IPDC Finance PLC, one of Bangladesh’s leading non-bank financial institutions, reported a net profit of BDT 353.8 million for the first nine months (9M) of 2026, marking a 35.0% year-on-year increase from BDT 262.1 million in the same period of 2025. The earnings growth was driven by a 26.6% rebound in net interest income, higher income from investments in government securities and a lower tax charge, which together more than offset a near doubling of provisions against loans.
IPDC Finance | Loan Book Grows 1.6% Since December to BDT 75,785.9 Million
IPDC Finance’s loans, advances and leases stood at BDT 75,785.9 million as of 30 September 2026, up 1.6% from BDT 74,622.0 million at the end of December 2025, adding BDT 1,163.9 million in nine months. Compared with September 2025, the loan book was up 3.6%. On a year-end basis, loans grew 3.6% in 2023, slipped 1.5% in 2024 and recovered 7.3% in 2025, when the company added BDT 5,086.3 million, indicating that credit growth has stayed modest and uneven over the review period.
Deposits Rise 9.1% to BDT 67,909.3 Million
IPDC Finance’s deposits rose 9.1% to BDT 67,909.3 million as of 30 September 2026 from BDT 62,248.8 million at the end of December 2025, adding BDT 5,660.4 million in nine months. Compared with September 2025, deposits were up 12.9%. On a year-end basis, deposits grew 1.8% in 2023, fell 9.7% in 2024 and rebounded 14.6% in 2025, when the company added BDT 7,929.5 million.
Borrowings from banks, financial institutions and agents were broadly flat, slipping 0.8% to BDT 16,599.3 million, so the company funded its asset growth mainly through deposits.
Net Interest Income Rebounds 26.6%
Net interest income (NII) grew 26.6% year-on-year to BDT 1,880.3 million in 9M 2026, reversing three consecutive years of decline (down 15.5% in 9M 2023, 10.8% in 9M 2024 and 7.2% in 9M 2025), though it remains below the BDT 2,121.8 million earned in 9M 2022. Interest income rose 5.3% to BDT 7,490.7 million, while interest expenses edged down 0.3% to BDT 5,610.4 million despite the higher deposit base, indicating an easing in the cost of funds. NII remained the company’s largest earnings source, accounting for 58.8% of total operating income.
Investment income rose 24.2% to BDT 1,162.6 million and accounted for 36.4% of total operating income, extending a sharp run-up from BDT 150.0 million in 9M 2023. The growth came as the company’s holdings of government securities jumped 59.3% to BDT 9,831.6 million from BDT 6,171.4 million in December 2025, while other investments rose 27.8% to BDT 5,732.5 million, taking total investments up 46.1% to BDT 15,564.1 million. In contrast, dividends received fell 14.4% to BDT 127.8 million.
As a result, total operating income increased by BDT 657.8 million, or 25.9%, to BDT 3,197.7 million. NII contributed 60.1% of this increase and investment income 34.4%, while other operating income nearly tripled to BDT 33.8 million and commission, exchange and brokerage income rose 13.5% to BDT 121.0 million.
Salaries Drive a 9.4% Rise in Operating Expenses
Operating expenses rose 9.4% to BDT 1,290.8 million, an increase of BDT 111.4 million. Salaries and allowances were the main driver, rising 10.5% to BDT 863.0 million and accounting for 73.3% of the total increase. Stationery, printing and advertisement costs grew 26.6% to BDT 63.7 million and depreciation and repairs of company assets rose 8.6% to BDT 154.3 million, together contributing a further 22.9%. These were partly offset by a 15.3% fall in legal expenses to BDT 23.2 million. With income growing almost three times as fast as costs, the cost-to-income ratio improved to 40.4% from 46.4%, and profit before provisions jumped 40.2% to BDT 1,906.9 million.
Lower Tax Lifts Net Profit 35.0% Despite Higher Provisions
Total provisions rose 82.8% to BDT 1,252.6 million, driven entirely by the BDT 581.3 million increase in provision for loans and advances. The company wrote back BDT 5.0 million on the diminution in value of investments, compared with a charge of BDT 9.1 million a year earlier. As a result, profit before tax slipped 3.1% to BDT 654.3 million.
However, tax provision fell 27.3% to BDT 300.4 million, as current tax expense declined 24.7% to BDT 312.6 million and deferred tax income rose to BDT 12.2 million from BDT 1.9 million, bringing the effective tax rate down to 45.9% from 61.2%. Net profit therefore increased 35.0% to BDT 353.8 million.
This is the company’s highest nine-month profit since 9M 2022, with net profit growing at a compound annual rate of 25.2% since 9M 2023, though it remains 42.9% below the BDT 620.2 million earned in 9M 2022.
Q3 Net Profit Rises 31.4%
In the third quarter (July–September 2026) alone, total operating income rose 20.7% year-on-year to BDT 1,133.8 million. NII climbed 34.1% to BDT 712.2 million as interest income rose 5.3% while interest expenses fell 2.6%, and investment income increased 1.4% to BDT 376.6 million. Operating expenses grew 13.7% to BDT 452.9 million, lifting profit before provisions by 25.9% to BDT 680.9 million. Provisions rose a modest 4.5% to BDT 305.3 million, pushing profit before tax up 51.1% to BDT 375.6 million, but a 67.1% rise in tax provision to BDT 228.8 million moderated bottom-line growth. Net profit for the quarter rose 31.4% to BDT 146.8 million from BDT 111.7 million, contributing 41.5% of the company’s nine-month profit.
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