Summary of the Statement of Profit or Loss

LKR million

	2016				2015
For the quarter ended	31 March	30 June	30 September	31 December	31 March	30 June	30 September	31 December
Bank
Net interest income	12,738	12,285	13,353	15,581	11,046	12,292	12,173	10,815
Non-interest income	3,145	4,578	4,500	7,213	3,928	4,109	5,386	5,333
Non-interest expense	(6,196)	(8,600)	(9,586)	(7,161)	(5,903)	(7,277)	(7,551)	(8,354)
Impairment (charge)/reversal for loans and other losses	(572)	165	(252)	(3,738)	(3,921)	(3,363)	(1,441)	2,822
Operating profit before VAT and NBT	9,115	8,428	8,015	11,895	5,150	5,761	8,567	10,616
VAT and NBT on financial services	(1,268)	(1,478)	(1,427)	(2,091)	(794)	(1,034)	(1,098)	(1,889)
Profit before income tax	7,847	6,950	6,588	9,804	4,356	4,727	7,469	8,727
Income tax expense	(2,035)	(1,948)	(1,539)	(876)	(1,382)	(1,034)	(1,846)	(3,660)
Profit after income tax	5,812	5,002	5,049	8,928	2,974	3,693	5,623	5,067
Other comprehensive income	(1,075)	90	515	(610)	(379)	308	(259)	(1,986)
Total comprehensive income	4,737	5,092	5,564	8,318	2,595	4,001	5,364	3,081
Group
Net interest income	13,370	12,893	14,004	16,339	11,596	12,866	12,767	11,473
Non-interest income	3,332	4,577	5,506	6,584	4,200	4,100	6,577	6,022
Non-interest expense	(6,982)	(9,224)	(11,002)	(8,546)	(6,633)	(7,766)	(9,161)	(9,421)
Impairment (charge)/reversal for loans and other losses	(586)	181	(251)	(3,764)	(4,160)	(3,435)	(1,545)	2,776
Operating profit before VAT and NBT	9,134	8,427	8,257	10,613	5,003	5,765	8,638	10,850
VAT and NBT on financial services	(1,288)	(1,514)	(1,453)	(2,122)	(797)	(1,054)	(1,115)	(1,907)
Operating profit after VAT and NBT	7,846	6,913	6,804	8,491	4,206	4,711	7,523	8,943
Share of profits/(losses) of associate companies, net of tax	1	41	36	(15)	57	22	16	(1)
Profit before income tax	7,847	6,954	6,840	8,476	4,263	4,733	7,539	8,942
Income tax expense	(2,066)	(2,022)	(1,573)	(1,070)	(1,417)	(1,073)	(1,879)	(3,720)
Profit after income tax	5,781	4,932	5,267	7,406	2,846	3,660	5,660	5,222
Other comprehensive income	(1,419)	202	632	(121)	(693)	602	(113)	(1,097)
Total comprehensive income	4,362	5,134	5,899	7,285	2,153	4,262	5,547	4,125

