharing
ratio and monthly weightages announced by the Bank under the SBP guidelines
of pool management. Last announced profit rate on the Sukuk is 17.01% per annum.
The Bank may call Additional Tier I Sukuk with prior approval of SBP on or after five
years from the date of issue.
The Additional Tier I Sukuk, at the option of the SBP, will be fully and permanently
converted into common shares (variable) upon the occurrence of a point of non-viability
trigger event as determined by SBP or for any other reason as may be directed by SBP.
Profit and/or redemption amount can be held back in respect of the Additional Tier I Sukuk,
upon directive of the SBP, if such payment will result in a shortfall in the Bank’s minimum
capital requirement, capital adequacy ratio requirement or leverage ratio requirement.
In January 2020 and December 2021, the Bank issued regulatory Shariah compliant unsecured, subordinated
privately placed Tier II Sukuk based on Mudaraba of Rs. 4,000 million and Rs 9,990 million respectively as
instrument of redeemable capital under section 66 of the Companies Act, 2017. The brief description of Tier
II sukuk is as follows:
The Mudaraba Profit is computed under General Pool on the basis of profit sharing ratio and
monthly weightages announced by the Bank under the SBP guidelines of pool management.
Last announced profit rate on the Sukuk are 16.17% and 15.17% per annum respectively.
The Bank may call Tier II Sukuk with prior approval of SBP on or after five years from
the date of issue.
The Tier II Sukuk, at the option of the SBP, will be fully and permanently converted
into common shares (variable) upon the occurrence of a point of non-viability trigger
event as determined by SBP or for any other reason as may be directed by SBP.
Profit and/or redemption amount can be held back in respect of the Tier II Sukuk upon
directive of the SBP, if such payment will result in a shortfall in the Bank’s minimum
capital requirement, capital adequacy ratio requirement or leverage ratio requirement.

2022 2021
Return on deposits and other dues

- payable in local currency 13,672,769
- payable in foreign currencies 114,918
Unearned income 1,773,443
Accrued expenses 15,762,554
Current taxation (provision less payments) 23,924,075
Acceptances 13,827,383
Dividends payable 2,361,545
Payable to defined benefit plan 736,450
Charity payable 12,369
Provision against off-balance sheet obligations 55,167
Security deposits against Ijarah 22,174,932
Payable on account of credit murabaha / ijarah 35,713
Security deposits against lockers 177,195
Advance against future Diminishing Musharakah 23,316
Withholding taxes payable 624,182
Lease liability against right-of-use assets 12,417,305
Workers Welfare Fund payable 4,953,105
Others 3,620,639
116,267,060
55,167
-
55,167
1,103,235
(35,354)
1,067,881
38,502
1,106,383
Less: Deferred tax liability on
(459,189)
(16,552)
(475,741)
630,642

2022 2021
56,505,297
1,105,883,327
1,802,000
1,164,190,624
586,619
33,958,461
21,960,217
56,505,297
214,232,056
251,297,795
854,940
327,244
639,171,292
1,105,883,327
148,135,040
103,162,755
251,297,795
639,171,292
The Income Tax Department has amended the deemed assessment orders of the Bank for prior years
including the tax year 2021. The additions / disallowances were mainly due to allocation of expenses
relating to dividends and capital gain, allowability of provision against loans and advances, provision
against investments and provision against other assets. In the amended order for tax year 2015, additional
issues with respect to the taxability of gain on bargain purchase and non-adjustment of loss pertaining
to HSBC Bank Middle East – Pakistan Branches have also been raised. The Bank has obtained stay order
from the High Court of Sindh against the demands raised through the amended order for the tax year
2015. Both the Bank and the department have filed appeals with the Appellate Authorities in respect of
the aforementioned matters.
The management of the Bank, in consultation with its tax advisors, is confident that the decision in respect
of the above matters would be in Bank’s favour and accordingly no provision has been made in this
financial information with respect thereto. The additional tax liability in respect of gain on bargain purchase
and non-adjustment of loss pertaining to HSBC Bank Middle East – Pakistan Branches is Rs 1,096 million
and Rs 706 million respectively.

