Thursday, 3 May 2018

Pan Asia Bank posts Rs 498 mn PBT in 1Q

LBO - Pan Asia Banking Corporation PLC reported Rs 498 million in profit before tax for the quarter ended in March 31, 2018 (1Q’18) powered by a steady growth in new loans and improvement in overall margins which was resulted by prudent asset – liability pricing amidst rising market interest rates.

This enabled the bank to increase its net interest income by 11.0 % to Rs.1.34 billion for the quarter from Rs.1.21 billion recorded in the same period last year.

Meanwhile the core banking performance was aptly supported by the non-fund based incomes such as fee incomes and trading gains. The bank managed to increase its net fee and commission income by a modest 8.0 % to Rs.368.12 million from the same period in 2017.

Meanwhile the net trading gains rose sharply to Rs. 199.58 million during the quarter from Rs.69.83 million in the same period a year ago as the bank sold its short term investments in the trading portfolio realizing a sizable capital gain.

As a result of these fund and non-fund based incomes, the bank increased its total operating income by 17 % on year to Rs.1.99 billion.

Pan Asia Bank’s Director/ Chief Executive Officer Nimal Tillekeratne said although the bank witnessed a temporary slowdown in the bottom-line during its first quarter, the bank is now on a path of steadfast growth with built in resilience across all areas of operations which will reflect positively in the financial results in the coming quarters.

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