HNB Group posts Rs. 8.8b PAT | Sunday Observer

HNB Group posts Rs. 8.8b PAT

15 November, 2020
CEO Jonathan Alles
CEO Jonathan Alles

Hatton National Bank PLC (HNB) reported Profit After Taxes (PAT) of Rs. 7.7Bn for the first nine months of 2020, while the Group recorded a PAT for Rs. 8.8Bn for the same period. 

The monetary easing adopted post the pandemic has led to a 400bps drop in AWPLR since the beginning of the year. The Interest Income of the Bank declined in line with the drop in interest rates to Rs. 79.6 Bn, by 8.7% YoY in comparison to the corresponding period of 2019. Interest Expenses of Rs. 45.8 bn represented a 7.3% YoY drop from last year, resulting in a Net Interest Income (NII) of Rs. 33.8 bn which was 10.6% lower compared to the first nine months of the previous year.  

The impact of COVID-19 continued to hamper the Net Fee and Commission income which declined by 18.9% YoY to Rs. 5.4 bn as a result of the restrictions placed on imports, low volume of foreign card transactions, removal of certain charges as part of CBSL initiated COVID relief scheme and low level of economic activity.