Fee Boost

L to R: Samantha Ranatunga, Chairman, HVA Foods PLC; Jan Müggenburg, Chief Executive Officer, Müggenburg Group; Graham Stork, Chief Executive Officer, HVA Foods PLC; Sarva Ameresekere, Group Chairman, George Steuart & Co. Ltd.

May 14, 2012 (LBO) - Sri Lanka's NDB Bank group said net profits in the March 2012 quarter rose 19 percent to 720 million rupees, helped by strong foreign exchange income, interim accounts showed.

The group reported earnings of 4.

39 rupees for the quarter. Group return on equity was 16.8 percent up from 15.64 percent a year earlier. Return on average assets fell to 1.99 percent from 2.17 percent.

The stock opened at 118.80 rupee Monday and fell back to 117.
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00 in intra-day trade.

Group interest income rose 45 percent to 3.6 billion rupees and interest expenses rose at a faster 60 percent to 2.3 billion rupees, and NDB grew net interest income 24 percent to 1.32 billion rupees.

The net interest margin fell to 3.55 percent in the quarter from 3.71 percent a year earlier.

Fee income rose strongly by 44 percent to 947 million rupees with forex income rising 200 percent to 509 million rupees.

Performing loans grew 4 percent to 104.8 billion rupees from December 2011, and non-performing loans also kept pace at 4 percent reaching 1.4 billion rupees by end March. Gross non-performing loans were 1.


34 percent, flat from December.

The group provided 38 million rupees for loan l

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