Bank			Group
For the year ended 31 December	Note	2016 LKR ’000	2015 LKR ’000	Change %	2016 LKR ’000	2015 LKR ’000	Change %
Total income	7	154,121,372	131,501,809	17.2	159,701,225	137,984,350	15.7
Interest income		134,685,338	112,745,122	19.5	139,701,569	117,083,894	19.3
Less: Interest expenses		80,727,850	66,419,398	21.5	83,095,077	68,381,409	21.5
Net interest income	8	53,957,488	46,325,724	16.5	56,606,492	48,702,485	16.2
Fee and commission income		8,739,625	8,909,197	(1.9)	8,983,083	9,258,470	(3.0)
Less: Fee and commission expenses		1,520,190	1,070,847	42.0	1,607,271	1,176,580	36.6
Net fee and commission income	9	7,219,435	7,838,350	(7.9)	7,375,812	8,081,890	(8.7)
Net gains/(losses) from trading	10	2,061,616	3,968,014	(48.0)	2,037,390	3,985,172	(48.9)
Net gains/(losses) from financial instruments designated at fair value through profit or loss		–	–	–	–	–	–
Net gains/(losses) from financial investments	11	273,881	610,336	(55.1)	312,273	641,918	(51.4)
Other operating income	12	8,360,912	5,269,140	58.7	8,666,910	7,014,896	23.6
Total operating income		71,873,332	64,011,564	12.3	74,998,877	68,426,361	9.6
Less: Impairment charge/(reversal) for loans and other losses	13	4,396,761	5,903,803	(25.5)	4,421,000	6,365,954	(30.6)
Net operating income		67,476,571	58,107,761	16.1	70,577,877	62,060,407	13.7
Less: Operating expenses
Personnel expenses	14	16,844,431	16,744,196	0.6	18,409,329	18,158,068	1.4
Other expenses	15	13,178,506	11,268,925	16.9	15,737,789	13,646,317	15.3
Total operating expenses		30,022,937	28,013,121	7.2	34,147,118	31,804,385	7.4
Operating profit before Value Added Tax (VAT) and Nation Building Tax (NBT) on financial services		37,453,634	30,094,640	24.5	36,430,759	30,256,022	20.4
Less: Value Added Tax (VAT) and Nation Building Tax (NBT) on financial services		6,264,949	4,815,725	30.1	6,376,679	4,872,944	30.9
Operating profit after Value Added Tax (VAT) and Nation Building Tax (NBT) on financial services		31,188,685	25,278,915	23.4	30,054,080	25,383,078	18.4
Share of profits/(losses) of associate companies, net of tax	16	–	–		62,952	93,590	(32.7)
Profit before income tax		31,188,685	25,278,915	23.4	30,117,032	25,476,668	18.2
Less: Income tax expense	17	6,397,689	7,921,477	(19.2)	6,731,105	8,089,281	(16.8)
Profit for the year		24,790,996	17,357,438	42.8	23,385,927	17,387,387	34.5
Profit attributable to:
Equity holder of the Bank		24,790,996	17,357,438	42.8	23,496,656	17,376,077	35.2
Non-controlling interest		–	–		(110,729)	11,310	(1,079.0)
Profit for the year		24,790,996	17,357,438	42.8	23,385,927	17,387,387	34.5
Earnings per share:	18
Basic earnings per share (LKR)		2,479.10	2,436.72	1.7	2,349.67	2,439.33	(3.7)
Diluted earnings per share (LKR)		2,439.01	1,735.74	40.5	2,311.67	1,737.61	33.0
Dividend per share (LKR)		1,734.64	890.94	94.7	1,734.64	890.94	94.7

The Notes form an integral part of these Financial Statements.