NDB Group records Rs 3 b PAT
Financial year 2012 proved to be a year of record performance for NDB
as it reported a 37% and 45% increase in profit before tax (PBT) and
profit after tax (PAT) respectively, with its asset base recording an
increase of 17% over December 31, 2011.
These growth levels resulted in a PBT of Rs. 4.6 billion and PAT of
Rs. 3 billion. However, it is noteworthy to mention that the share of
profits available for shareholders at a group level increased
significantly by 227% to Rs 8.8 billion due to the capital gains of Rs 6
billion generated as a result of the divestment of the investment in
AVIVA NDB Insurance PLC to American International Assurance (AIA)
Company Limited of Hong Kong during the fourth quarter of 2012.
The Net Interest Income of the Bank increased by 26% over the last
year with other income from fees, commission and forex income increasing
by 22% to Rs. 2.3 billion. On the operating expenses side, gross
administrative expenses increased with a controlled growth of 16% over
Provisions for loan losses for the period were reported at Rs. 94
million for the year compared to the reversal of Rs 326 million in 2011,
due to provision recoveries and releases of Rs 426 mn in 2011.
The asset base of the Bank grew to Rs. 162 billion as at December 31,
2012 from Rs. 138 billion as at year end 2011 indicating continued
acceleration of development financing activities by the Bank.
Advances (gross) of the Bank was Rs. 119.2 billion with an increase
of 18% over 2011, mainly on account of growth in the SMEs, agriculture
and the service sectors. The deposit base of the Bank increased by 31%,
with a 10% and 60% increase reported in current and saving deposits
respectively, improving the CASA percentage substantially.
The Bank also achieved a 21% return on equity and reported improved
Earnings Per Share (EPS) from Rs 12.25 in 2011 to Rs 17.74.