NDB continues its strong growth momentum in Q3 2014
View(s):The National Development Bank (NDB) Group said last week that it posted a strong growth of 49 per cent in profit for the nine months ended 30 September 2014.
Group post-tax profit was Rs. 3,309 million, up 50 per cent over the comparative period, while pre-tax profit was Rs. 4,422 million, which was a 34 per cent growth.
A bank statement said its strategic business focus in managing its lending, investment and borrowing portfolios resulted in a 15 per cent increase in Net Interest Income of Rs. 5,781 million, over the prior period, despite narrowing interest spreads within the industry.
“Impairment Charges for Loans and Other Losses was Rs. 324 million for the nine months ended 30 September 2014 as compared to a provision charge of Rs. 226 million for 2013. The impairment provisions represent the bank’s sound judgment in assessing the fair value of the impaired loans, based on objective evidence of future recoveries and are in accordance with the bank’s stringent risk management policies,” it said.
The Group Operating Expenses for the nine months was Rs. 4,305 million, up 7 per cent from the previous comparative period.
The Group Earnings Per Share (EPS) for the period under review was Rs. 27.26 with a 65 per cent increase over 2013.
The share price of the bank closed at Rs. 257.50 on September 30 with a market capitalization of Rs. 42.5 billion.
NDB Chairman Sunil Wijesinha, reflecting on results noted that the bank has recorded enhanced performance across all aspects of business in addition to commendable financial performance.
Its’ CEO Rajendra Theagarajah observed that the bank has achieved a more coherent, logical and strong model through focused strategic execution setting it on a solid platorm for ambitious growth.