Seylan Bank Net up 4.6% in September 2024 quarter

Profits at Sri Lanka’s Seylan Bank Plc group grew 4.61 percent to 2.06 billion rupees in the September 2024 quarter, interim accounts showed.

The group reported earnings of 3.25 rupees for the quarter, and the shares closed 0.56 percent stronger at 53.80 rupees.

Interest income fell 26.08 percent to 19.76 billion rupees during the quarter and interest expenses fell by a faster 33.53 percent to 11 billion rupees, resulting in a 13.97 percent fall in Net Interest income to 8.76 billion rupees.

Losses in trading turned onto gains with a 561 percent growth to 37.6 billion rupees from the same quarter last year.

The Bank in its financial statement said it had ensured the impairment provision was made to capture the changes in global and local economy, credit risk profile of customers and credit quality of the Bank’s loan portfolio in order to ensure adequacy of provisions recognized in the financial statements.

Loans grew 0.91 percent to 441.5 billion rupees in the nine month ended on September 30, 2024 from 437.53 billion from the end of last year. Provisions for bad loans reduced by 69.14 percent to 4.15 billion rupees.

Stage 3 accumulated impairments rose to 49.4 billion rupees from 49.2 billion rupees in the nine months through end September this year.

At bank level gross non-performing loans were at 3.05 percent in September from 3.85 percent a year ago.

Tier 1 capital was 12.58 percent, down from 12.86 percent but above the required level. Total capital adequacy was 17.05 percent, above the required level. (Colombo/October 30/2023=4)