2022 2021
56,980,570 29,112,730
71,351,381 28,828,936
433 -
17,296,120 834,651
88,647,934 29,663,587
8,250,302 18,838,683
153,878,806 77,615,000
The income on Ijarah under IFAS 2 is net of takaful of Rs 1,667 million (September 30, 2021: Rs 1,234 million) recovered
from customers.

2022 2021
42,752,874 25,047,630
2,166,668 1,155,820
22,406,084 -
8,233,138 2,296,717
1,171,112 596,289
76,729,876 29,096,456
This includes conversion cost of Rs 1,857 million (September 30, 2021: Rs 1,594 million) against foreign currency deposits.

2022 2021
2,804,826 2,440,973
132,149 133,342
1,669,705 1,206,978
Credit processing related fees (including consumer
processing fees of Rs 39.123 million (September 30, 2021: Rs 50.454 million) 77,935 92,645
Debit card related fees and others 4,032,074 2,085,797
269,019 205,329
208,329 118,863
213,740 198,600
192,367 126,289
9,600,144 6,608,816
76,999 339,009
Realised gain / (loss) on:
Listed Shares 180,641 297,251
Federal Government Securities 22,540 9,024
Pakistan Energy Sukuk - 32,734
Foreign Securities (126,182) -
76,999 339,009

2022 2021
425,838 518,713
170,862 77,210
350,000 -
3,600 1,849
950,300 597,772
18,232,749 13,957,880
2,059,282 1,775,071
34,653 75,271
1,530,869 883,519
825,627 609,948
566,839 407,895
647,423 629,693
47,760 56,821
5,712,453 4,438,218
676,328 445,098
223,824 232,104
507,724 372,658
328,697 262,331
235,896 183,307
1,972,469 1,495,498
1,326,891 704,858
324,329 218,944
863,566 459,069
1,064,183 783,822
823,446 776,034
500,685 440,079
435,688 358,664
100,843 114,201
152,478 142,969
109,951 30,922
71,157 14,802
5,000 512
318,776 214,636
204,721 244,972
285,582 218,542
51,788 49,630
79,069 68,652
14,877 19,778
10,706 10,506
26,925 14,863
54,680 50,030
1,880 19,065
6,827,221 4,955,550
32,744,892 24,847,146

2022 2021
89,024 6,524
1,079,829 499,120
563,694 38,212
- 18,679
96,759 5,021
(5,028) (7,614)
1,735,254 553,418
29,286,561 12,971,894
(1,499,836) 111,739
27,786,725 13,083,633
Through Finance Act 2022, the effective tax rate on banking companies has been increased and consequently
for the year 2022, tax rates has been enhanced to 49% (inclusive of 10% Super Tax) from 39% in 2021
(inclusive of 4% Super Tax). Accordingly, the Bank has recognized super tax charge of Rs 5,930 million
(September 30, 2021: Rs 1,261 million) in the current period based on taxable income for the period.

2022 2021
28,596,395 19,566,350
1,789,624,321 1,789,624,321
15.98 10.93
2022 2021
28,596,395 19,566,350
1,790,306,495 1,789,624,321
15.97 10.93
1,789,624,321 1,789,624,321
682,174 -
1,790,306,495 1,789,624,321

