Sri Lanka's Bank of Ceylon assets top a trillion rupees...

Sri Lanka's state-run Bank of Ceylon, the island's largest commercial bank has topped a trillion rupees (7.6 billion US dollars) in assets by the end of May 2012, officials said.

Chairman Gamini Wickramasinghe said a target for one trillion in assets and ten billion rupees in profits was set for 2012 in 2009, but at the time many people thought it was not achievable.
"We were able to do it because of because the earlier management had put a good foundation," Wickramasinghe said.

"We have achieved this growth without compromising on asset quality or undermining risk management. Our non performing loans are about 2 percent."

Wickremasinghe said the bank was lending to all sector of the economy and also to customers in the former war torn areas in the North and the East.

The bank has a loyal customer base in the area as it was one of the few banks to operate in even separatist controlled areas during the island's 30-year war.

Wickremasinghe said the bank was looking to boost its capital.
"We hope the government will re-invest our dividends as equity," he said.

Chief financial officer Asoka Rupasinghe said though its capital was strong, to grow fast in the future it had to have strong equity buffer to be able to absorb shocks.

The bank is now rated and taps international capital markets.

By March 2012 the bank had 942 billion rupees in assets on a standalone basis up 12.7 percent from a year earlier while group assets were 962 billion rupees.

Last month it raised a 500 million US dollar bond. Officials say about 30 percent of its assets are dollar denominated.

It is also a large lender to the state and to state enterprises. About 30 percent of its loans are to state enterprises.

http://www.lankabusinessonline.com/fullstory.php?nid=1268159840

* Calls on govt. to assist further capital build-up to meet growing credit demand
By Mario Andree

State-owned banking giant the Bank of Ceylon yesterday (18) announced that its asset base had crossed the trillion rupee mark and its Chairman has called on the government to help the bank finance its capital build-up required to generate enough loans in order to meet the needs of the country’s expanding economy.

The Bank of Ceylon became the first commercial bank and business entity in the country to record one trillion rupees in assets and requested the government to support its endeavours by increasing equity in the bank.

The bank expects a profit of Rs. 18 billion as at 31 December 2012 after successful achievement of Rs. 15 billion pre tax profit as at 31 December 2011. As at 31 March 2012 the bank recorded a profit of Rs. 5.82 billion.

The banks total assets as at 31 March, 2012 stood at Rs. 942 billion, advances reached Rs. 590 billion. The total deposits for the year were at Rs. 626 million with more than ten million depositors.

The return on average assets as at 31 March, 2012 increased by 2.6 percent, while the return on equity increased by 41.4 percent.

Bank of Ceylon Chairman Dr. Gamini Wickramasinghe said it was a milestone for the bank in the government’s journey to achieve a per capita income of US$ 4,000 by 2016.

However, he said the bank was requiring further equity and urged the government to support the bank by financing equity.

He said that all banks in the country needed to possibly double or treble balance sheets in the coming years to achieve the government target.

Commenting on the bank’s achievement, he said, "Many ministers and senior officials thought the bank’s targets were hilarious and was unachievable in the given time frame, we at the bank produced our 2012 targets to the government with a Rs. trillion asset base and Rs. 10 billion profit targets in 2009, and we achieved what we promised before the time frame."

The bank’s total income grew 45.8 percent or Rs. 29 billion from 2009 to 2012, its profits increased 334 percent or by Rs. 14 billion, while its total operating expenses increased 27.8 percent or by Rs. 4.5 billion, the banks data revealed.

The bank said business volumes had increased by 98 percent in the Northern province and 90 percent in the Eastern province.

It said it has been able to deliver good results due to an increase in staff productivity, efficient use of assets and overheads controlled and maintained at a minimum.

Despite the high credit growth, the bank’s non-performing loans were maintained at 2.2 percent as at end March 2012, slightly higher than the 2.1 percent for the 2011 fiscal year.

Assts had grown 75 percent by the end of March 2012 year-to-date, far ahead of another state-owned bank, the People’s Bank, whose asset base grew 48 percent followed by Commercial Bank of Ceylon PLC with an asset growth rate of 47 percent.
http://www.island.lk/index.php?page_cat=article-details&page=article-details&code_title=54752

එවැනි ශේෂ පත්‍රයක් සහිත ලංකාවේ පළමු ව්‍යාපාරික ආයතනය මෙයයි
රුපියල් ට්‍රිලියනයක ශේෂ පත්‍රයක් සහිත ලංකාවේ පළමු ව්‍යාපාරික ආයතනය බවට ලංකා බැංකුව ගෙවුණු මැයි 31 වනදා වනවිට පත්වූ බවත් වසර දෙකහ මාරක් තුළ සිය ශේෂ පත්‍රයේ දෙගුණයක වර්ධනයක් ඇතිවූ බවත් ලංකා බැංකුවේ ප්‍රධානියා කියයි.

ලංකා බැංකුවේ ප්‍රධානී ආචාර්ය ගාමිණී වික්‍රමසිංහ අද පස්වරුවේ කොළඹදී මේ බව පැවසූ අතර 2016 දී ඩොලර් 4000 ක ඒක පුද්ගල ආදායමක් ළඟාකර ගැනීමට ලංකාව කර තිබෙන ඉලක්කයට සමගාමීව යමින් සිය ශේෂ පත්‍රය වර්ධනය කර ගැනීමට ඉලක්ක කර තිබූ බව හෙතෙම කීය.

