Profit before Tax – LKR 7,331 Mn up by 76%,Profit after Tax – LKR 4,558 Mn up by 77%,

Liquidity Coverage Ratio (LCR): All Currency – 412.63% and Rupee – 472.95%,Total Capital Adequacy Ratio of 15.35%,Impaired Loans Ratio at 3.50%

Seylan Bank recorded a robust performance with Profit After Tax (PAT) of LKR 4,558 Mn for the six months (H1) ending 30 June 2024, reflecting a remarkable 77% growth from the LKR 2,575 Mn recorded in the same period in 2023. The Profit Before Tax (PBT) reached LKR 7,331 Mn, showing a 76% increase over the previous year, despite challenging market conditions.

The Bank’s Net Interest Income decreased by 9.18% from LKR 20,468 Mn to LKR 18,590 Mn, with the Net Interest Margin reducing to 5.17% from 5.76%. Net Fee-based Income grew by 6.29%, primarily due to increases in income from Cards, Remittances, and other lending services. Total Operating Income stood at LKR 23,279 Mn, a decrease of 5.41% compared to the same period last year, largely due to a reduction in net interest margins. Other income, comprising net gains from trading and de-recognition of financial assets, rose by 52%.

The Bank’s Operating Expenses increased by 13.80%, from LKR 9,128 Mn to LKR 10,388 Mn, driven mainly by a 18.69% rise in personnel expenses due to increased staff benefits. Additionally, the Bank recorded an impairment charge of LKR 2,956 Mn, a 69% reduction from the LKR 9,559 Mn reported in 1H 2023, attributed to improved credit quality and effective recovery initiatives.

Income tax expenses rose by 75.31% to LKR 2,773 Mn, while Value Added Tax on Financial Services and Social Security Contribution Levy increased by 47.43% and 47.07%, respectively, over the previous year.

As of 30 June 2024, Seylan Bank’s total assets were recorded at LKR 725 Bn, with Loans and Advances net of impairment at LKR 434 Bn. Deposits stood at LKR 603 Bn, with a notable increase in local currency deposits and a reduction in foreign currency deposits due to the local currency appreciation.

The Bank maintained a healthy capital adequacy position, with Common Equity Tier 1 and Total Tier 1 Capital Ratios at 12.40%, and a Total Capital Ratio of 15.35%. The Liquidity Coverage Ratio (LCR) for all currencies was 412.63%, and the Rupee LCR was 472.95%, well above statutory requirements. The Impaired Loan (Stage 3) Ratio was 3.50%, and the Stage 3 Provision Cover Ratio stood at 70%, well above the industry average of 51%, indicating prudent provisioning practices.

During 1H 2024, the Bank also expanded its ‘SeylanPahasara Libraries’ initiative, opening 10 new libraries, bringing the total to 235, demonstrating its commitment to supporting education across the island.

Return on Equity (ROE) improved to 14.60%, with Earnings per Share increasing to LKR 7.17. The Bank’s Net Asset Value per Share was LKR 101.37. Moreover, Seylan Bank successfully completed a LKR 10 Bn Basel III compliant Tier 2 debenture issuance, reflecting strong investor confidence and the Bank’s robust financial health.

The SLT-MOBITEL Nebula Institute of Technology, the education arm of SLT-MOBITEL, has achieved a significant milestone by being recognised as the 10th IET on Campus Chapter. The partnership with the Institute of Engineering Technology (IET) ensures the Nebula Institute is able to support its engineering and technology undergraduates throughout all stages of their education and career on a global scale. In addition, it provides students or employees the opportunity to be part of the IET’s thriving community.

The formal endorsement took place recently and the event was graced by the Chief Guest, Prof. Anuradha Jayakody, Secretary of the IET Sri Lanka Network (SLN),NaleenJayasooriya, Vice President of IET SLN, Dr. Asiri Indika, Deputy General Manager of SLT-MOBITEL Nebula Institute of Technology, NimanthaMadushan, Chairman of the Young Professionals Network at IET SLN, and Pamodya Senanayake, the winner of Young Women Engineer (YWE) 2021, along with several other officials from both Nebula and IET, participated in this occasion. 

As a part of the IET community, students of Nebula Institute gains access to a wealth of resources and support to help advance their careers. This includes internationally recognized professional registration and development, networking opportunities with a global community of engineers and technology specialists, access to cutting-edge research and insights, and exclusive discounts on events, courses, and publications.

This landmark also offers Nebula students and faculty access to a vast network of professionals, valuable resources, and opportunities for professional development, knowledge sharing, and collaboration in the field of engineering and technology. By establishing an IET Chapter on campus, Nebula Institute has strengthened its commitment to delivering a superior educational experience that prepares students for success in their respective fields.

The IET, formed in 2006 from the merger of the Institution of Electrical Engineers (IEE) and the Institution of Incorporated Engineers (IIE), plays a crucial role in advancing and disseminating engineering knowledge, and upholding high standards in engineering and technology, in addition to accrediting educational programmes and professional qualifications.

IET also plays a key role in supporting research and development and providing platforms for knowledge exchange. The Institution supports and offers professional development opportunities and helps members stay updated with technological advancements. Connecting engineers and technologists worldwide, IET promotes a global perspective on engineering challenges building a global engineering community. Furthermore, it encourages and promotes Science, Technology, Engineering, and Mathematics (STEM) Education, supporting initiatives to attract young people to engineering careers.

