Sharp increase in NDB Bank's PAT
The profit attributable to the shareholders of the NDB Group
increased significantly by 38 percent over the first half of 2008. The
profit after tax and the profit before tax also increased significantly
by 37 percent and 27 percent over the corresponding period last year.
|
NDB Bank CEO
Eran Wickramaratne |
This impressive performance for the first six months is mainly due to
the significant profits earned from the banking segment of the NDB
Group.
The NDB Bank's profit before tax and the profit after tax increased
by 46 percent and 42 percent over the figures for the corresponding
period in 2008. The financial conglomerate's excellent performance
further substantiates the stability of the NDB Group in a highly
volatile global and local economic environment.
NDB Bank's core banking revenue (net interest income and other
income) grew by 39 percent over the corresponding period last year. The
Bank's core banking income includes Rs 607 m of gains from the trading
portfolio of government securities for the period compared with Rs 52 m
for the corresponding period last year.
The Bank's core banking revenue excluding the capital gains from
government securities increased by 14 percent over the first six months
of 2008.
NDB Bank's Net Interest Income grew significantly by 25 percent over
the corresponding period last year. During the first half of 2009 NDB
Bank also strengthened its liquidity position through an significant
increase in customer deposits by 21 percent over December 31, 2008 and
by gaining additional credit lines from multi-lateral agencies.
NDB Bank remains the most well-capitalised bank among local banks
with a Tier 1 Capital Adequacy Ratio of 13.52 percent and a Tier 1 and 2
ratio of 16.25 percent and is well in excess of the regulatory minimum
of 10 percent.
The Bank's stringent policies in maintaining the quality of its loan
book, resulted in the ratio of Non Performing Loans (NPLs) to the gross
lending portfolio increasing to only 3.08 percent as at June 30, 2009
compared to 2.3 percent as at December 31, 2008.
NDB Bank's NPL ratio remains one of the lowest in the local banking
industry where the average ratio was 8.7 percent as at June 30, 2009. |
