NSB records higher performance in 1H2019
View(s):National Savings Bank demonstrated robust performance in the first half of 2019 amidst subdued macroeconomic and market conditions, with Profit Before Tax (PBT) growing by 15.5 percent to Rs. 4.3 billion when compared with the corresponding period of 2018.
Profit After Tax (PAT) rose by 15.2 per cent to Rs.2.3 billion in the same period despite the loss of Withholding Tax (WHT) on government securities amounting to Rs. 1.3 billion during 2019 due to removal of WHT benefit with effect from April 1,2018, the bank said in a media release.
Also, an additional tax of Rs. 832.7 million had a negative impact on profit during 1H2019 compared to the same period last year due to the implementation of the Debt Repayment Levy (DRL) which came into effect from 01.10.2018 onwards. The bank has contributed Rs. 4.8 billion to the Government through taxes and levies during the period under review.
Total income grew by 6.2 per cent to Rs. 59.1 billion whilst total operating income saw a growth of 15.3 per cent to reach at Rs. 15.1 billion. Net Interest Income (NII) which contributed to 90.9 per cent to the total operating income grew by 10.9 per cent to reach Rs.13.8 billion over the same period last year.
Administrative and overhead expenses during the first six months of 2019 rose in line with the enhancement of business activities.
Impairment charge for the 6-month period declined by 36.7 per cent over the same period last year fuelled by redemption of Sri Lanka Development Bonds (SLDB) which matured in 3Q2018.
Total assets of the bank grew by 5.2 per cent over December 2018 to reach Rs. 1.1 trillion supported by growth in customer deposits. Customer deposits reached to Rs.907.8 billion, up by 8.1 per cent over the end of December 2018 status.