As a global professional body with over 168,000 members in 150 countries, the IET plays a vital role in fostering innovation, promoting engineering excellence, and supporting the professional development of its members.

Tata Motors, one of the world’s leading automotive manufacturers, along with its authorised distributorDIMO,announcedthelaunchoftheall-
newTataXenonYodha,addressingthegrowingdemandforaversatileandreliablepick-up vehicle in the market. A robust and stylish workhouse, the Tata Xenon Yodha promises comfort and safety while ensuring smoothcargotransport for effortless daily operations.

Commenting on the launch, Mr. Anurag Mehrotra, Head – International Business, Tata Motors Commercial Vehicles, said, “As aleading commercial vehicle brand, we have a deep understanding of evolving customer preferences and remain committed toaddressing them through the introduction of advanced mobility solutions. The new Tata Xenon Yodha is engineered to meet thedemandsofcustomersseekinglowertotalcostofownershipandsuperiorvehicleperformanceforhigherprofitability.Weareconfidentthat the vehicle will set new benchmarks in quality, durability, and performance. Our six-decade-long partnership with DIMO furtherpromisesa comprehensive nationwide service network,and excellentsales andservice quality.”

In addition, Mr.RajeevPandithage, Executive Director, DIMO said, “We are excited to introduce the locally assembled Tata XenonYodha in collaboration with Tata Motors. As long-standing partners, we are confident that the vehicle, known for its durability, fuelefficiency,andcomfort,willexceedcustomerexpectations.ItcatersperfectlytotheevolvingneedsofcustomersinSriLanka,seamlesslytransitioning between personal and business use. The introduction of The Tata Xenon Yodha, assembled at DIMO Vehicle Assemblyfacility at Weliweriya is also helping in the development of Sri Lankan auto ancillary industry and creating new job opportunities forthe locals. With 17 touchpoints across the country, we remain committed to providing our customers with high quality products andservices.”

The smart pick-up is available in a 4×2 configuration with an impressive payload capacity of 1250 kg. Powered by a 3.0-litre dieselengine, it delivers an output of 85hp and 250Nm torque. With the highest chassis thickness in its category, a robust front overhang,superiormetalqualityandadvancedsafetyfeatures,thevehicleensuresmaximumsafetyanddurability.Its210mmgroundclearanceandpowersteeringenhancemanoeuvrability,makingitidealforchallengingterrainsandheavyloads.Theall-newTataXenonYodhaalsoincludes a comprehensivewarranty of18 months or100,000kilometres.

The new Tata Xenon Yodha is assembled at DIMO’s state-of-the-art vehicle assembly facility in Weliweriya. It also assembles the TataAce, popularly known as DIMO Batta in Sri Lanka. Committed to quality, the plant employs rigorous control measures and remainsagilein meetingcurrentcustomerneedswhilebeingstrategicallypoisedtointroducenewproductsasmarketdemandsevolve.

Image Caption: Mr.RajeevPandithage,Executive Directorof DIMO; Mr.RajivJaiswal,Head of Sales & Marketing – CVIB of TATA Motors; Mr.GahanathPandithage,Group Managing Director/CEO of DIMO; Mr.Mahesh Karunaratne, Chief Operating Officer – Automotive Engineering Solutions of DIMO; Mr.SoumitraRoy,Country Manager (Sri Lanka& Bhutan) – CVIB of TATA Motors at the unveiling of Tata Xenon Yodha Pickup.

Part of the USD 150 billion Tata group, Tata Motors Limited (BSE: 500570 and 570001; NSE: TATAMOTORS and TATAMTRDVR), a USD 44 billion organization, is a leading global automobile manufacturer of cars, utility vehicles, pick-ups, trucks, and buses, offering an extensive range of integrated, smart, and e-mobility solutions. With ‘Connecting Aspirations’ at the core of its brand promise, Tata Motors is India’s market leader in commercial vehicles and ranks among the top three in the passenger vehicles market.

Tata Motors strives to bring new products that captivate the imagination of GenNext customers, fuelled by state-of-the-art design and R&D centres located in India, the UK, the US, Italy, and South Korea. By focusing on engineering and tech- enabled automotive solutions catering to the future of mobility, the company’s innovation efforts are focused on developing pioneering technologies that are both sustainable and suited to the evolving market and customer aspirations. The company is pioneering India’s Electric Vehicle (EV) transition and driving the shift towards sustainable mobility solutions by developing a tailored product strategy, leveraging the synergy between Group companies and playing an active role in liaising with the Government of India in developing the policy framework.

With operations in India, UK, South Korea, Thailand and Indonesia, Tata Motors markets its vehicles in Africa, the Middle East, Latin America, Southeast Asia, and the SAARC countries. As of March 31, 2024, Tata Motors’ operations include 90 consolidated subsidiaries, two joint operations, five joint ventures, and numerous equity-accounted associates, including their subsidiaries, over which the company exercises significant influence.

DIMO is a leading diversified conglomerate in Sri Lanka. With its corporate purpose of fuelling dreams and aspirations of the communities it serves, DIMO is committed to creating value responsibly by building partnerships that last generations. Since its inception over eight decades ago, the company has been driven by perfect partnerships, having diversified into wide spectrums of sectors including Agriculture, Building Services, Construction, Digital, Education, Healthcare, Home & Garden, Industrial, Mobility, Power, Energy & Water. DIMO provides world-class solutions and represents the best-engineered brands in the world while adding value and convenience to the lifestyles of consumers in a responsible and ethical manner.