Microsoft Word - DMIT FINANCIAL STATEMENTS 2025-Final draft.

6 Subsidiary Performance Faysal Bank Limited (“FBL”) continues to represent the Group’s most significant driver of profitability and a cornerstone of its long-term strategy. Since January 2023, the Bank has been operating as a full-fledged Islamic bank and has continued to expand its retail footprint, enhance digital capabilities, and strengthen its service offerings across Pakistan. FBL expanded its branch network to 900 by December 2025. FBL delivered a strong financial performance in 2025, with net profit reaching $77.2 million (PKR 21.7 billion), compared to $82.7 million (PKR 23.1 billion) in 2024, of which $51.7million is attributable to Ithmaar, compared to $55.4 million in the prior year. This growth has been supported by continued expansion in its balance sheet, with total assets increasing to $6.3 billion (PKR 1.77 trillion), compared to $5.6 billion (PKR 1.56 trillion) in 2024, and deposits growing by 27% to $5.0 billion (PKR 1.41 trillion), compared to $3.7 billion in the previous year. . Earnings per share marginally dropped from PKR 15.17 in 2024 to PKR 14.3 in 2025. The Bank also recorded strong revenue growth, with total income reaching $352 million (PKR 99.1 billion) in 2025, compared to $351 million (PKR 97.7billion) in 2024. FBL continued to advance its strategic agenda in 2025 through a strong focus on digital transformation, customer-centric growth, financial inclusion, and operational resilience. In 2024 and 2025, the Bank made significant strides in integrating Environmental, Social, and Governance (ESG) principles into its operations, earning the PICG ESG Stewardship Award (2024). The Bank’s commitment to diversity, equity, and inclusion was also recognized globally, receiving fourteen awards at the GDEIB Awards 2025, including 10 Best Practice Awards and 4 Progressive Category Awards, reflecting a 25% improvement in inclusivity metrics. Ithmaar Holding ’s performance reflects a transitional phase driven by ongoing restructuring efforts. Profits attributable to shareholders declined to $1.1 million, compared to $10.4 million in 2024, primarily due to continued weaknesses in standalone operations, including inflated cost of funds and legacy asset quality challenges. While FBL continues to generate strong profitability to Ithmaar, the underlying performance of the Bahrain-based operations remains under pressure. In response, the Group has accelerated a comprehensive restructuring programme within Ithmaar, focused on strengthening its capital base, improving asset quality, reducing funding costs, and simplifying its operating structure. These measures are essential to restoring sustainable profitability and enhancing long-term shareholder value. Islamic Investment Comp ny of the Gulf (“IICG”) delivered a stable performance, with net profit of $12.32 million, compared to $12.30 million in 2024. Funds under management decreased marginally to $1.67 billion, compared to $1.68 billion in the prior year. Despite this, total equity increased to $135.4 million, compared to $128.1 million, reflecting prudent capital management and continued balance sheet strength. Faisal Islamic Bank of Egypt experienced a normalization in profitability following an exceptional performance in 2024. Net profit for 2025 amounted to $88.1 million (L.E. 4.3 billion), compared to $264 million (L.E. 11.7 billion) in the prior year which includes a sum of $ 104 million FX gain, primarily reflecting changes in investment income dynamics and macroeconomic conditions, including currency movements. Despite the decline unprofitability, the Bank continued to demonstrate strong balance sheet growth, with total assets increasing to $5.4 billion (L.E. 258 billion), compared to $4.7 billion in 2024 (L.E. 240 billion), and deposits rising to $4.1 billion (L.E. 195 billion), compared to $4.2 billion in the prior year (L.E. 177 billion). Total equity strengthened to $845.9 million (L.E. 41.6 billion), compared to $768.5 million (L.E. 39 billion), reinforcing its capital position and long-term resilience. Outlook The outlook for 2026 remains highly uncertain, shaped by geopolitical tensions, energy market volatility, and evolving global financial conditions. The Group will continue to execute its strategic priorities with discipline: deepening restructuring efforts, enhancing efficiency, and strengthening its core franchises, while maintaining a prudent approach to risk management. The progress achieved over the most recent years, provides a solid foundation. While external challenges persist, we are confident that the Group is better positioned today to navigate uncertainty and deliver more stable and sustainable performance over the medium term. Appreciation On behalf of the Board of Supervisors, I extend my sincere gratitude to our unitholders and clients for their continued trust and support, to the Religious Board for its guidance, and to the management and staff across the Group for their dedication and commitment. Allah is the purveyor of success. Omar Abdi Ali