2022 2021
152,413,160 135,845,315
13,187,682 13,674,146
165,600,842 149,519,461
September 30, 2022 (Unaudited)
8,087,615 - 8,087,615
119,509,708 - 119,509,708
- 847,263,196 847,263,196
9,747,872 - 9,747,872
149,146,246 149,146,246
103,664,018 103,664,018
8,718,285 - 8,718,285
120,028,511 - 120,028,511
- 320,869,119 320,869,119
10,703,622 - 10,703,622
116,360,987 116,360,987
86,873,922 86,873,922
Investment in associates (listed - mutual funds) have market value of Rs 1,603 million (December 31, 2021:
Rs 1,711 million) which is being valued under level 1. Investment in GoP sukuk classified as Held to Maturity
have market value of Rs 206,577 million (December 31, 2021: Rs 76,651 million) which is being valued under
level 2. These investments are carried at cost in the financial statements in accordance with the bank's
accounting policy.
The fair value of GoP Ijarah Sukuk quoted are derived using PKISRV rates. The PKISRV
rates are announced by FMA (Financial Market Association) through Reuters. The
rates announced are simple average of quotes received from eight different pre-
defined / approved dealers / brokers.
The valuation has been determined by interpolating the mid rates announced
by SBP.
The valuation has been determined through closing rates of Bloomberg.

The valuation has been determined through closing rates of Pakistan Stock Exchange.
The valuation has been determined based on Net asset values declared by respective funds.
The Bank's policy is to recognise transfers into and out of the different fair value hierarchy levels at the
date the event or change in circumstances that caused the transfer occurred.
There were no transfers between levels 1 and 2 during the period.
Fair value of Islamic financing and related assets, unquoted sukuk, other assets, other liabilities and fixed
term deposits and other accounts and due to financial institutions cannot be calculated with sufficient
reliability due to absence of current and active market for such assets and liabilities and reliable data
regarding market rates for similar instruments. The provision for impairment of Islamic financing and
related assets has been made in accordance with the Bank’s accounting policy as as stated in note 6.3.2
to the 2021 annual financial statements.
In the opinion of the management, the fair value of the remaining financial assets and liabilities are not
significantly different from their carrying values since these assets and liabilities are short term in nature
or in the case of financings and deposits are frequently repriced.
September 30,
2022
(Unaudited)
152,413,160
13,187,682
35,964,299
259,128,623
852,338,939
101,596,819
Non-banking assets acquired in satisfaction of claims have been carried at revalued amounts determined
by professional valuers (level 3 measurement) based on their assessment of the market values as disclosed
in note 14. The valuations are conducted by the valuation experts appointed by the Bank which are also
on the panel of State Bank of Pakistan. The valuation experts used a market based approach to arrive at
the fair value of the Bank’s properties. The market approach used prices and other relevant information
generated by market transactions involving identical or comparable or similar properties. These values
are adjusted to reflect the current condition of the properties. The effect of changes in the unobservable
inputs used in the valuations cannot be determined with certainty, accordingly a qualitative disclosure
of sensitivity has not been presented in this financial information.
52,888,068 5,424,042 95,566,696 - - 153,878,806

3,637,303 2,391,541 4,794,453 4,222,914 - 15,046,211
- 130,316,007 - 90,097 (130,406,104) -
56,525,371 138,131,590 100,361,149 4,313,011 (130,406,104) 168,925,017
4,207,022 43,994,888 28,527,968 - - 76,729,878
1,006,924 31,363,306 161,076 1,545,459 - 34,076,765
46,160,269 - 84,245,835 - (130,406,104) -
51,374,215 75,358,194 112,934,879 1,545,459 (130,406,104) 110,806,643
1,073,322 74,718 563,694 23,520 - 1,735,254
4,077,834 62,698,678 (13,137,424) 2,744,032 - 56,383,120
- 156,756,129 2,345,218 6,499,495 - 165,600,842

- - 35,964,299 - - 35,964,299
11,566,928 - 1,232,170,086 - - 1,243,737,014
- 1,503,451,935 - - (1,503,451,935) -
763,491,644 88,847,295 - - - 852,338,939
28,499,450 50,760,802 69,859,527 153,717 - 149,273,496
803,558,022 1,799,816,161 1,340,339,130 6,653,212 (1,503,451,935) 2,446,914,590
131,305,090 1,316,955 372,685,462 - - 505,307,507

