| Bank | Group | ||||
|---|---|---|---|---|---|
| For the year ended 31st December | Note | 2024 | 2023 | 2024 | 2023 |
| Rs 000 | Rs 000 | Rs 000 | Rs 000 | ||
| Cash flows from operating activities | |||||
| Interest receipts | 180,354,147 | 191,742,377 | 189,657,484 | 201,389,033 | |
| Interest payments | (103,622,237) | (130,310,620) | (108,114,476) | (135,941,536) | |
| Net commission receipts | 17,492,315 | 18,904,279 | 18,180,456 | 19,536,747 | |
| Cash payments to employees | (15,448,145) | (12,697,724) | (17,763,626) | (14,217,850) | |
| Taxes on financial services | (10,923,333) | (9,473,348) | (11,698,074) | (9,923,944) | |
| Receipts from other operating activities | 1,948,732 | 1,342,722 | 3,256,747 | 2,302,112 | |
| Cash payments to other operating activities | (17,975,503) | (15,022,764) | (18,498,833) | (16,146,309) | |
| Operating profit before changes in operating assets & liabilities (Note A) | 51,825,976 | 44,484,922 | 55,019,678 | 46,998,253 | |
| (Increase)/decrease in operating assets | |||||
| Balances with Central Bank of Sri Lanka | (1,910,129) | 17,115,331 | (1,910,129) | 17,115,331 | |
| Financial assets at amortised cost - loans & advances | (122,545,411) | 27,859,038 | (133,323,484) | 25,070,961 | |
| Other assets | 12,945,175 | (7,228,410) | 13,047,618 | (7,678,957) | |
| (111,510,365) | 37,745,959 | (122,185,995) | 34,507,335 | ||
| Increase/(decrease) in operating liabilities | |||||
| Due to banks | 12,148,873 | 908,354 | 13,392,435 | 2,628,776 | |
| Repurchase agreements | 5,651,885 | 32,522,183 | 5,902,008 | 32,272,060 | |
| Financial liabilities at amortised cost - due to depositors | 224,855,561 | 179,368,098 | 233,186,218 | 182,753,734 | |
| Financial liabilities at amortised cost - due to other borrowers | 1,426,343 | (2,525,136) | 1,426,343 | (2,525,136) | |
| Other liabilities | (7,396,549) | 8,214,834 | (6,369,275) | 8,513,773 | |
| 236,686,113 | 218,488,333 | 247,537,729 | 223,643,207 | ||
| Net cash generated from operating activities before income tax | 177,001,724 | 300,719,214 | 180,371,412 | 305,148,795 | |
| Income tax paid | 39 | (13,973,220) | (14,344,132) | (14,754,319) | (14,934,280) |
| Net cash generated from operating activities | 163,028,504 | 286,375,082 | 165,617,093 | 290,214,515 | |
| Cash flows from investing activities | |||||
| Purchase of property, plant & equipment | 29.1 & 29.2 | (2,235,969) | (1,587,186) | (3,544,702) | (2,209,713) |
| Proceeds from disposal of property, plant & equipment | 9,187 | 591 | 13,497 | 3,704 | |
| Net cash flow from reverse repurchase agreements | (1,000,000) | 10,000,000 | (6,445,443) | 10,076,600 | |
| Net cash flow from financial assets - FVPL | 295,543 | 474,885 | 420,114 | 512,307 | |
| Net cash flow from debt instruments at amortised cost | (29,421,237) | (109,767,329) | (27,956,564) | (110,105,303) | |
| Net cash flow from financial assets - FVOCI | (150,588,119) | (151,786,388) | (150,588,119) | (151,786,388) | |
| Purchase of intangible assets | 30 | (523,288) | (429,348) | (523,768) | (437,982) |
| Dividend received from financial assets | 135,712 | 138,679 | 137,069 | 140,163 | |
| Net cash used in investing activities | (183,328,171) | (252,956,096) | (188,487,916) | (253,806,612) | |
