NDB pre-tax profits surge 118% to Rs. 4 b; marks strong start for 2025

Post-tax profitability up 168% to Rs. 1.9 b

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• ROE at 10.03%

• Total assets up 7% to Rs. 852.4 b

• Healthy growth in loan book of 5% to Rs. 535.2 b stemming from all business sectors

• CASA ratio improvement by 91 bps to 25.82%

NATIONAL Development Bank PLC (NDB) yesterday announced its financial results for the three months ended 31 March 2025, reflecting solid growth in line with the revival of economic activity and rising private sector credit demand.

Director/CEO Kelum Edirisinghe said: “We made a strong start to the year, following the highest-ever profit recorded in the bank’s history in 2024. Guided by our priorities, we have devised bold, actionable plans to unlock greater potential and accelerate our strategic growth agenda for 2025 and beyond. Our aim is to make an impactful contribution to the country’s economic growth, provide superior service to our clients, deliver sustainable returns, and enhance shareholder value.”

“We are seeing renewed demand for credit as our customers regain financial momentum in an improving economic environment. NDB is well-positioned to serve our clientele with simpler, smarter, and more agile banking solutions, blending expert product advisory, digital convenience, and exceptional customer care to deliver a truly rewarding banking experience,” he added.

Total operating income of the bank for the three months ended 31 March 2025 (period under review) grew by 5% over the same period in 2024 year-on-year (YoY) to Rs. 10.6 billion. Net interest income (NII), the majority contributor to total operating income, was Rs. 8.0 billion, which declined marginally by 1% YoY.

The decline was predominantly attributable to the lower interest rates that prevailed during the period under review versus one year ago, which approximated 270 bps less on a monthly Average Weighted Prime Lending Rate (AWPR) basis.