NSB - impressive profit growth in 1Q, 2015

Profit Before Tax (PBT) of the National Savings Bank recorded a 32% increase to Rs.2,980 million in 1Q 2015 from Rs. 2,257 million recorded in the corresponding period last year. This is despite a Rs. 1.1 billion one-off gain reported during first quarter last year.

Growth was most impressive at 137%. Net Interest Income of the Bank increased by 73% to Rs. 6,968 million in 1st Quarter 2015 as compared to Rs. 4,026 million recorded for 1st Quarter last year.

Total operating income comprising net interest income, net gain from trading and financial investments and other income, increased by 21% to Rs. 6,792 million from Rs. 5,635 million recorded in correspondent period last year.

While net operating income increased by 26% to Rs. 6,166 million from Rs. 4,891 million recorded in 1st Quarter 2014.

Net Interest Margin also improved to 3.56% by end of March 2015 from 2.98%

recorded at the end of 2014. Also Return on Average Assets (before tax) increased to 1.52% as at March 31, 2015 from 1.46% recorded as at December 31, 2014.

The Bank also witnessed a positive change in deposit mobilisation mix during the first three months of the year and total mobilisation for the period was 6,036 million which consisted of Rs. 5,612 million savings deposits.

Total deposits of the Bank stood at Rs. 558 billion at the end of 1st Quarter, 2015.

Total loans and receivables recorded a growth of 5.4% during the first quarter when excluded the negative growth of pawning advances and with pawning advances growth rate was 3.9%. Total assets of the Bank stood at Rs. 785.2 billion at the end of 1st Quarter, 2015.