Forex Hit

May 14, 2012 (LBO) – Sri Lanka’s Commercial Bank of Ceylon said profits fell 19.7 percent to 2.25 billion rupees in the March 2013 quarter from a year earlier, on narrowing interest spreads and lower forex gains. Analysts are therefore forced to call banks up for basic information readily available under earlier rules, unless they voluntarily release the information through separate statements as Commercial Bank had done.

Loans and advances rose by a strong 4.2 percent to 388 billion rupees during the quarter from December.

Loan loss provision fell to 511 million rupees from 1,030 million with changes in accounting rules also helping, the banks said.

The gross non-performing loan ratio at stand alone bank level rose to 3.59 percent from 3.37 percent and net non performing ratio to 2.0 percent from 1.84 percent.

Gross assets of Commercial Bank group, Sri Lanka’s largest privately owned lender rose 4.8 percent to 537.2 billion rupees and net assets were flat at 52.9 billion rupees.

Update I The bank reported earnings of 2.66 rupees for the quarter. It closed at 116.00 rupees down 1.20.

Interest income rose 25 percent to 14.4 billion rupees and interest expenses rose at a faste