SEYLAN BANK
Seylan Bank records Rs. 902 Mn Profit-after-Tax in Q1 2020
Colombo. 27th May 2020. Seylan Bank recorded a Profit after Tax of Rs. 902 Million in Q1 despite challenging market conditions.
Net interest income increased by 7.28% during the 1Q 2020 while net fee and commission income from core banking activities witnessed an increase of 2% to reach Rs. 986 Million in 1Q 2020 as compared to Rs. 966 Million for the comparative period.
Other income captions comprising of net gains from trading activities, fair value changes of financial instruments, gains on foreign exchange transactions and other operating income were reported as a net gain of Rs. 415 Million compared to net gain of Rs. 368 Million in 1Q 2019.
Impairment charges for the period reached Rs. 1,116 Million, which is an 89.41% increase as compared to a charge of Rs. 589 Million in Q1 2019.
Total Expenses recorded an increase of 5.27% from Rs. 3,098 Million in the 1Q of the previous year to Rs. 3,261 Million during the period under review.
Gross Loans and advances portfolio of the Bank recorded a marginal growth of Rs. 613 Million during the 1Q 2020 and the net position recorded a negative growth of Rs. 228 Million. The overall deposit base recorded a marginal growth of 1.56% to Rs. 407,002 Million by 1Q 2020 while the Bank’s CASA ratio (Current and Savings) stood at 28%. Further, the total Time Deposits increased slightly from 71.61% by end of year 2019 to 72.06% as at 31st March 2020 of the total deposits base.
The Bank’s NPA ratio was 6.27% as at end of Q1 2020.
At the end of the first quarter, the Bank’s Earnings per Share (EPS) stood at Rs. 1.79. Further, the Bank recorded a Return (before tax) on Average Assets (ROAA) of 0.98% and Return on Equity (ROE) of 7.98%. The Bank’s Net Asset Value per share as at 31st March 2020 was Rs. 90.91. Seylan Bank remained soundly capitalised, with the key capital adequacy ratios well above the regulatory minimum requirements and recorded 14.58% as the total capital ratio.
The Bank and its employees jointly, contributed to a fund to support the eradication of COVID-19 pandemic. Through this it has undertaken improvements in the intensive care and critical care facility at Colombo East Base Hospital as well as providing protective face shields to the Police Force and the Public Health Inspectors.
