Amana Bank records 9 month PBT of Rs. 940 Mn
Amana Bank has successfully continued its growth trajectory to record a Profit Before Tax of LKR 940.0 million for the nine months ending September 30, 2022, showcasing its resilient performance amidst a challenging economic environment.
The Bank’s PBT achievement reflects a 28% YoY growth compared to the 2021 corresponding period PBT of LKR 736.3 million. Profit After Tax for the same period reflected a 39% YoY growth to reach LKR 600.5 million from LKR 433.2 million recorded a year back. Both Profit Before Tax and Profit After Tax in Q3 alone grew by 66% YoY to reach LKR 383.0 million and LKR 238.5 million respectively.
During the 9 months period, the Bank’s Financing Income grew by 44% to LKR8.09 billion. Owing to policy rate changes resulting in higher cost of deposits and lower financing margin, the Bank’s Net Financing Income stood at LKR 3.10 billion. Total Operating Income recorded a 28% growth to reach LKR4.25 billion, which was supported by Net Fee and Commission Income of LKR 516.2 million and Net Trading Income of LKR 637.1 million, both showcasing significant YoY growth.
Despite headline inflation increasing in the recent past, where it increased from 66.7% in August to 73.7% in September, the Bank contained the increase in its operating expenses to 14%. As a result the Bank recorded a 32% YoY growth in Operating Profit before VAT on Financial Services to reach LKR 1.32 billion. The Bank’s aggregate tax contribution for the nine months ending 30 September stood at LKR 723.5 million, accounting for 55% of the Bank’s Operating Profit before all taxes. In the backdrop of tight monetary and market liquidity conditions, the Bank continued to support
private sector credit growth, with Customer Advances growing by 10% to close at LKR83.43 billion while Customer Deposits grew by 14% to close at LKR 109.72 billion, reflecting increased confidence in the Bank’s people friendly banking model. The growth in customer deposits was achieved whilst maintaining a healthy CASA ratio of 43%.
Chairman Asgi Akbarally said, “The Bank has been successful in navigating a turbulent period to reach a healthy financial position as of end Q3 2022.” Bank’s Managing Director/CEO Mohamed Azmeer said, “With the nation making headway towards economic recovery in the last few months, we remain confident and positive and stand ready to play an impactful role in enabling growth and enriching lives.”