| Cash flows from financing activities | |||||
| Proceeds from the issue of debentures | 37.1 | - | 10,000,000 | 4,000,000 | 10,000,000 |
| Redemption of debentures | 37.1 | (7,000,000) | (7,500,000) | (8,500,000) | (9,500,000) |
| Net proceeds from securitisation | - | - | (457,999) | (1,705,002) | |
| Repayment of long term bond | - | (600,000) | - | (600,000) | |
| Dividend paid | (6,860,299) | (4,145,494) | (6,860,299) | (4,145,494) | |
| Repayment of principal portion of lease liabilities | (1,862,720) | (1,684,608) | (1,180,132) | (945,581) | |
| Net cash used in financing activities | (15,723,019) | (3,930,102) | (12,998,430) | (6,896,077) | |
| Net cash (used in)/generated during the year | (36,022,686) | 29,488,884 | (35,869,253) | 29,511,826 | |
| Net foreign exchange difference | (5,305,469) | (6,559,801) | (5,305,469) | (6,559,801) | |
| Cash & cash equivalents at the beginning of the year | 113,001,014 | 90,071,931 | 112,814,749 | 89,862,724 | |
| Cash & cash equivalents at the end of the year (Note B) | 71,672,859 | 113,001,014 | 71,640,027 | 112,814,749 | |
The Notes to the Financial Statements from pages 283 to 421 form an integral part of these Financial Statements.
NOTE (A) RECONCILIATION OF OPERATING PROFIT BEFORE CHANGES IN OPERATING ASSETS AND LIABILITIES
| Bank | Group | ||||
|---|---|---|---|---|---|
| For the year ended 31st December | Note | 2024 | 2023 | 2024 | 2023 |
| Rs 000 | Rs 000 | Rs 000 | Rs 000 | ||
| Profit before income tax | 46,722,415 | 29,760,408 | 49,188,269 | 31,201,523 | |
| Interest income accrued on impaired loans & advances | 7.1 | (5,198,011) | (5,333,637) | (5,198,552) | (5,335,198) |
| Net loss/(gain) from trading | 9 | ||||
| Forward exchange contract revaluation loss/(gain) | 1,782,336 | (493,594) | 1,782,336 | (493,594) | |
| Net mark to market gain - government & equity securities | (4,880) | (268,192) | (77,125) | (213,898) | |
| Dividend income | - | - | (949) | (1,484) | |
| Net (gain)/loss on derecognition of financial assets | 10 | ||||
| Financial assets FVPL | (160,807) | (309,604) | (116,019) | (317,316) | |
| Financial assets FVOCI | (974,008) | (282,107) | (974,008) | (282,107) | |
| Impact on restructuring of Sri Lanka International Sovereign Bonds | 8,365,338 | - | 8,365,338 | - | |
| Net other operating income | 11 | ||||
| Dividend income from financial assets FVOCI | (135,712) | (138,679) | (136,120) | (138,679) | |
| Dividend income from subsidiaries | (80,080) | (212,130) | - | - | |
| (Profit)/loss on disposal of property, plant & equipment | (6,851) | 865 | (7,112) | (830) | |
| Net impairment (reversal)/charge | 12 | (11,728,043) | 20,148,542 | (11,871,475) | 20,209,602 |
| Personnel expenses | |||||
| Charge on gratuity & pension fund | 13 | 858,938 | 691,566 | 920,245 | 747,711 |
| Other non-cash personnel expenses | 412,343 | 306,417 | 421,179 | 315,251 | |
| Depreciation & amortisation expenses | 14 | ||||
| Depreciation of property, plant & equipment | 1,001,993 | 873,135 | 1,486,413 | 1,313,641 | |
| Amortisation of intangible assets | 379,972 | 261,984 | 386,180 | 271,791 | |
| Amortisation of right-of-use assets | 1,706,083 | 1,509,380 | 1,137,243 | 968,941 | |
| Accrual for interest & commission income | 1,108,265 | (8,195,852) | 1,108,265 | (7,559,139) | |
