COMBank makes prudent start to new fiscal year

Turnover up 6.85 % to Rs 11 billion in 1Q, but provisioning and other precautionary measures pruned after tax profits by 13% to Rs. 892 m

The Commercial Bank of Ceylon Group has posted a turnover of Rs 10,982 million in the three months ended March 31, 2009, a healthy growth of 6.85 per cent.
In results released to the Colombo Stock Exchange yesterday, Commercial Bank of Ceylon PLC, its associates and subsidiaries reported a profit before tax and financial VAT of Rs 2,150 million, and profit before tax of Rs 1,635 million. Group Net profit after tax for the quarter was Rs 892.2 million.
Significant developments in the period reviewed included a suspension of interest on certain loans by the Bank, as a result of the prevailing economic situation. This resulted in net interest income declining from Rs 2,992 million in the first quarter of 2008 to Rs 2,942 million this year, although total interest income grew by more than 3 per cent.

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