Bank Status

Feb 28, 2011 (LBO) – Sri Laka’s Seylan Bank, under regulatory re-structuring reported a 387.2 million rupee profit for the December quarter from a loss of 30.4 million a year earlier, helped by foreign exchange profits and cost controls. Full year profits rose 176 percent to 1,207 million rupees. The group reported earnings of 4.75 rupees for the full year. December quarter earnings were 1.52 per share annualized at 6.09 rupees.

In the December quarter interest income fell 29.6 percent to 3.93 billion rupees, interest expense 30.3 percent to 2.67 billion rupees and net interest income fell around the same pace at 28.8 percent.

Fee income rose 50.5 percent to 720 million rupees, with foreign exchange income rising 50 percent to 610 million rupees.

Seylan said non-interest costs fell 8.2 percent to 1,489 million rupees in the quarter. There was a reversal of 73 million in loan losses against a provision of 1,145 million a year earler.

By December 2010 the group had performing loans of 76.3 billion rupees, up 24.8 percent from a year earlier, while non-performing loans fell 17.5 percent to 25.6 billion rupees from 31.1 billion rupees.

Deposits grew 5 percent to 110 billion rupees. Group gross assets rose 10.4 percen