Sampath Bank – regaining momentum amidst continuing headwinds
View(s):While the pandemic is undoubtedly one of the most formidable challenges Sri Lanka has encountered in recent years, it is believed that the collective response of the local banking sector has helped the country as a whole, to handle the unexpected economic downturn in 2020, Sampath Bank said this week in a media release releasing its 1stQ results for 2021. The bank too faced many challenges in adjusting to the pandemic.
Transitioning into a fully digital environment and an entirely new operating model under pandemic related restrictions was no easy feat. However, thanks to the solid progress made on the digital front in the recent past, the bank was able to make the transition in a matter of days to ensure uninterrupted operations. Equally importantly, Sampath Bank played a vital role in stabilizing the economy through the disbursement of the relief package for COVID affected businesses and individuals.
The bank recorded a Profit before tax (PBT) of Rs 6.1 billion in 1Q 2021 compared to Rs 3 billion in 1Q 2020, showing a sharp growth of 101 per cent, while Profit after tax (PAT) increased by 83 per cent to Rs 4.6 billion from Rs. 2.5 billion recorded in the first quarter of 2020. Resilient performance of all business lines along with the improved credit quality helped bolster Sampath Bank’s performance in the first quarter of 2021.
The Sampath Group also registered significant growth in 1Q 2021, as seen by the improvement in both PAT and PBT in the first quarter of the year. The Group reported a Rs 5.1 billion PAT and a Rs 6.7 billion PBT for the period under review, realising a growth of 90.7 per cent and 103.5 per cent, respectively compared to the figures reported for the same period in the previous year.