Sampath Bank reported a Profit Before Tax (PBT) of Rs 13.4 bn and a Profit After Tax (PAT) of Rs 8.3 bn for the three months ended March 31, 2025, reflecting growth rates of 115% and 149%, compared to the corresponing period in 2024. Similarly, the Sampath Group posted a PBT of Rs 14.3 bn and a PAT of Rs 8.9 bn, demonstrating growth rates of 107% and 135% respectively. The Bank reported a total interest income of Rs 44.0 bn for the quarter ended March 31, 2025, representing a decline of 10% compared to the corresponding period in the previous year. Interest expenses of the Bank amounted to Rs 24.9 bn, reflecting a 12% decrease, in line with the overall decline in market interest rates.
The Bank’s Net Interest Income (NII) stood at Rs 19.1 bn, down 6% compared to the corresponding quarter of the previous year. Similarly, the Bank’s Net Interest Margin (NIM) declined by 58 basis points — from 4.90% in 2024 to 4.32% in 1Q 2025.
In the first quarter of 2025, the Bank recorded a substantial improvement in total non-fund based income, which rose sharply to Rs 8.8 bn from Rs 0.7 bn reported during the corresponding period of the previous year. Net fee and commission income increased by 6% compared to 1Q 2024.
The Bank reported a total exchange gain of Rs 1.2 bn in 1Q 2025, in contrast to a loss of Rs 4.3 bn recorded in the corresponding period of the previous year, primarily due to the depreciation of the Rupee against the USD by Rs 3.02.
In the first quarter of 2025, the Bank reported a total impairment reversal of Rs 81.8 mn, reflecting a significant decrease of Rs. 4.5 bn compared to the previous period. This comprised a reversal of Rs 53.4 Mn for loans and advances (1Q 2024: charge of Rs 2.4 bn), a charge of Rs 0.4 bn for other financial instruments (1Q 2024: Rs 0.9 bn), and a reversal of Rs0.5 bn for credit-related commitments and contingencies (1Q 2024: charge of Rs 1.1 bn). The Bank recorded a 102% decline in the impairment charge against loans and advances during the reporting period.
An impairment charge of Rs 0.4 bn was recognised against other financial instruments during 1Q 2025, primarily due to the new investments made during the quarter. Operating expenses increased by Rs 2.3 bn compared to the corresponding period in 2024. This rise was primarily driven by a Rs 1.2 bn increase in personnel costs due to annual salary increments granted in 2Q 2024. Despite this, the cost-to-income ratio (CIR) improved by 130 basis points, decreasing to 38.7% in 1Q 2025 from 40.0% in 1Q 2024. This improvement in CIR was driven by a higher increase in operating income outpacing the rise in operating expenses.
