ECONOMYNEXT — Profit in Sri Lanka’s National Development Bank PLC (NDB) fell 21 percent to Rs. 2.8 billion for the quarter ended September 30, 2026, compared to Rs. 3.5 billion in the same quarter last year amid high interest expenses, its filing to the Colombo Stock Exchange showed.
The group recorded basic earnings of Rs. 6.40 per share for the third quarter (Q3), from Rs. 8.09 rupees per share a year ago.
The Group’s interest expenses rose by 22.7 percent in the quarter to Rs. 16.1 billion.
Gross income for the quarter rose 4.3 percent to Rs. 27.1 billion, while interest income increased by 8.8 percent Rs. 24.1 billion.
However, due to high interest expenses, the net interest income fell 11.2 percent to Rs. 8.1 billion rupees.
“Our Q3 2026 performance reflects the disciplined execution of our strategy to recalibrate the balance sheet and pursue measured and sustainable growth in line with our strategic priorities,” Kelum Edirisinghe, the Bank’s Director/CEO said.
“Ultimately, these results reaffirm the underlying strength and resilience of our franchise.”
The bank detected a financial fraud worth Rs. 13.64 billion.
It said the gross impact of the fraud applicable for the nine months of this year Rs. 2.6 billion and the nine months of last year is Rs. 4.5 billion.
It did not elaborate adjustments in made in the past year’s accounts over the gross impact of the rest of the Rs. 13.6 billion fraud.
For the nine months ended on September 30, the banking remained the primary operational driver, generating Rs. 80.3 billion in revenue and delivering Rs. 14.9 billion in segment profit before tax.
Among other segments, capital markets delivered a segment result of Rs. 213.8 million for the nine months, while property investment generated Rs. 201.3 million and other operations contributed Rs. 4.5 million.
Total assets reached Rs. 983.9 billion as of September 30, 2026. Net cash flow from operating activities stood at an inflow of Rs. 24.6 billion, with total interest-bearing borrowings at Rs. 158.6 billion and customer deposits reaching Rs. 716.9 billion.
NDB Bank shares closed at 103.00 rupees, down 0.72 percent or 0.75 rupees. (Colombo/Oct22/2026)