Mar 13, 2010 (LBO) – Sri Lanka’s Nations Trust Bank group said profits were up 19 percent to 214 million rupees in the March 2010 quarter from a year earlier and loans have also started to grow amid lower interest rates.
“The bank is financially strong with its funding and capital position in excellent shape. As a regulated business harnessing the power of sound risk management, we are here to deliver enhanced customer service and convenience,” chief executive Saliya Rajakaruna said.
The bank is planning to expand into the former war-torn North and East of the country and lend to small and medium enterprises. It had already opened a branch in Batticaloa in the Eastern coast and is planning to open a branch in Jaffna. Gross revenues fell 21 percent to 2.89 billion rupees in the quarter. Interest income fell 19 percent to 2.45 billion rupees; interest expense fell at a steeper 35 percent allowing net interest income to grow 17 percent to 1.06 billion rupees.
Fee income fell 29 percent to 434 million rupees with forex income falling 62 percent to 60 million rupees.
Performing loans and advances had grown 8 percent to 36.2 billion rupees in the March quarter from December, with gross loans growing 7.0 per