NDB Bank posts strong results in 2007

The NDB Bank Group’s post-tax profits for calendar 2007 rose 37 percent to Rs 1,637 million from Rs 1,191 million in the previous year -- even after excluding the exceptional capital gain of Rs 1.01 billion on the 2006 sale of a controlling stake in Eagle Insurance.

In a statement, NDB Bank said it continued to make strong progress in widening its business base, by offering a comprehensive range of banking products to its corporate, SME and consumer customers. The bank said it continues to invest in building brands, channels of distribution, in IT systems and in trained people on whom its success depends.

Bank-alone operating profits before provisions was Rs 2,411 million against Rs 2,090 million in 2006.

Pre-tax profit rose by 12% from Rs 2,086 million in 2006 to Rs 2,342 million in 2007.

The bank said there was also a significant increase in customer deposit at Rs 25.6 billion against Rs 21.2 billion in calendar 2006.

Provisions for doubtful debts however rose to Rs 68 million in 2007 against Rs 37 million in the previous year. Total specific provisions including the judgmental provisions made over and above the minimum Central Bank mandated provisions as at 31 Decembr 2007 amounted to Rs 1,369 million compared with Rs 1,508 million as at the previous year-end.