Be the First to Know

lanka matrimony

NDB records Rs. 1.8 Bn PBT in 1Q-24

0 0

National Development Bank PLC, commenced the financial year on a positive note, with resilient performance for the first quarter of the year ended March 31, 2024 recording a pre-tax profitability of Rs. 1.8 billion which is an impressive increase of 31% over the same period in 2023 (YoY).

Total operating income for the period was Rs. 10.1 Bn YoY increase of 8%, driven by net interest income of Rs. 8.1Bn, net fee and commission income of Rs. 1.8 Bn and other income of Rs. 208 Mn.

NDB’s Director/ Chief Executive Officer Kelum Edirisinghe commented that the Bank continued to face challenges on relatively low credit demand due to subdued economic activity. Strong alignment to our strategic blueprint enabled us to withstand the challenges and deliver consistent value to our shareholders.”

“We remain committed to driving bottom line growth and enhancing shareholder value through customer-centric, innovative and sustainable banking practices.”

As the economy continues on the recovery mode, the Bank remains well poised in catering to emerging financial and advisory needs of the country and its people. The Bank’s concerted efforts in managing cost of funds led to an improvement in the net interest margin to 4.23% from 3.96% in 2023 thereby easing out the pressure from reduced interest income. Other non-fund based income posted a notable increase of 118%.

With the appreciation of the Sri Lankan Rupee, the Bank’s foreign exchange reserves of the FCBU book recorded a revaluation loss amounting to Rs. 1.3 Bn, accounted for under the Other Income category. Impairment charges for the quarter netted Rs. 4.4 Bn, a decrease of 9% compared to the same quarter in 2023. Impairment (Stage 3) to Stage 3 loans Ratio improved to 44.74% from 41.11% in the financial year 2023.

Total operating costs for the quarter was Rs. 3.9 Bn, within which the increase in other expenses categories comprising administration, marketing, etc. susceptible to general price level increases was contained at 11% – a direct outcome of strong cost discipline maintained across the Bank.

NDB’s total assets stood at Rs.757 Bn as at end March 31, 2024, a 3% de-growth compared to the total asset base as of 31 December 2023 (YTD).

Gross loans to customers also decelerated at a slower pace, at 2% YTD and closed in at Rs. 486 Bn. Customer deposits stood at Rs. 614 Bn, with a marginal decline of 0.2%.

Within total deposits rupee deposits grew by 4%, whilst foreign currency denominated deposits declined by 12% attributable to the appreciation in exchange rate, which if excluded would have led to a growth. Total assets at the Group level stood at Rs 765 Bn.

 

The post NDB records Rs. 1.8 Bn PBT in 1Q-24 appeared first on DailyNews.

Leave A Reply

Your email address will not be published.