NTB achieves Rs one billion profits for 2010
Nations Trust Bank PLC announced that the Group closed the year 2010 with pre-tax profits of Rs 2.55 billion, a 58 percent increase over 2009 while post tax profits also grew by 58 percent and crossed the rupees one billion mark to reach Rs 1.08 billion in the financial results for 2010 released to the Colombo Stock Exchange.
The Group results revealed increased volumes and improved margins across all its business lines during the year under review, which helped in achieving the profit growth. Improved credit quality as experienced in the industry, resulted in better collections which also helped to boost the profits of the Group.
The fourth quarter 2010 results of the Group were also equally pleasing with pre-tax profits increasing by 31 percent and post tax profits increasing by 30 percent.
Group net interest income recorded an increase of 23 percent over 2009. Whilst interest income declined by 16 percent due to the downward revision of interest rates, it was more than off-set by a 34 percent reduction in borrowing costs.
Total non-fund-based income showed a growth of seven percent over the previous year. Both Trade and FX income also showed exceptional growth levels for the current year. Trade income growth was due to the general increase seen in import and export volumes compared to the previous year.
FX income performed well due to the increase in customer volumes and the favourable movements in forward premiums. Trading income on FIS portfolio was notably well below the levels seen in 2009.