EconomyNext – Amãna Bank, Sri Lanka’s sole listed Islamic bank, said it started making profits in the December 2014 quarter with net earnings of 89 million rupees compared with a loss of 102 million rupees the year before.
Earnings per share for the quarter were seven cents, a stock exchange filing said.
For the financial year ending 31 December 2014, the bank made a loss per share of six cents with the total annual loss narrowing to 80 million rupees from a loss of 317 million rupees in 2013.
In the December 2014 quarter, net financing income rose 33 percent to 309 million rupees with financing income up 19 p while expenses fell almost eight percent.
Net fee and commission income shot up 53 percent to almost 40 million rupees while gains from trading soared 837 percent to 93 million rupees. The accounts also showed Impairment for bad loans of 16 million rupees.
"Amãna Bank has recorded its first profitable quarter for Q4 2014," a statement said. "The bank commenced achieving monthly operating profits in August 2014."
Total assets of the bank grew 49 percent to 34.9 billion rupees as at 31 December 2014.
For the year ending 31 December 2014, net financing income rose 68 percent 1.2 billion rupees.
"The bank’s growing popularity and acceptance resulted in a 62 percent growth in customer deposits during the year to reach 29.2 billion rupees and a 69 percent growth in advances to reach 25.4 billion rupees," the statement said.
"It is noteworthy that our growth in advances was coupled with an impressive asset quality which stood at 1.49 percent in gross Non Performing Advances, well below industry average," Chief Executive Mohamed Azmeer said.
Amãna Bank is listed on the Diri Savi second board of the Colombo Stock Exchange and top shareholders include Bank Islam Malaysia Berhad, AB Bank in Bangladesh and Islamic Development Bank based in Saudi Arabia.
Amãna Bank was recognized as the World’s Best ‘Up-and-Comer’ Islamic Bank by ‘Global Finance Magazine’ at the 18th Annual World’s Best Banks’ Awards 2014 in Washington DC, USA.