Cost efficiencies drive vibrant 9-mth growth for ComBank
View(s):The Commercial Bank of Ceylon Group has achieved equitable growth for the nine months ending 30th September 2021, despite a slowing down in some key contributors in the third quarter of the year.
The group, comprising the Commercial Bank of Ceylon PLC – Sri Lanka’s largest private sector bank – its subsidiaries and an associate, has reported a gross income of Rs. 120.050 billion for the period, an improvement of 5.66 per cent over the corresponding nine months of 2020, with the third quarter recording a growth of 4.34 per cent in comparison with the 6.34 percent growth achieved for the first half of 2021, the bank said in a media release.
Interest income, the biggest component of gross income, grew by 3.43 per cent to Rs. 96.227 billion, improving on the 3.20 per cent growth achieved up to June 2021, and interest expenses continued to decline, albeit at a lower rate than in the first half of the year, the bank said.
Total operating income at Rs. 68.951 billion for the nine months, reflected a growth of 23.53 per cent and the group’s noteworthy achievement of restricting impairment charges to Rs. 17.997 billion during the period under review, an increase of only 7.56 percent as compared with a 47.44 per cent growth at the end of the first half of 2021, resulted in net operating income growing by 30.37 percent to Rs 50.954 billion.
Commercial Bank Chairman Justice K. Sripavan noted that these results demonstrate Commercial Bank’s strong ability to maintain healthy and balanced growth in core banking operations to mitigate the impacts of fluctuations in income from fee-based operations and other operating income. “Each quarter sees the bank maintaining or improving on its key performance ratios to become even more financially stable and better-positioned to continue its mission as a systemically important bank,” he said.
The Bank’s Managing Director S. Renganathan said: “It is most noteworthy that in terms of profitability, the group has also surpassed its 2020 full-year performance at the end of the third quarter of 2021 while improving its interest margins, return on assets and return on equity.”
Profit before tax for the period amounted to Rs. 25.067 billion, an improvement of 52.90 per cent. Income tax increased by 15.92 per cent to Rs. 6.049 billion, the relatively lower rate attributable to the reduction in the income tax rate. Consequently, profit after tax for the nine months reviewed grew by 70.17 per cent to Rs. 19.017 billion.
Hitad.lk has you covered with quality used or brand new cars for sale that are budget friendly yet reliable! Now is the time to sell your old ride for something more attractive to today's modern automotive market demands. Browse through our selection of affordable options now on Hitad.lk before deciding on what will work best for you!