Ms Kimarli Fernando-CEO |
Pan Asia Bank continues to forge ahead with an impressive 42% growth in Profit before Taxes and VAT for the first quarter ended March 31, 2009 when compared to same period last year. Bank recorded a Profit before Tax of Rs. 205 mio and Profit after Tax of Rs. 92 mio, a growth of 39%. Growth in Income, both Net interest income and other income and sustainable cost control measures contributed to the impressive bottom line.
Result would have been even better if not for increased provision mainly on account of the bank's credit card portfolio, which resulted an increase NPA Ratio to 12.74% as at March 2009, for which the management has taken steps including introducing more controls segregation of duties, automation, strengthening the recovery unity and follow processes.
Pan Asia Bank grew its customer Deposits by 15% and Advances by 18% when compared with quarter ended 31 March 08. Kalutara was added to its growing branch network of 33. Bank's plan during the year is to add 3-5 new branches to the network and look to re locate several of existing branches to upgrade the facilities and, to provide a more modern, customized and professional service.
Mr A G Weerasinghe
Chairman |
Liquidity which is considered paramount requirement for banks and capital adequacy ratios remain comfortably above minimum CBSL liquidity ratio and Basel requirements. Liquidity Ratio was at 22.03% against a requirement of 20%, Tier I and Tier II Capital Ratio stood at 12.83% and 13.58% respectively against required ratios of 5% and 10%. Advances to Deposit Ratio (ADR), which the Pan Asia Bank monitors internally remains within target level of 85%.
CEO Pan Asia Bank, Kimarli Fernando said "Hard decision taken and changes made during the second half of last year is showing results as the figures reveal. Profits have grown, efficiencies have improved and better controls are in place. It is an ongoing continuous improvement process.
We expect the growth momentum to continue despite the uncertain and difficult business environment due to the global economic downturn, and expect to achieve sound results by year end. The expected peace in the North and East will also give us new opportunities for which we are gearing up with plans to expand in these areas. " |
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