DFCC Group recorded a 36% increase of its Profit after Tax (PAT) for the financial year 2014/15. Accordingly, its PAT increased to Rs.4.4 billion from Rs.3.2 billion recorded the previous financial year.
Although there was a drop in net interest income, caused primarily because DFCC’s development banking model precluded the Bank from maintaining current and savings accounts unlike other commercial banks, overall operating income before VAT and NBT grew by 33% to Rs.6.1 billion from Rs.4.6 billion.
The growth in operating income was driven by a combination of increased fees and other income, and stringent control of costs. At the same time, Earnings per Share grew by 38% to reach Rs.16.46 from Rs.11.89. Meanwhile, total Group assets surpassed the Rs.200 billion mark rising to Rs.211 billion from Rs.175 billion in the previous period.
Besides, DFCC Bank’s and DFCC Vardhana Bank’s exceptional performance, the other subsidiaries in the DFCC Group – DFCC Consulting, Lanka Industrial Estates and Synapsys, and the joint venture – Acuity Partners, also reported excellent results and contributed well to Group performance.
The current year marks the sixtieth anniversary of DFCC Bank PLC and the Group will look at various options in transforming to a Universal Bank, including an amalgamation between DFCC Bank PLC and its commercial banking subsidiary – DFCC Vardhana Bank PLC, after receiving all the required approvals.