BOC 2012 profits up despite 4Q dip

1 April 2013 03:26 am - 0 - {{hitsCtrl.values.hits}}

A A A

State banking giant, Bank of Ceylon (BOC) with an asset base of over one trillion rupees saw its group net profits in December quarter declining 16 percent to Rs.3.5 billion from the corresponding quarter in 2011, according to the quarterly financial statements released recently.

Despite 4Q profit decline, the banking group however was resilient enough to post a net profit of Rs.14.0 billion in 2012, the highest profit by any bank in the country. This is a growth of 13 percent from the preceding year.

Meanwhile the loans and advances of the bank grew at 27.4 percent, 4.4 percent above the Central Bank imposed credit ceiling of 23 percent (including of funds mobilized overseas) for 2012.

According to the Central Bank road map for 2013, banking sector credit growth stood at 23.3 percent up to November 2012.

The deposit base of BOC, the bank with the largest footprint in terms of branches (324 branches and 218 extension offices) too grew at 16.1 (sector average 18.2 pc to November) to Rs. 692 billion.

The net interest income of the bank, the main source of income from the fund-based operations represents over 70 percent of the total operating income, rose 41.3 percent to Rs.35.4 billion. The bank was also able to improve the net interest margin by 0.54 percent over the previous year to 3.75 percent despite the increase in cost of funds.

Nevertheless the commission and fee-based income dropped by 2.5 percent (Rs.166 million) to Rs.6.43 billion in 2012 over the previous year.

While net trading expenses decreased by 81 percent to Rs. 261.36 million, the other operating income increased by as much as 107.70 percent to Rs. 7.97 billion. The total operating expenses increased by 22.30 percent to Rs.20.81 billion.

Meanwhile both return on assets (before tax) and return on equity (after tax) dropped to 2.10 percent and (from 2.17 percent) and 30.62 percent (33.14 percent) respectively.

While the statutory liquid asset ratio of domestic banking unit dropped to 21.80 (from 23.36 percent), the ratio of off-shore banking unit slightly improved to 24.95 percent (from 24.39 percent).

Though the ratio was maintained at a reasonably high level over the minimum requirement of 20 percent, it remained below the industry average of around 31.20 percent.

The core-capital adequacy ratio (8.63 percent) and the total capital adequacy ratio (11.80 percent) too improved during the year and remained well above the minimum requirement of 5 percent and 10 percent.

Order Gifts and Flowers to Sri Lanka. See Kapruka's top selling online shopping categories such as Toys, Grocery, Kids Toys, Birthday Cakes, Fruits, Chocolates, Clothing and Electronics. Also see Kapruka's unique online services such as Money Remittence,Astrology, Courier/Delivery, Medicine Delivery and over 700 top brands. Also get products from Amazon & Ebay via Kapruka Gloabal Shop into Sri Lanka

Comments - 0

Add comment
Comments will be edited (grammar, spelling and slang) and authorized at the discretion of Daily Mirror online. The website also has the right not to publish selected comments.

BOC 2012 profits up despite 4Q dip

Comments - 0

Add comment

RECOMMENDED

‘Spike in blast fishing’ poses renewed threats to Sri Lanka’s marine ecosystems

UDA owned land in Thalawathugoda; UDA Minister Prasanna Ranatunga under the spotlight for forceful occupation of reserved land

Loss-making SMIB faces political pressure in recovering loans

Baltimore Bridge Collapse: MV Dali, SL authorities anchored in mystery?

Has Sri Lanka become a potential hub for the illegal wildlife trade?

Spotlight on Moragahakanda Development Project Moragolla villagers lose livelihoods and down to one meal a day

Ambitious Sri Lankan jobseekers ‘trafficked into Ukraine war zones’

Most Viewed in News

Street food vendor arrested for verbally harassing foreigner

Racing event tragedy leaves seven dead including eight-year-old child

Two racing drivers arrested over Fox Hill tragedy

Ranil Wickremesinghe caravan moves on despite barking dogs

Complaint lodged over Piumi Hansamali's possession of Gota’s Range Rover

Sri Lankan among NASA’s new crew for next simulated Mars journey

MIRROR CRICKET

Is Chamari Athapaththu Sri Lanka’s greatest cricketer ever?

Athapaththu back atop ICC Women’s ODI Batting Rankings

Chamari Athapaththu sets big goal for T20 World Cup

How does CSK get best out of Pathirana?

TODAY'S HEADLINES

No footboard riding allowed, no liability for accidents: Railways Department

Six patients claim Rs.600 million from Keheliya and others for permanent loss of sight

SLPP, UNP initiates action for forming broad alliance

Here is the way!

Pakistan lose key players for last two T20Is against New Zealand

Sri Lanka secures third spot in South Asian Kurash Championship 2024

Athapaththu back atop ICC Women’s ODI Batting Rankings

Army forms committee to probe Diyatalawa Fox Hill Supercross accident