Header Ad

Sri Lanka’s Nations Trust Bank net up 20-pct in Sept quarter

ECONOMYNEXT – Profits at Sri Lanka’s NTB Banknet profits grew 20 percent to 1.3 billion rupees in the September 2020 quarter from a year earlier, helped by gains on forex swaps, and lower taxes, interim accounts showed.

NTB Bank reported earnings of 4.78 rupees per share for the quarter. In the nine months to Septemberthe bank reported earnings of 10.95 rupees on total profits of 3.1 billion rupees which grew 22 percent.

Net interest income grew only one percent to 4.1 billion rupees in the quarter, with interest income fell 11 percent to 8.85 billion rupees, interest expenses grew 19 percent to 4.7 billion rupees.

Loans fell 5 percent to 214 billion rupees from December to September.

The bank provided 161 million rupees a loss provisions in the September quarter up from 57 million rupees a year earlier.

Non-performing loan ratio went up to 7.18 percent in September from 6.17 percent in December 2019.

“In line with constrained operating conditions due to the restriction in movement which also hampered
collections to an extent, the non-performing loans ratio of the Bank increased..,” NTB said.

“The Bank also made additional provisions on impairment for identified customer segments on possible cash flow delays based on available information and on relief packages offered in the form of debt moratoriums.”

Financial assets which are market to market went up from 19 to 27 billion rupees and long term financial assets went up to 70 billion rupees from 38 billion rupees.

Fee income fell by 10 percent to 1.4 billion rupees from 1.6 billion rupees.





“In line with reduced business volumes due to the disruption caused by the COVID-19 pandemic and the
waiver of fees and charges, the fee based income dropped by 18 percent,” NTB said.

“Cards income resulted in the highest drop of 26 percent with the drop in card spend due to changes in customer spending pattern owing to the pandemic.

“The restrictions on non-essential imports and an overall decline in exports caused a 7 percent drop
in the trade fee.”

Gross assets were up 4 percent to 337 billion rupees. Customer deposits grew 6 percent to 239 billion rupees.

Net assets were up 12 percent to 35.1 billion rupees.

Tier I capital was at 12.4 percent, down from 12.9 percent at bank level (12.6 at group) higher than the 8.0 percent required.

Total capital adequacy was at 16.12 percent, down from 17.64 percent (group 16.4 down from 17.9 percent) (Colombo/Nov 15/2020).

Latest Comments

Your email address will not be published. Required fields are marked *