Bank Fortunes

Aug 07, 2009 (LBO) – Sri Lanka’s Sampath Bank said profits for the June quarter went up 20 percent to 449 million rupees from a year ago on higher interest margins, fee-based income and loan recoveries, despite a shrinking loan book.

Sampath Bank said in a stock exchange filing that group interest income for the June quarter was up 12.4 percent to 5.49 billion rupees, while interest expenses were up 8.8 percent to 3.58 billion rupees.

Net interest income was up 18.4 percent to 1.91 billion rupees.

The group’s fee-based income in the June quarter had increased 18.4 percent to 795 million rupees from the corresponding quarter last year.

Foreign exchange income was up 62.7 percent to 143 million rupees, while other income went up 11.7 percent to 652 million rupees.

Net income for the June quarter climbed 19.4 percent to 2.7 billion rupees.

Sampath’s non-interest expenses were up 24.3 percent to 1.37 billion rupees.

The bank had made a recovery of 164.5 million rupees of bad debts in the June quarter, as against provision of 247 million rupees made during the same period of 2008.

Value Added Tax on financial services was up 37.4 percent to 323.1 million rupees, Sampath’s financial statements sa