Pan Asia Bank posts Rs. 2.22 Bn PAT

Pan Asia Banking Corporation PLC reported a resilient financial performance for the 9-month period ended  September 30, 2024.

Supported by improved net interest income, fee & commission income and other operating income and reduced credit costs, the Bank reported a Pre-tax Profit of Rs.3.22 Bn for the 9 months period ended September 30, 2024 which is 52% increase compared tothe corresponding period last year.

Director and CEO of Pan Asia Bank Naleen Edirisinghe said, “Pan Asia Bank continues to demonstrate resilience despite external challenges and a growth in PAT of 78% for the 9 months period 2024 affirms our sound strategy, which will be accelerated for generating greater earnings from core banking while infusing operational efficiencies.”

The Bank reported a profit after tax (PAT) of Rs.2.22 Bn in the 9 months period 2024 which is a 78% increase compared to the corresponding period last year. The Bank reported an Earnings Per Share (EPS) of Rs.5.01for the 9 months period ended September 30, 2024. Meanwhile the Bank managed to end the 9 months period 2024 with healthy credit quality matrices due to improved credit underwriting standards and concerted collection and recovery efforts. The Bank has further strengthened the impairment provision buffers held on Stage 3 exposures prudentially during the period under review.

The Bank’s net fee and commission income has increased by 26% during the 9 months period2024mainly due to the increase in fee income generated from loans and advances due to increased demand for credit which resulted from the prevailing low-interest rate regime and other conducive macro-economic factors in the country. The Bank strived for earnings maximization through portfolio re-alignment and effective cost management amidst improved macro-economic conditions as the Bank reported an improved Cost-to-Income ratio of 47.63% during the reporting period from 48.31% for the year 2023.

The Bank reported a Net Interest Margin (NIM) of 4.84%for the 9 months period 2024. Meanwhile, the Bank reported a Return on Equity (ROE) of 12.67%and a Pre-Tax Return on Assets (ROA) of 1.77% for the period under review. Meanwhile, the Bank’s Net Asset Value Per Share as of 30thSeptember 2024 stood at Rs. 55.81. The Bank’s Stage 3 Loan Ratio improved to 3.80% as of 30thSeptember 2024 from 4.36% as of the last year-end while Stage 3 Provision Cover increased to52.65% as of 30thSeptember 2024 from 47.13% as of last year-end.