ECONOMYNEXT – Net Profits at Sri Lanka’s National Development Bank grew 144 percent to 2.04 billion rupees in the March 2025 quarter from 873.7 million rupees a year earlier, helped by lower bad debts.
NDB Bank reported earnings of 4.79 rupees per share for the March 2025 quarter.
The Bank in its quarterly earnings report said it recorded a total impairment charge of 2.6 billion rupees, a significant 40 percent reduction over the corresponding period of the last year.
“Additionally, the Bank recorded a reversal of Rs. 457.5 Mn related to the unwinding of the Day One Loss of debt restructuring in 1Q 2025. The impairment charge on loans and advances for 1Q 2025 saw a 22% reduction YoY,” NDB said.
Net fee and commission income grew by 2 percent to 2.29 billion rupees from 2.25 billion during the same quarter in 2024.
Interest income fell by 15 percent to 20.4 billion rupees for the quarter, interest expense fell at a higher pace of 22 percent to 12.4 billion rupees from nearly 16 billion rupees and net interest income fell 1 percent to 8 billion rupees.
“We are seeing renewed demand for credit as our customers regain financial momentum in an improving economic environment,” Director/Chief Executive Officer Kelum Edirisinghe said on the 1Q 2025 performance.
Pretax profits grew by 125 percent to 3.16 billion rupees, up from 1.4 billion rupees.
“With a legacy in development financing and a track record of standing by our citizens through every economic cycle, we are well-positioned to drive a future of smart growth,” the Bank said in its statement.
Tier I capital adequacy stood at 12.16 percent in March, above the required minimum of 8.5 percent.
Total capital adequacy was at 16.95 percent above the required level of 12.5 percent.
NDB’s total assets grew by 7percent to 852.4 billion rupees at group level. (Colombo/May 15/2025).