- 1,657,916,371 - - - 1,657,916,371
20,990,000 - - - - 20,990,000
595,693,628 - 903,726,149 4,032,158 (1,503,451,935) -
21,483,337 128,011,420 7,071,942 2,338,833 - 158,905,532
769,472,055 1,787,244,746 1,283,483,553 6,370,991 (1,503,451,935) 2,343,119,410
34,085,967 12,571,415 56,855,577 282,221 - 103,795,180
803,558,022 1,799,816,161 1,340,339,130 6,653,212 (1,503,451,935) 2,446,914,590
829,448,662 83,444,167 251,297,795 - - 1,164,190,624

25,125,155 4,968,168 47,521,677 - - 77,615,000

2,930,095 1,808,267 3,317,459 2,212,050 - 10,267,871
- 63,006,636 - 204,070 (63,210,706) -
28,055,250 69,783,071 50,839,136 2,416,120 (63,210,706) 87,882,871
2,345,748 25,693,882 1,056,826 - - 29,096,456
768,052 23,258,389 493,983 1,062,590 - 25,583,014
19,830,556 - 43,380,150 - (63,210,706) -
22,944,356 48,952,271 44,930,959 1,062,590 (63,210,706) 54,679,470
426,174 85,576 41,668 - - 553,418
4,684,720 20,745,224 5,866,509 1,353,530 - 32,649,983
- 148,411,421 1,108,040 - - 149,519,461

- - 368,474,190 - - 368,474,190
16,603,118 - 459,753,512 - - 476,356,630
- 1,180,355,055 - 632,343 (1,180,987,398) -
511,776,748 92,301,731 - - - 604,078,479
14,920,308 31,932,675 52,446,965 - - 99,299,948
543,300,174 1,453,000,882 881,782,707 632,343 (1,180,987,398) 1,697,728,708
88,838,833 753,923 49,657,579 - - 139,250,335

- 1,344,156,618 - - - 1,344,156,618
18,000,000 - - - - 18,000,000
391,560,665 - 789,426,733 - (1,180,987,398) -
18,712,194 94,948,102 194,173 632,343 - 114,486,812
517,111,692 1,439,858,643 839,278,485 632,343 (1,180,987,398) 1,615,893,765
26,188,482 13,142,239 42,504,222 - - 81,834,943
543,300,174 1,453,000,882 881,782,707 632,343 (1,180,987,398) 1,697,728,708
625,864,816 87,201,462 171,599,566 - - 884,665,844
Parties are considered to be related if one party has the ability to control the other party or exercise significant influence over
the other party in making financial or operational decisions and includes a subsidiary company, associated companies, retirement
benefit funds, directors, and key management personnel and their close family members.
The Banks enters into transactions with related parties in the ordinary course of business and on substantially the same terms
as for comparable transactions with person of similar standing. Contributions to and accruals in respect of staff retirement
benefits and other benefit plans are made in accordance with the actuarial valuations / terms of the contribution plan. Remuneration
to the key management personnel is determined in accordance with the terms of their appointment.
Associates include major shareholders, mutual funds managed by Al Meezan Investment Management Limited and entities
having common directorship with the Board. However, entities are not considered related party only if common director is an
independent director working on both the Boards.
Sep 30, Dec 31, Sep 30, Dec 31, Sep 30, Dec 31, Sep 30, Dec 31, Sep 30, Dec 31, Sep 30, Dec 31,
2022 2021 2022 2021 2022 2021 2022 2021 2022 2021 2022 2021
(Unaudited) (Audited) (Unaudited) (Audited) (Unaudited) (Audited) (Unaudited) (Audited) (Unaudited) (Audited) (Unaudited) (Audited)
At September 30 /
December 31
At September 30 /
December 31
Sep 30, Dec 31, Sep 30, Dec 31, Sep 30, Dec 31, Sep 30, Dec 31, Sep 30, Dec 31, Sep 30, Dec 31,
2022 2021 2022 2021 2022 2021 2022 2021 2022 2021 2022 2021
(Unaudited) (Audited) (Unaudited) (Audited) (Unaudited) (Audited) (Unaudited) (Audited) (Unaudited) (Audited) (Unaudited) (Audited)
2,150,821 25,361 1,497,780 140,027 119,929 367,724
- - -
34,385 20,104 14,281
At September 30 /
December 31
736,450 - 434,138 302,312

