Commercial Bank of Ceylon PLC

Income Statement

	Group			BANK
For the year ended December 31,	2021 USD ’000	2020 USD ’000	Change %	2021 USD ’000	2020 USD ’000	Change %
Gross income	818,377	759,832	7.70	804,429	748,557	7.46
Interest income	664,091	620,439	7.04	652,215	611,652	6.63
Less: Interest expense	332,009	366,095	(9.31)	329,162	363,795	(9.52)
Net interest income	332,082	254,344	30.56	323,053	247,857	30.34
Fee and commission income	79,587	59,198	34.44	77,052	56,343	36.76
Less: Fee and commission expense	18,376	10,090	82.12	18,295	10,061	81.84
Net fee and commission income	61,211	49,108	24.64	58,757	46,282	26.95
Net gains/(losses) from trading	9,680	9,390	3.09	9,680	9,390	3.08
Net gains/(losses) from derecognition of financial assets	15,008	31,951	(53.03)	15,008	31,951	(53.03)
Net other operating income	50,011	38,854	28.72	50,474	39,221	28.69
Total operating income	467,992	383,647	21.98	456,973	374,701	21.96
Less: Impairment charges and other losses	125,700	107,098	17.37	123,462	107,418	14.94
Net operating income	342,292	276,550	23.77	333,511	267,283	24.78
Less: Expenses
Personnel expenses	83,996	74,964	12.05	81,607	72,820	12.07
Depreciation and amortisation	16,100	15,513	3.78	15,893	14,945	6.34
Other operating expenses	48,192	40,836	18.01	46,959	39,435	19.08
Total operating expenses	148,289	131,313	12.93	144,459	127,200	13.57
Operating profit before taxes on financial services	194,003	145,237	33.58	189,052	140,083	34.96
Less: Taxes on financial services	29,226	22,657	28.99	29,046	22,527	28.94
Operating profit after taxes on financial services	164,777	122,580	34.42	160,006	117,557	36.11
Share of profits of associate, net of tax	9	19	(51.36)	–	–	–
Profit before tax	164,787	122,599	34.41	160,006	117,557	36.11
Less: Income tax expense	43,335	37,165	16.60	41,976	35,689	17.62
Profit for the year	121,451	85,434	42.16	118,030	81,867	44.17
Profit attributable to:
Equity holders of the Bank	120,312	84,700	42.05	118,030	81,867	44.17
Non-controlling interest	1,139	734	55.14	–	–	–
Profit for the year	121,451	85,434	42.16	118,030	81,867	44.17
Earnings per share
Basic earnings per ordinary share (USD)	0.10	0.08	31.53	0.10	0.07	33.49
Diluted earnings per ordinary share (USD)	0.10	0.08	31.53	0.10	0.07	33.49

US Dollar Accounts

The Income Statement and the Statement of Financial Position are solely for the convenience of stakeholders.

Statement of Financial Position

	Group			BANK
As at December 31,	2021 USD ’000	2020 USD ’000	Change %	2021 USD ’000	2020 USD ’000	Change %
Assets
Cash and cash equivalents	346,677	256,275	35.28	340,390	251,253	35.48
Balances with Central Banks	283,887	576,794	(50.78)	264,490	554,856	(52.33)
Placements with banks	62,494	82,109	(23.89)	57,925	79,695	(27.32)
Securities purchased under resale agreements	15,002	–	–	15,002	–	–
Derivative financial assets	16,226	13,184	23.07	16,226	13,184	23.07
Financial assets recognised through profit or loss – Measured at fair value	117,181	175,947	(33.40)	117,181	175,947	(33.40)
Financial assets at amortised cost – Loans and advances to banks	–	3,899	–	–	3,899	–
Financial assets at amortised cost – Loans and advances to other customers	5,147,920	4,549,146	13.16	5,073,093	4,484,227	13.13
Financial assets at amortised cost – Debt and other financial instruments	1,926,953	1,510,298	27.59	1,847,089	1,463,638	26.20
Financial assets measured at fair value through other comprehensive income	1,679,769	1,393,584	20.54	1,677,317	1,392,307	20.47
Investments in subsidiaries	–	–	–	29,042	29,042	–
Investment in associate	302	321	(5.81)	222	222	–
Property, plant and equipment and right–of–use assets	123,723	126,933	(2.53)	115,377	116,062	(0.59)
Investment properties	362	336	7.87	–	–	–
Intangible assets	11,363	9,003	26.22	8,624	6,164	39.91
Deferred tax assets	50,181	13,678	266.87	48,966	12,499	291.75
Other assets	135,416	100,976	34.11	135,122	98,096	37.75
Total assets	9,917,456	8,812,481	12.54	9,746,066	8,681,090	12.27
Liabilities
Due to banks	369,006	441,240	(16.37)	368,887	437,257	(15.64)
Derivative financial liabilities	10,461	7,506	39.36	10,461	7,506	39.36
Securities sold under repurchase agreements	757,124	457,058	65.65	759,559	457,188	66.14
Financial liabilities at amortised cost – Due to depositors	7,363,202	6,433,082	14.46	7,215,467	6,329,830	13.99
Financial liabilities at amortised cost – Other borrowings	162,935	272,780	(40.27)	162,935	272,780	(40.27)
Current tax liabilities	47,434	34,955	35.70	46,471	33,890	37.12
Deferred tax liabilities	1,746	2,019	(13.55)	–	–	–
Other liabilities	166,268	167,861	(0.95)	166,054	165,188	0.52
Due to subsidiaries	–	–	–	243	485	(49.80)
Subordinated liabilities	191,517	191,236	0.15	191,517	191,236	0.15
Total liabilities	9,069,693	8,007,737	13.26	8,921,596	7,895,359	13.00
Equity
Stated capital	272,835	260,939	4.56	272,835	260,939	4.56
Statutory reserves	52,952	46,426	14.06	51,022	45,120	13.08
Retained earnings	49,454	40,621	21.74	45,141	37,981	18.85
Other reserves	462,133	447,978	3.16	455,472	441,691	3.12
Total equity attributable to equity holders of the Bank	837,374	795,964	5.20	824,470	785,731	4.93
Non–controlling interest	10,389	8,779	18.33	–	–	–
Total equity	847,763	804,744	5.35	824,470	785,731	4.93
Total liabilities and equity	9,917,456	8,812,481	12.54	9,746,066	8,681,090	12.27
Contingent liabilities and commitments	3,426,895	3,652,808	(6.18)	3,411,999	3,643,558	(6.36)
Net assets value per share (USD)	0.70	0.68	2.80	0.69	0.67	2.53

An exchange rate of 1USD equals 200 LKR for both the years, has been used to facilitate comparison.

ANNUAL REPORT 2021

Supplementary Information

Annex 6: Financial Statements (US Dollars)

Income Statement

US Dollar Accounts

Statement of Financial Position