Retaining its position as the country’s largest private bank, Commercial Bank reported profit after tax of Rs 11.180 billion, which reflected a growth of 7.03%, despite marginally lower interest income due to a drop in the rate of returns on interest earning assets.
• Loan book grows 22.24% to Rs 463.6 billion
• Deposits up 17.34% to Rs 529.4 billion
• Assets increase by 31.29% to Rs 795.6 billion
• PBT Rs 15.736 billion; PAT Rs 11.180 billion
However, the strong performance of the Bank’s loan book, which grew by Rs 84.3 billion or 22.24% to Rs 463.6 billion, enabled the Bank to improve its net interest income by 5.2% to Rs 27.222 billion, buttressing profit growth. Interest expenses reduced to Rs 34.610 billion due to an improvement in the Bank’s CASA ratio, as a result of its success in mobilising low cost funds in the period reviewed.
Deposits increased by a noteworthy Rs 78.3 billion or 17.34% to Rs 529.4 billion over the year, at an average of Rs 6.5 billion per month, the Bank said in a filing with the Colombo Stock Exchange.
Gross Income improved marginally, due to the lower margins witnessed by the industry in 2014, to Rs 74.442 billion. The Bank’s assets increased by a vigorous 31.29% to Rs 795.6 billion.