1,621 - - -
15,068 15,068 - -
Sep 30, Sep 30, Sep 30, Sep 30, Sep 30, Sep 30, Sep 30, Sep 30, Sep 30, Sep 30, Sep 30, Sep 30,
2022 2021 2022 2021 2022 2021 2022 2021 2022 2021 2022 2021
(Unaudited) (Unaudited) (Unaudited) (Unaudited) (Unaudited) (Unaudited) (Unaudited) (Unaudited) (Unaudited) (Unaudited) (Unaudited) (Unaudited)
68,184 2,206,406 - - 68,184 2,206,406 - - - - - -
527,327 119,846 60,492 70,094 116,529 49,603 10 20 265 44 350,031 85
130,556 214,500 130,000 214,500 556 - - - - - - -
477,350 448,465 2,207 1,092 319,111 203,994 1,348 568 5,663 6,312 149,021 236,499
322,312 276,329 - - - - - - - - 322,312 276,329
401,913 347,023 - - - - - - - - 401,913 347,023
51,314 42,204 - - - - - - - - 51,314 42,204

16,401 22,262 14,877 19,778 1,092 2,484 - - - - 432 -
30,000 30,000
164,549 367,927 164,549 367,927
the founding
President 205,514 184,580 54,680 50,030 150,834 134,550
Proceeds from sale
of fixed assets 526 - - - 526 -

2022 2021
17,896,243 16,269,312
101,245,591 80,903,080
7,000,000 7,000,000
108,245,591 87,903,080
21,084,250 23,900,095
129,329,841 111,803,175
518,844,604 471,179,745
21,198,655 22,956,751
133,736,815 133,736,815
673,780,074 627,873,311
15.03% 12.89%
16.07% 14.00%
19.19% 17.81%
108,245,591 87,903,080
2,852,108,315 2,244,744,326
3.80% 3.92%
641,638,021 464,998,495
221,364,197 209,348,310
290% 222%
1,623,027,848 1,370,517,865
980,564,095 829,111,476
166% 165%
This condensed interim financial information was authorised for issue on October 19, 2022 by the Board of Directors of
the Bank.
The Board of Directors in their meeting held on October 19, 2022 has announced an interim cash dividend @ 20%.
This condensed interim unconsolidated financial statements does not include the effect of this appropriation which will be
accounted for subsequent to the period end.
CONDENSED INTERIM CONSOLIDATED
STATEMENT OF FINANCIAL POSITION
AS AT SEPTEMBER 30, 2022
2022 2021
152,477,478 170,501,306
13,162,321 16,465,169
35,964,299 238,401,637
1,247,936,888 624,332,881
852,338,939 758,086,120
39,470,858 34,185,975
1,813,240 1,505,581
3,591,323 -
104,838,804 64,180,378
2,451,594,150 1,907,659,047
42,638,472 36,141,378
505,307,507 220,414,234
1,657,891,010 1,455,871,080
20,990,000 20,990,000
- 72,189
117,010,289 83,728,554
2,343,837,278 1,817,217,435
107,756,872 90,441,612
17,896,243 16,269,312
26,485,750 23,417,514
61,487,098 45,494,657
Surplus on revaluation of assets - net of tax 630,642 4,063,610
106,499,733 89,245,093
1,257,139 1,196,519
107,756,872 90,441,612
PROFIT AND LOSS ACCOUNT (UNAUDITED)
Quarter Nine months Quarter Nine months

2022 2022 2021 2021
65,609,619 153,971,541 27,498,837 77,616,220

33,858,093 76,735,665 10,189,538 29,112,818
31,751,526 77,235,876 17,309,299 48,503,402
3,805,903 10,620,348 2,899,008 7,759,021

