Business Times

NDB Group reaches Rs. 1 bln net profit 'landmark'

Sri Lanka's NDB Group has revealed it had reached a "landmark" Rs. 1 billion in group profit attributable to shareholders for the first half (H1), the period to end-June, of its 2011 financial year, a year-on-year increase of 37% over the corresponding period last year. This was identified as resulting from "strong core banking profits and improved performance of the group companies."

The NDB Group is said to have concerns in commercial banking, with 53 branches island-wide, as well as capital markets and insurance. Meanwhile, the group also indicated that its banking arm's "Net Income increased by 5% over the corresponding period last year. This improvement was supported by the significant growth in loans and advances and deposits by 44% and 41% respectively over te last twelve months. NDB Bank’s core banking profits (Operating Profit After Provision for Fall in Value of Dealing and Investment Securities less Equity Income) increased by 9.7% over the corresponding period last year."

Additionally, it also emerged that the bank's second quarter perfomance (April to June) was "significantly higher than the performance for the first quarter. NDB Bank’s Profit Before Tax for the second quarter was Rs. 971 million, a growth of 37% over the first quarter of 2011. This has been backed by strong Net Income growth of 16% over the same period. The Profit After Tax of the Bank for the second quarter was 31% higher than the Profit After Tax for the first quarter of 2011. Profit After Tax of the Bank increased even more significantly by 45% over the 12 month period, partly due to the reduced tax rates applicable from 2011.

The loans and advances and deposits portfolio grew by 23% (Rs. 16 billion) and by 14% (Rs. 8.6 billion) respectively over 31 December 2010. This impressive growth in the Bank’s lending portfolio and the deposit liabilities are well in line with industry growth rates. The Bank’s total assets as at 30 June 2011 increased by 28% over 30 June 2010 from Rs. 94.9 billion to Rs. 121.2 billion."

Also noted, despite significant growth in its loan portfolio, NDB Bank has kept its Non Perfoming Loanns (NPL) ratio to 1.58%, which it attributed to "strong credit analysis techniques and with the use of proactive risk management practices." Further, the bank also indicated it SME portfolio had "grown by 66% over the past 12 months." (JH)

Top to the page  |  E-mail  |  views[1]
SocialTwist Tell-a-Friend
Other Business Times Articles
Tourism expectations drop amidst no promotions, adverse publicity
India’s 4th largest FMCG firm launches new subsidiary in Sri Lanka
Call for Private Placement lock in periods after IPOs
3M to strengthen R&D in SL
Etisalat empowers entrepreneurship
Jet float docks in Sri Lanka
COMMENT - Tourism: Long way to go
Star classification in hotels
Sustainability imperative for “speed boat” Sri Lanka
Cargills 1Q12 group revenue, PAT up 25%
New high-tech facility to store grain, perishables
NDB Group reaches Rs. 1 bln net profit 'landmark'
FCCISL urges government to negotiate with cement suppliers Pakistan and India
Overseas Realty profits up sharply in 6mths to June 2011
Cinnamon Lakeside Colombo becomes first Green Globe Re-certified Sri Lankan Hotel extends into local languages with,
Norwegian entrepreneur introduces jetfloat recreational platforms to attract fun-loving European travellers
SriLankan air taxis popular with corporates
Landmark ICASL – INSEAD global leadership programme back in Sri Lanka following overwhelming demand
Colombo Plan to expand its membership up to West Asia
Seethawaka industrial zone utilizes 96% of its developed land conserving environment
Move forward with 2001/2002 petrol reforms, open up imports
There are no bad bosses
Technology Leaders Gathering in Sri Lanka for WSO2Con 2011
DCSL 1Q12 consolidated gross revenue, net profit up 35%
LOLC Securities launched
On'ally Holdings PLC profits up
Sampath's Lanka Bangla keeps investment
Prudential Shipping appointed logistics partner for KKS project
Sri Lanka displays its achievements in the construction industry
Lankan economy strong and able to withstand global 'jolts':Governor
19th NCE Annual Export Awards to be held on Sept. 16
Active market conditions!!!
Four mln dependants on Lanka Tourism in 9 years
Three Aitken Spence Heritance Hotels bag energy efficiency awards
Tourism recovery for debate at World Travel Market
Yala gets first hotel proposal outside buffer zone
Web marketing to push forward tourism promo: Godahewa
Women surfers, men’s longboard title to excite Pro Surf 2011


Reproduction of articles permitted when used without any alterations to contents and a link to the source page.
© Copyright 1996 - 2011 | Wijeya Newspapers Ltd.Colombo. Sri Lanka. All Rights Reserved | Site best viewed in IE ver 8.0 @ 1024 x 768 resolution