Pan Asia Bank records Rs 197 m PAT in Q1

Pan Asia Bank continued with its growth momentum with an increase of 52 percent in its gross interest income which helped them achieve a Profit After Tax of Rs. 197m in Q1.

Total net revenue showed an impressive 19 percent increase Q1 compared to the corresponding period in 2011. Excluding Capital gains on Fixed Income Securities, the bank recorded an 18 percent improvement in its core banking activities compared to the corresponding period the previous year. This performance was achieved despite total expenses going up by 36 percent due to branch expansion and staff related costs. In the same period, the bank grew its total customer deposit base by over 13 percent to top Rs. 40b, a testament to the effectiveness of its strong branch network and promotional strategies employed.

In spite of operating in a challenging macro environment backdrop, Pan Asia bank also to generated a robust growth of 6 percent in its total customer advances portfolio which exceeded Rs 38b. The balance sheet stood at Rs. 49b as of end Q1.

While recording impressive growth numbers Pan Asia Bank also improved the strength of its financial position by maintaining a liquidity ratio of 21.29 percent which is well above the regulatory requirements.

The Bank's key areas, Retail Banking, Corporate Banking and Treasury contributed immensely to generate these impressive numbers while effective credit risk and controls in place ensures that Gross Non Performing Loan (NPL) ratios improved from 3.58percent to 3.43 percent in this period.

As of end of Q1, Net NPA of the bank stood at 2.2 percent. Pan Asia Bank added four new branches to its total branch network, taking it up to 68 branches as of end of Q1. Although this rapid growth comes at a significant capital cost, the bank remains committed to increase its retail banking footprint across the country with the intention of creating a strong platform for the bank to harness future growth potential of the country.