128,467 421,564 160,527 358,769
734,743 3,866,649 543,966 2,149,005
(Loss) / gain on securities - net (89,129) 27,320 89,539 535,452
191,300 951,235 164,629 598,376
4,771,284 15,887,116 3,857,669 11,400,623
36,522,810 93,122,992 21,166,968 59,904,025
12,436,789 33,177,242 8,724,745 25,303,760

511,288 1,255,173 250,625 747,321
83,091 89,024 1,608 6,524
13,031,168 34,521,439 8,976,978 26,057,605
23,491,642 58,601,553 12,189,990 33,846,420
(23,554) (130,129) (81,628) 23,243
23,468,088 58,471,424 12,108,362 33,869,663
545,866 1,735,254 120,527 553,418
22,922,222 56,736,170 11,987,835 33,316,245

11,303,042 27,979,938 4,920,590 13,347,120
11,619,180 28,756,232 7,067,245 19,969,125
11,568,768 28,621,418 7,019,649 19,752,150

50,412 134,814 47,596 216,975
11,619,180 28,756,232 7,067,245 19,969,125
6.46 15.99 3.92 11.04

6.46 15.99 3.92 11.04
STATEMENT OF COMPREHENSIVE INCOME (UNAUDITED)
Quarter Nine months Quarter Nine months

2022 2022 2021 2021
11,568,768 28,621,418 7,019,649 19,752,150

50,412 134,814 47,596 216,975
11,619,180 28,756,232 7,067,245 19,969,125
Surplus / (deficit) on revaluation of investments 2,515,957 (5,555,197) (391,688) 927,290
Deferred tax on revaluation of investments (1,081,862) 2,123,812 144,821 (739,120)

1,434,095 (3,431,385) (246,867) 188,170
Items that will not be reclassified to profit and
- (11,982) - 5,654
- - - -
- (1,544) - (1,227)
- (13,526) - 4,427
Other Comprehensive income / (loss) for the period 1,434,095 (3,444,911) (246,867) 192,597
Total Comprehensive Income for the period 13,053,275 25,311,321 6,820,378 20,161,722
13,002,863 25,180,701 6,772,782 19,942,768

50,412 130,620 47,596 218,954
13,053,275 25,311,321 6,820,378 20,161,722
STATEMENT OF CHANGES IN EQUITY ( U N AU D I T E D )
Profit after taxation for the nine months period ended September 30, 2021 19,752,150 - - 216,975 19,969,125
ended September 30, 2021 - net of tax 3,675 188,170 (1,227) 1,979 192,597
Other appropriations 19,755,825 188,170 (1,227) 218,954 20,161,722
Transfer to statutory reserve 1,956,635 (1,956,635)
Transactions with owners recognised
directly in equity
Issue of bonus shares 2,122,084 (2,122,084)
Final cash dividend for the year 2020 - - - - - - (2,829,446) - - - (2,829,446)
First Interim cash dividend for the year 2021 @ Rs. 1.5 per share - - - - - - (2,122,085) - - - (2,122,085)
Second Interim cash dividend for the year 2021 @ Rs. 1.5 per share - - - - - - (2,122,085) - - - (2,122,085)
(7,073,616) (7,073,616)
Balance as at September 30, 2021 16,269,312 16,789,976 40,411,935 5,730,521 1,367,966 86,203,624
Profit after taxation for the quarter ended December 31, 2021 - - - - - - 8,475,410 - - 63,053 8,538,463
Other Comprehensive (loss) / income for the quarter ended
December 31, 2021 - net of tax - - - - - - (73,503) (1,690,444) 4,912 - (1,759,035)
8,401,907 (1,690,444) 4,912 63,053 6,779,428
878,881 (878,881)
Profit after taxation for the nine months period ended September 30, 2022 - - - - - - 28,621,418 - - 134,814 28,756,232
Other Comprehensive loss for the nine months period
ended September 30, 2022 - net of tax - - - - - - (7,788) (3,431,385) (1,544) (4,194) (3,444,911)
- - - - - - 28,613,630 (3,431,385) (1,544) 130,620 25,311,321
- - - - - - 39 - (39) - -
- - 2,859,640 - - - (2,859,640) - - - -
Recognition of share based compensation - - - - 208,596 - - - - - 208,596
Issue of bonus shares @ 10% 1,626,931 - - - - - (1,626,931) - - - -
Final cash dividend for the year 2021 @ Rs 1.5 per share - - - - - - (2,440,397) - - - (2,440,397)
First Interim cash dividend for the year 2022 @ Rs 1.75 per share - - - - - - (2,847,130) - - - (2,847,130)
Second Interim cash dividend for the year 2022 @ Rs 1.75 per share - - - - - - (2,847,130) - - - (2,847,130)
- - - - - - (8,134,657) - - - (8,134,657)
- - - - - - - - - (70,000) (70,000)
Balance as at September 30, 2022 17,896,243 20,528,497 342,053 61,487,098 608,692 21,950 1,257,139 107,756,872
C A S H F LO W S TAT E M E N T ( U N AU D I T E D)
Nine months Nine months

