Aug 02, 2010 (LBO) – Sri Lanka’s Commercial Bank net profit for the June 2010 quarter rose 7.5 percent to 1.2 billion rupees from a year ago with a sharp fall in interest expenses, a stock exchange filing said. Total income was down 10 percent to 9.9 billion rupees in the quarter, the bank said.
Interest income fell 6.4 percent to 8.4 billion rupees while interest expenses fell at a sharper 25 percent to 4.6 billion rupees, allowing net interest income to rise 34 percent to 3.8 billion rupees.
Commercial Bank said fee income fell, dragged down large by a sharp fall in foreign exchange income, which halved to 439 million rupees in the June 2010 quarter from the previous year.
Basic earnings per share rose 6.7 percent to 3.20 rupees. Commercial Bank said provision for bad loans rose 67 percent to 105 million rupees in the June 2010 quarter.
Total performing loans and advances were 167 billion rupees as at June 30, 2010, up 1.62 percent from the beginning of the year.
Total deposits rose 3.20 percent to 242 billion rupees.
At bank level, the interest margin improved to 4.53 percent as at June 30, 2010 from 4.11 percent at the beginning of the year.
Return on assets before