Backed by its resilient model which advocates prudent risk management and governance fundamentals, Amana Bank PLC continued to navigate through turbulent times, effectively, leading to its best ever performance.
The Bank recorded a Profit Before Tax (PBT) of LKR 1.21 billion for the Financial Year ending 2022. The Bank’s 12% growth in PBT from LKR 1.08 billion recorded a year back, reflects its resilience, business agility and growing acceptance of its people centric unique value proposition. Tax expenses rose significantly from LKR 256 million to LKR 419 million recording a 64% increase which resulted in a Profit After Tax of LKR 788.2 million marginally lower from LKR 824.7 million in 2021.
Following the steep increase in financing rates, the Bank’s Financing Income increased substantially to reach LKR 12.1 billion in 2022 from LKR 7.7 billion recorded in 2021, denoting 58% YoY growth. Meanwhile, with Deposits being re-priced at a faster pace, financing expenses significantly rose by 115% from LKR 3.4 billion in 2021 to LKR 7.3 billion.
Despite the shortage in foreign exchange and import restrictions for most part of 2022, through the facilitation of imports of essential items, the Bank succeeded in growing its Net Fee and Commission Income by a commendable 87% to LKR 750.3 million.
Despite 2022 average inflation being in excess of 45%, the Bank contained the YoY rise of its Operating Expenses to 16.4%. As a result the Bank posted a noteworthy growth of 20% in Operating Profit Before VAT on Financial Services and Social Security Contribution Levy to reach LKR 1.73 billion compared to LKR 1.44 billion recorded a year back.