period ended period ended
2022 2021
Profit before taxation 56,736,170 33,316,245

Less: Dividend income (421,564) (358,769)
56,314,606 32,957,476
Depreciation 2,261,005 1,828,391
Amortization 336,450 271,824
Non cash items related to right of use assets 3,289,270 553,418
Provisions and write offs - net 1,735,254 2,437,822
Recognition of share based compensation 208,596 -
Gain on sale of fixed assets (171,797) (77,867)
Share of results of associates 130,129 (23,243)
7,788,907 4,990,345
64,103,513 37,947,821
Due from financial institutions 202,437,338 (26,405,391)
Islamic financing and related assets (95,327,620) (92,038,055)
Other assets (40,709,938) (21,216,280)
66,399,780 (139,659,726)
Bills payable 6,497,094 13,322,937
Due to financial institutions 284,893,273 44,749,695
Deposits and other accounts 202,019,930 89,695,447
Other liabilities 21,247,380 13,527,579
514,657,677 161,295,658
645,160,970 59,583,753
(19,109,716) (11,529,555)
626,051,254 48,054,198
Net investments in securities (629,853,027) (41,225,947)

Dividends received 376,317 277,334
Investments in fixed assets (9,012,487) (4,232,202)
Investments in intangible assets (644,109) (768,848)
Proceeds from sale of fixed assets 299,137 133,711
(638,834,169) (45,815,952)
Payment of lease liability against right-of-use assets (2,681,159) (2,311,062)

Dividend paid to equity shareholders of the Bank (5,792,602) (5,998,353)
Dividend paid to non controlling interest (70,000) (115,500)
(8,543,761) (8,424,915)
(21,326,676) (6,186,669)
186,966,475 155,722,310
165,639,799 149,535,641
NOTES TO AND FORMING PART OF THE CONDENSED INTERIM CONSOLIDATED
This condensed interim consolidated financial statements include the unaudited financial statements of Meezan Bank Limited
(MBL) (the holding company) and Al-Meezan Investment Management Limited (AMIML) (the subsidiary) collectively referred as
the ‘Group’ and associates namely, Al-Meezan Mutual Fund, Meezan Islamic Fund, Meezan Islamic Income Fund, Meezan
Tahaffuz Pension Fund, KSE Meezan Index Fund, Meezan Balanced Fund, Meezan Financial Planning Fund of Funds, Meezan
Strategic Allocation Fund II, Meezan Gold Fund, Meezan Energy Fund, Meezan Strategic Allocation Fund III, Meezan Rozana
Amdani Fund, Meezan Pakistan Exchange Traded Fund, Meezan Daily Income Fund and Meezan Paidar Munafa Plan.
This condensed interim consolidated financial statements has been prepared in accordance with the requirements of Interna-
tional Accounting Standard (IAS) 34 ‘Interim Financial Reporting’.
This condensed interim consolidated financial statements comprise of the statement of financial position as at September 30,
2022 and the profit and loss account, statement of comprehensive income, statement of changes in equity and the cash flow
statement for the nine months period ended September 30, 2022.
The accounting policies and the methods of computation adopted in the preparation of this condensed interim consolidated
financial statements are the same as those applied in the preparation of the Group for the year ended December 31, 2021.
This condensed interim consolidated financial statements was authorised for issue on October 19, 2022 by the Board of
Directors of the Holding company.

