With less demand and slower transactional volume growth, the increase in interest rates in 2016 has placed pressure on consumer disposable income. Further, higher commodity prices have increased industry stress. Accordingly, 2016 has been regarded as another exigent year for the SDB and in spite of the challenges, the Bank has established its capability to grow by focusing on enhanced customer experiences through improved service quality, effectively combined with marketing improvements

The financial review is based on the financial statements prepared in accordance with Sri Lanka Financial Reporting Standards and Lanka Accounting Standards which is aligned to the International Financial Reporting Standards and International Accounting Standards.


Statement of Financial Position

2016LKR Mn 2015LKR Mn Change in LKR Mn % Change
Total Assets 66,033 60,290 5,743 10%
Gross Loans and Receivables 54,765 46,860 7,904 17%
Other Financial Assets 10,771 13,013 (2,242) -17%
Total Liabilities 60,514 54,993 5,521 10%
Customer Deposits 45,692 43,023 2,668 6%
Borrowings 9,483 6,600 2,883 44%
Shareholder’s Funds 5,519 5,297 222 4%

Profitability Movement (LKR Mn)

2012 2013 2014 2015 2016
Profit Before Tax 516 333 751 1,111 617
Profit After Tax 341 248 504 721 404
pic1

Operating Income (LKR Mn)

2012 2013 2014 2015 2016
Net Interest Income 1,903 1,864 2,449 3,368 3,330
Net Fee and Commission Income 71 120 162 215 203
Other operating income 41 166 222 57 57
pic2

Net Interest Margin

2012 2013 2014 2015 2016
Net Interest Margin (%) 8.64% 7.12% 7.48% 7.13% 5.83%
pic3

Operating Expenses (LKR Mn)

2012 2013 2014 2015 2016
Personnel Expenses 448 541 768 1,115 1,266
Depreciation & Amortisation 187 135 116 149 176
Other Expenses 707 734 804 943 1,114
pic4

 

Total Assets (LKR Mn)

2012 2013 2014 2015 2016
Total Assets 24,900 29,733 40,573 60,290 66,033
Industry Growth 20% 17% 17% 16% 12%
SDB Growth 17% 19% 36% 49% 10%
pic5

 

Loans and Advances (LKR Mn)

2012 2013 2014 2015 2016
Loans and Advances 19,712 22,117 32,060 45,830 53,633
Industry Growth 21% 9% 14% 21% 18%
SDB Growth 19% 12% 45% 43% 17%
pic6

Total Deposits (LKR Mn)

2012 2013 2014 2015 2016
Total Deposits 18,947 23,595 30,249 43,023 45,692
Industry Growth 18% 15% 12% 15% 17%
SDB Growth 17% 25% 28% 42% 6%
pic7