| Accrual for interest expense | (1,636,431) | 846,836 | (1,478,926) | 1,074,147 | |
| Other accruals & non-cash income/expense | 9,413,116 | 5,319,584 | 10,084,496 | 5,237,891 | |
| Operating profit before changes in operating assets/liabilities | 51,825,976 | 44,484,922 | 55,019,678 | 46,998,253 | |
NOTE (B) RECONCILIATION OF CASH & CASH EQUIVALENTS
| Bank | Group | ||||
|---|---|---|---|---|---|
| As at 31st December | Note | 2024 | 2023 | 2024 | 2023 |
| Rs 000 | Rs 000 | Rs 000 | Rs 000 | ||
| Local currency in hand | 20 | 25,352,154 | 26,211,701 | 25,596,538 | 26,447,856 |
| Foreign currency in hand | 20 | 4,557,999 | 5,008,566 | 4,557,999 | 5,008,566 |
| Balances with local banks | 20 | 1,075,762 | 157,308 | 1,103,301 | 179,415 |
| Balances with foreign banks | 20 | 11,634,868 | 47,649,317 | 11,634,868 | 47,649,317 |
| Money at call and short notice | 20 | 3,630,756 | 291,216 | 3,630,756 | 291,216 |
| Placements | 22 | 26,478,308 | 33,758,255 | 26,478,308 | 33,758,255 |
| Unfavourable balances with local & foreign banks | 34.2 | (1,056,988) | (75,349) | (1,361,743) | (519,876) |
| Cash & cash equivalents at the end of the year | 71,672,859 | 113,001,014 | 71,640,027 | 112,814,749 | |
The Notes to the Financial Statements from pages 283 to 421 form an integral part of these Financial Statements.
NOTE (C) RECONCILIATION OF LIABILITIES ARISING FROM FINANCING ACTIVITIES
| Bank | Group | ||||
|---|---|---|---|---|---|
| Redeemable Debentures | Finance Lease Liability | Redeemable Debentures | Finance Lease Liability | Securitisation | |
| (Note 37.1) | (Note 31.1) | (Note 37.1) | (Note 31.1) | (Note 37) | |
| Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | |
| Balance as at 1st January 2023 | 21,973,516 | 4,291,844 | 27,210,652 | 3,908,634 | 2,375,589 |
| Cash flows from financing activities | |||||
| Proceeds from the issue of debentures | 10,000,000 | - | 10,000,000 | - | - |
| Net proceeds from securitisation | - | - | - | - | (1,705,002) |
| Redemption of debentures | (7,500,000) | - | (9,500,000) | - | - |
| Repayment of principal portion of lease liabilities |
- | (1,684,608) | - | (945,581) | - |
| Non-cash changes | |||||
| Additions during the year | - | 1,574,619 | - | 862,575 | - |
| Net accrual/payment of interest | 2,236,377 | - | 2,126,651 | - | (121,081) |
| Balance as at 31st December 2023 | 26,709,893 | 4,181,855 | 29,837,303 | 3,825,628 | 549,506 |
| Balance as at 1st January 2024 | 26,709,893 | 4,181,855 | 29,837,303 | 3,825,628 | 549,506 |
| Cash flows from financing activities | |||||
| Proceeds from the issue of debentures | - | - | 4,000,000 | - | - |
| Net proceeds from securitisation | - | - | - | - | (457,999) |
| Redemption of debentures | (7,000,000) | - | (8,500,000) | - | - |
| Repayment of principal portion of lease liabilities |
- | (1,862,720) | - | (1,180,132) | - |
| Non-cash changes | |||||
| Additions during the year | - | 5,960,838 | - | 3,474,090 | - |
| Net accrual/payment of interest | (818,393) | - | (595,651) | - | (91,507) |
| Balance as at 31st December 2024 | 18,891,500 | 8,279,973 | 24,741,652 | 6,119,586 | - |
The Notes to the Financial Statements from pages 283 to 421 form an integral part of these Financial Statements.