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Meezan Bank

The Premier Islamic Bank

October 28, 2022 MEBL/CS/PSX-17/164/2022

The General Manager

TRANSMISSION OF QUARTERLY REPORT OF MEEZAN BANK LIMITED FOR THE

Meezan Bank Ltd.

Condensed Interim Unconsolidated Statement of Financial Position 12

Condensed Interim Unconsolidated Profit and Loss Account 13

Condensed Interim Unconsolidated Statement of Comprehensive Income 14

Condensed Interim Unconsolidated Statement of Changes in Equity 15

Condensed Interim Unconsolidated Cash Flow Statement 16

Notes to and Forming Part of the

Condensed Interim Consolidated Statement of Financial Position 50

Condensed Interim Consolidated Profit and Loss Account 51

Condensed Interim Consolidated Statement of Comprehensive Income 52

Condensed Interim Consolidated Statement of Changes in Equity 53

Condensed Interim Consolidated Cash Flow Statement 54

Notes to and Forming Part of the

Board of Directors Riyadh S. A. A. Edrees Chairman

Shariah Board Justice (Retd.) Muhammad Taqi Usmani Chairman

Management Irfan Siddiqui President & CEO

Board Audit Committee Mohammad Abdul Aleem

Board Risk Faisal A. A. A. Al-Nassar

Board Human Resources, Riyadh S. A. A. Edrees

Board Information Mubashar Maqbool

Board IFRS 9 Implementation Riyadh S. A. A. Edrees

Resident Shariah Board Member Mufti Muhammad Naveed Alam

Chief Financial Officer Syed Imran Ali Shah

Company Secretary Muhammad Sohail Khan

Auditors A. F. Ferguson & Co., Chartered Accountants

Legal Adviser Haidermota & Co. Advocates

Registered Office Meezan House

Shares Registrar THK Associates (Pvt.) Ltd

The Financial Highlights of Meezan Bank are given below:

Statement of Financial Position September 30, December 31, Growth %

Islamic financing and related assets - Gross 872,628 777,295 12%

Equity 103,795 86,558 20%

Profit & Loss Account Jan - Sep Jan - Sep Growth %

On behalf of the Board

ASSETS Rupees in 000

Cash and balances with treasury banks 6 152,413,160 170,500,698

Bills payable 15 42,638,472 36,141,378

Share capital 17,896,243 16,269,312

CONTINGENCIES AND COMMITMENTS 21

Note Quarter Nine months Quarter Nine months

Profit / return earned on Islamic financing and

Provisions and write offs - net 29 545,866 1,735,254 120,527 553,418

Extra ordinary/ unusual items

Profit before taxation 22,700,851 56,383,120 11,815,131 32,649,983

Taxation 30 11,223,605 27,786,725 4,856,713 13,083,633

Profit after taxation 11,477,246 28,596,395 6,958,418 19,566,350

Basic earnings per share 31 6.41 15.98 3.89 10.93

Diluted earnings per share 31 6.41 15.97 3.89 10.93

Note Quarter Nine months Quarter Nine months

Other comprehensive income

Items that may be reclassified to

profit and loss account in subsequent periods:

Surplus / (deficit) on revaluation of investments 20 2,515,957 (5,555,197) (391,688) 927,290

Deferred tax on revaluation of investments 20 (1,081,862) 2,123,812 144,821 (739,120)