Summary of the Statement of Financial Position

LKR million

	2016				2015
As at	31 March	30 June	30 September	31 December	31 March	30 June	30 September	31 December
Bank
Assets
Investments	526,305	514,882	506,561	462,198	434,900	451,103	460,460	522,400
Loans and advances to customers	869,096	875,036	901,114	1,000,083	805,370	794,001	834,919	826,790
Property, Plant and Equipment	16,738	16,758	16,943	16,147	16,661	16,761	16,740	16,804
Other assets	185,437	176,020	199,115	190,863	132,902	144,614	171,710	202,295
Total assets	1,597,576	1,582,696	1,623,733	1,669,291	1,389,833	1,406,479	1,483,829	1,568,289
Liabilities and Equity
Due to customers	1,100,833	1,118,938	1,180,113	1,256,589	912,402	947,347	997,623	1,082,337
Debt securities and borrowed funds	383,596	342,641	327,844	296,967	379,930	354,899	383,496	376,497
Other liabilities	27,099	31,977	25,745	22,885	20,274	24,504	19,591	27,970
Equity	86,048	89,140	90,031	92,850	77,227	79,729	83,119	81,485
Total liabilities and equity	1,597,576	1,582,696	1,623,733	1,669,291	1,389,833	1,406,479	1,483,829	1,568,289
Group
Assets
Investments	527,895	516,347	508,330	463,078	436,503	452,684	461,449	523,937
Loans and advances to customers	894,477	900,380	927,338	1,027,768	827,705	816,898	858,610	851,905
Property, Plant and Equipment	26,886	26,789	26,913	29,992	26,342	26,440	26,248	27,086
Other assets	190,277	179,849	208,463	195,719	137,571	151,816	176,764	207,271
Total assets	1,639,535	1,623,365	1,671,044	1,716,557	1,428,121	1,447,838	1,523,071	1,610,199
Liabilities and Equity
Due to customers	1,117,728	1,134,868	1,196,566	1,273,631	923,824	960,823	1,012,698	1,097,951
Debt securities and borrowed funds	392,084	350,434	341,515	310,067	390,599	366,648	391,595	386,003
Other liabilities	32,409	37,624	31,296	29,505	26,135	30,052	24,888	33,171
Equity	96,326	99,433	100,619	102,475	86,523	89,247	92,823	92,064
Non-controlling interest	988	1,006	1,048	879	1,040	1,068	1,067	1,010
Total liabilities and equity	1,639,535	1,623,365	1,671,044	1,716,557	1,428,121	1,447,838	1,523,071	1,610,199

Summary of the Financial Measures

	2016				2015
As at	31 March	30 June	30 September	31 December	31 March	30 June	30 September	31 December
Bank
Profitability
Interest margin (%)	3.2	3.2	3.2	3.3	3.3	3.4	3.4	3.3
Return on average assets (before tax) (%)	1.9	1.9	1.8	1.9	1.3	1.3	1.6	1.7
Return on average equity (after tax) (%)	27.8	25.3	24.7	28.4	15.7	17.3	20.8	22.2
Investor Information
Interest cover (times)	2.4	2.3	2.2	2.3	1.9	1.9	2.1	2.2
Net assets value per share (LKR)	8,605	8,914	9,003	9,285	15,446	15,946	8,312	8,148
Capital Adequacy Ratio
Core capital adequacy ratio, % (Tier I)	8.9	8.3	7.6	8.7	8.6	8.4	8.4	9.1
Total capital adequacy ratio, % (Tier I + II)	12.8	11.9	10.8	12.3	12.4	11.9	11.8	13.1
Assets Quality
Gross non-performing advances ratio (%) (Net of interest in suspense)	3.8	3.5	3.4	2.9	4.4	5.4	5.1	4.3
Net non-performing advances ratio (%) (Net of interest in suspense and provisions)	1.4	1.1	1.2	0.4	2.2	2.9	2.6	1.8
Regulatory Liquidity
Statutory liquid assets ratio
– Domestic banking unit (%)	23.9	22.1	24.1	21.6	26.6	30.8	26.0	28.2
– Off-shore banking unit (%)	35.5	39.8	35.0	28.1	31.7	28.9	31.3	37.6
Group
Profitability
Interest margin (%)	3.3	3.3	3.3	3.4	3.3	3.5	3.4	3.4
Return on average assets (before tax) (%)	1.9	1.8	1.8	1.8	1.2	1.3	1.5	1.7
Return on average equity (after tax) (%)	24.3	22.1	21.9	23.8	13.2	14.8	18.1	19.5
Investor Information
Net assets value per share (LKR)	9,633	9,943	10,062	10,247	17,305	17,849	9,282	9,206
Capital Adequacy Ratio
Core capital adequacy ratio, % (Tier I)	9.2	8.5	8.0	8.8	9.0	8.7	8.7	9.4
Total capital adequacy ratio, % (Tier I + II)	13.2	12.2	11.3	12.5	12.9	12.3	12.1	13.3