ABHI Microfinance Bank Limited has closed its financial operations for the fiscal year 2025 by securing an unprecedented profit after tax of one point zero one nine billion rupees, marking the highest net earnings ever recorded in the operational history of the institution. When contrasted with the substantial net loss of one point seven five four billion rupees registered during the fiscal year 2024, this milestone highlights a remarkably sharp recovery in the overall financial performance of the financial entity. This transition translates into a massive two point seven seven three billion rupee net profitability swing achieved in a twelve-month period, effectively arresting a prolonged multi-year phase of consecutive fiscal deficits. Notably, the microfinance institution last achieved a profitable bottom line in 2020.
According to the official annual financial statements, the spectacular operational turnaround was driven primarily by rapid balance sheet expansion, superior top-line income generation, aggressive loan recoveries, tighter credit risk monitoring, and a reinforced commitment to corporate cost discipline throughout the year. The total asset base of the microfinance bank surged to seventy-seven point zero six six billion rupees by the conclusion of 2025, showing a phenomenal expansion when compared to the forty point three five three billion rupees reported at the end of 2024. This balance sheet growth was spearheaded by a aggressive expansion in net advances, which nearly doubled to thirty-seven point five five six billion rupees from eighteen point three eight seven billion rupees a year earlier, representing a net percentage climb of one hundred four point twenty-five percent.
The rapid elongation of the loan book was safely financed by a healthy influx of new public deposits, which scaled up to sixty-nine point zero eight eight billion rupees compared to thirty-six point two two six billion rupees recorded during 2024, equating to a robust increase of ninety point seventy-one percent. This successful deposit mobilization drive significantly reinforced the core funding base of the financial institution and cushioned its structural liquidity position during an operational cycle in which the broader national microfinance industry continued to navigate an exceptionally challenging credit landscape and persistent hyper-inflationary pressures.
Concurrently, the absolute revenue profile of the bank strengthened significantly over the course of 2025, with total gross revenue expanding to fourteen point twenty-five billion rupees from nine point four six one billion rupees in the preceding year, yielding a robust top-line increase of fifty point sixty-six percent. Managing asset quality remained a paramount strategic focus for the board, as the bank reported a substantial compression in credit impairment losses, causing its non-performing loans ratio to drop dramatically to just zero point sixty-eight percent by the end of the year. On the structural solvency side, timely sponsor support injections, targeted capital additions, and robust organic profit retention combined effectively to significantly elevate the equity position of the banking enterprise.
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