Commercial Profits

Feb 25, 2010 (LBO) – Sri Lanka’s Commercial Bank said group December quarter profits rose 8.3 percent to 1,207 million rupees while full year profits were up 1.7 percent to 4,191 million rupees. Basic earnings per share for the quarter were reported at 4.84 rupees and the full year at 16.80 rupees.

In the December quarter group revenues fell 5.0 percent to 11.0 billion rupees.

Interest income fell 8.9 percent to 8,905 million rupees, interest expenses fell at a faster 14.7 percent to 5,318 million rupees allowing net interest income to increase 1.2 percent to 3,587 million rupees.

Fee income fell 18.2 percent to 1,364 million rupees with forex income halving too 455.8 million.

The bank said its Bangladesh unit made a net profit of 624.6 million rupees contributing 14.5 percent to group profits.

Bad loan provisions were a net write back of 275 million rupees with a reversal of 762.4 million rupees.

Commercial Bank said a 15 million US dollar deposit kept by state-run People’s Bank had been set off against dues on an oil derivative contract following court proceedings.

Performing loans fell 6.2 percent to 164.6 billion rupees and bad loans rose 27.9 percent to