2012 දෙසැම්බර් අවසානයේදී රුපියල් ට්‍රිලියනයක ශේෂ පත්‍රයක් රුපියල් බිලියන 10 ක ලාභයක් ලබා ගැනීමට කර තිබූ මෙම ඉලක්කය සිහිනයක් ලෙස සමහරුන් පැවසුවත් ඉලක්කය මාස හතකට කලින් ළඟාකර ගැනීම ජයග්‍රහණයක් යැයි වික්‍රමසිංහ මහතා සඳහන් කළේය.

ගිය මුදල් වසරේ ලංකා බැංකුවේ බදු වලට පෙර ලාභය රුපියල් බිලියන 15.5 කි.

මේ පිළිබඳව අදහස් දක්වමින් ලංකා බැංකුවේ මූල්‍ය හා සැලසුම් අංශයේ නියෝජ්‍ය සාමාන්‍යාධිකාරී ඩබ්ලිව්.පී. රසල් ෆොන්සේකා පැවසුවේ වසර දෙකහ මාරක් තුළ බැංකුවේ ශේෂ පත්‍රය දෙගුණ වීමට තැන්පතු හා පසුගිය කාලයේදී නිකුත් කළ ණයකර නිකුතුවේ මුදල් වලින් කොටසක් දායක වූ බවයි.

බැංකුවේ ලාභය රුපියල් බිලියන තුනක පමණ සිට රුපියල් බිලියන 15.5 ක් දක්වා වැඩි වන්නේ ශේෂ පත්‍රය දෙගුණ වූ කෙටි කාලය තුළදී බවත් මේ නිසා අදාළ වත්කම් ගුණාත්මක බවින් ඉහළ බවත් හෙතෙම කීය.

එසේම, ශේෂ පත්‍රය දෙගුණ වූ මෙම වසර දෙකහ මාරක කාලයේදී බැංකුවේ අක්‍රීය ණය ප්‍රමාණයද අඩුවූ බව ෆොන්සේකා මහතා පෙන්වා දුන්නේය.

මෙම ඉලක්කය ළඟාකර ගැනීම සඳහා උතුරු නැගෙනහිරින්ද විශාල දායකත්වයක් ලැබුණූ බවත් ගිය මූල්‍ය වසරේදී සිය ව්‍යාපාරික කටයුතුවල උතුරේ වර්ධනය 100 ක්ද, නැගෙනහිර වර්ධනය සියයට 95 ක්ද වන බවත් වික්‍රමසිංහ මහතා පෙන්වා දුන්නේය.

මිලියන 10 ක ගනුදෙනු කරුවන් සිටින ලංකා බැංකුවට වසර 73 ක ඉතිහාසයක් තිබේ.
http://www.vimasuma.com/new_full_story.php?subcatcode=2&newscode=2086280853

Bank of Ceylon (BOC) made history by achieving Rs.1 trillion assets by end of May 2012, being the first ever business entity in Sri Lanka to attain this milestone. This expansion drive was formulated in line with the Government’s mandate to achieve US$ 4,000 per capita income by 2016 and also to support the rapid economic growth which is the need of the hour in the post conflict era.

Bank of Ceylon (BOC) made history by achieving Rs.1 trillion assets by end of May 2012, being the first ever business entity in Sri Lanka to attain this milestone. This expansion drive was formulated in line with the Government’s mandate to achieve US$ 4,000 per capita income by 2016 and also to support the rapid economic growth which is the need of the hour in the post conflict era.

BOC, standing tall as the ‘Bankers to the Nation’, today takes pride in achieving its planned growth well in advance which was due in terms of our plan to achieve in December 2012.

Commenting on the remarkable feat, Chairman of BOC Gamini Wikramasinghe said, “Our growth in assets was coupled with the growth in profits. The profit before tax increased up to Rs.15.5 b by December 2011. This is also apparent by the decline in the cost to income ratio drastically during last few years up to 46% in March 2012”.
Augmented asset base of the bank has not come at the expense of the quality of assets and the NPA ratio also stood at 2.5% in March 2012. Further, the risk profile of the bank also remained undisturbed. The asset growth of BoC proved to be steady and evenhanded - geographically, business sector-wise and also economic sector-wise.

“In order to attain sustainability in our growth we gave equal prominence to all business units, be it retail, corporate, international and treasury and offshore and overseas. We have achieved an equitable growth in all the business sectors,” he added.

Further, BOC’s risk concentration in all the economic sectors it serves also demonstrated an evenhanded growth. However, in support of the Government initiatives the exposure to sectors such as hotels, travels and services, agriculture and infrastructure development increased.

These feats have been attained in the midst of global economic and political turmoil. Further, the slow moving core capital base curtails the bank’s ability to augment the assets. However, BoC is poised to further achieve a steady and sustainable growth together with high profitability. “We are now visualizing the Rs.2 trillion horizons,” Wickramasinghe added in a positive note.

http://www.nation.lk/edition/money/item/7417-boc-achieves-rs1-trillion-assets.html

Does Rs.1 Trillion represent the value of total assets (Current + Non Current) or Net assets (Total assets - total liabilities)?

worthiness wrote:Does Rs.1 Trillion represent the value of total assets (Current + Non Current) or Net assets (Total assets - total liabilities)?

Total assets