Sri Lanka's Union Bank pre-tax profit up 28%

Union Bank reported an operating profit on ordinary activities before tax of Rs. 158.6 million.

This represents a 30 % increase over the corresponding period of last year.

The bank’s operating profit before VAT and corporate tax improved by 21.4 % recording Rs 142.7 million up from Rs 117.5 million for period ended March 31,2011.

Net interest income increased to 295.7 million highlighting a 24.6% increase over the preceding year. Similar growth was also achieved in the bank's core activities.

Gross loans and advances increased by 11.9% during the three months to reach Rs 19.2 billion recording a 64% growth in comparison to March 2011.

Total deposits increased to Rs 20 billion as at March 31, 2012.

Anil Amarasuriya, Director / CEO of Union Bank stressed that these were achieved against challenging market conditions.

Union Bank has leveraged on its strong financial position and has comfortably surpassed the regulatory requirements on capital adequacy placed by the Central Bank of Sri Lanka and is already in excess of the Rs 5 billion mark required by 2015 enabling more space to continue bank operations safely and to remain steady and resilient.

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