People s Bank has shown a continuous impressive performance, in profits and balance sheet growth over the past nine years.
The Bank recorded an impressive performance in 2009 as well. The Bank s profit before taxation and appropriations reaching its highest level of Rs 6.1 billion in 2009 financial year, whilst profit before tax for the group surpassed Rs 7.8 billion.
The Bank s profit before taxation grew by 7.3 percent whilst profit after taxation recorded an impressive 23 percent growth over the previous year, the bank said.
This is despite external as well as internal challenges which was managed ably in the year under review.
People s Bank currently has the widest network of 670 branches and service centres, and boast of an asset base exceeding Rs 476 billion with a deposit portfolio of Rs 396 billion.
The Bank s key deposit, the Rupee savings balances recorded a healthy Rs 18.8 billion or 13.5 percent growth over the Financial Year 2008, which ended at Rs 158.2 billion, This was a noteworthy achievement considering the severe competition and the steep yield curve that prevailed up to the third quarter of 2009.
The Bank has a wide range of deposits and loan schemes to suit individuals as well as large and small enterprises. Loans and advances grew by 13.5 percent over FY 2008 as compared to the overall contraction of 4 percent experienced in the industry during Financial Year 2009.
As at end 2009 net interest income of the Bank grew by Rs 5.0 billion, to Rs 23.9 billion, a remarkable 26 percent rise compared with 2008. This was mainly due to prudent pricing and expansion in lending.
The Bank s overheads increase was managed at 15 percent or Rs 2.6 billion to Rs 19.7 billion over 2008. Key driver behind the increase being salaries and related expenses due to the pay adjustments made through the 2009-2011 collective agreement.
In spite of this hike PB s cost/income ratio dropped to 60 percent compared to over 70 percent few years ago.
The Bank s profit before provisions and taxation reached Rs 10.9 billion, an improvement of Rs 3.6 billion over the 2008 recorded number, and its highest on record. The Bank also recorded its highest ever profit before taxation of Rs 6.1 billion in 2009.