DFCC Bank Sri Lanka profits up 53-pct on capital gains
Nov 15, 2015 (economynext) – Profits at Sri Lanka’s DFCC Bank rose 53 percent to 912 million rupees in the September 2014 quarter from a year earlier helped by capital gains interim accounts showed.
The group reported earnings of 3.44 rupees per share. For the six months to September the group reported earnings of 7.68 rupees per share, on total profits of 2.07 billion rupees, ip from 1.22 billion rupees a year earlier.
DFCC group net interest income fell 11.2 percent to 4.1 billion rupees amid falling interest rates but interest expenses fell at a lower 8.2 percent to 2.44 billion rupees, shrinking net interest income 15.3 percent to 1.9 billion rupees.
Specific loan losses rose sharply to 469 million rupees from 110 million rupees but the bank reversed 395 million rupees in general provisions in the quarter compared to 181 million rupees of fresh provisioning a year earlier.
Fee income rose 24.9 percent to 267 million rupees.
Capital gains, which include share sales, gains on repurchase transactions and the net effect of foreign exchange swaps rose sharply to 550 million rupees from 37 million rupees a year earlier, helping boost profits.
The bank told shareholders that it made 300 million rupees in capital gains from share sales in the six months to September.
Loans grew 9.4 percent to 122.7 billion rupees during the six months, while financial investments available for sale went up to 47.8 billion rupees from 39.9 billion rupees.
Group assets rose to 196.7 billion rupees in the six months to December from 174 billion rupees and equity rose to 45.3 billion rupees from 40.1 billion rupees.