Thursday Nov 27, 2025
Thursday Nov 27, 2025
Thursday, 27 November 2025 06:14 - - {{hitsCtrl.values.hits}}
Chairman Prof. Narada Fernando (left) and CEO/General Manager Clive Fonseka
People’s Bank has reported a Profit Before Tax (PBT) of Rs. 43.7 billion for the nine months ended 30 September 2025, delivering the best-ever results in the institution’s history.
With seven out of 10 Sri Lankans banking with People’s Bank and one out of every five retail and business loans in the country originating from the bank, this exceptional performance reinforces its position as the most trusted and influential financial services provider in Sri Lanka, it said in a statement.
The bank’s solo performance was the primary driver of this record-breaking achievement.
People’s Bank reported a standalone post-tax profit of Rs. 28.8 billion, marking the highest 9M profit in its history. This performance was recorded despite booking a significant amount as impairments on behalf of a few State-owned enterprises (SOEs).
Solo operating income stood at Rs. 121.9 billion, a substantial 99.4% increase, supported by exceptional core earnings after recording a gross income of Rs. 284.4 billion.
Net interest income nearly doubled to Rs. 103.9 billion, driven by effective asset–liability re-pricing amid changing market conditions, resulting in an improvement of the bank’s net interest margin to 4%, compared to 3.4% in December 2024. The bank also recorded its highest-ever net fees and commissions for the period, reaching Rs. 12.2 billion, reflecting strong customer activity and strengthened transactional volumes.
The balance sheet continued to expand steadily, with total solo assets rising to Rs. 3.6 trillion, deposits to Rs. 3.2 trillion, and net loans to Rs. 1.6 trillion.
Capital Adequacy Ratios remained strong, with Tier I at 11.5% and Total Capital at 16.0%, even after incorporating all prudential deductions, including those related to the SOE restructuring. Liquidity levels remained well above regulatory minimums, with the Rupee Liquidity Coverage Ratio standing at 287%.
While the bank’s solo results formed the foundation of its record performance, the Group’s consolidated results also remained strong.
Consolidated post-tax profit reached Rs. 30.5 billion, with operating income amounting to Rs. 139.5 billion, an 85% growth over the previous year. Consolidated gross income rose to Rs. 312.8 billion, and consolidated assets increased to Rs. 3.9 trillion, further demonstrating the Group’s resilience and the underlying strength of its subsidiaries. Consolidated net interest margins improved to 4.3%, supported by prudent margin management and heightened operational efficiency.
People’s Bank continued to demonstrate leadership in digital transformation, recording 5.7 million digital onboardings and 4 million mobile banking app registrations by end-September 2025. These figures reflect the rapid adoption of its enhanced digital platforms and reaffirm the bank’s position as Sri Lanka’s most accessible and inclusive financial institution.
Chairman Prof. Narada Fernando said: “We are pleased to present the third-quarter results for 2025, which reflect the bank’s sustained strength and resilience. The steady normalisation of previously challenged areas demonstrates the depth of the progress made, positioning People’s Bank to support the Government’s economic agenda while maintaining consistent and responsible profitability as a strong State institution.”
“Despite ongoing macroeconomic complexities, we remain firmly committed to advancing our strategic priorities, driving innovation, and enhancing collaboration to deliver secure, seamless, and modern financial services to our customers,” he added.
“Our focus on expanding financial inclusion continues to guide our efforts to ensure that all Sri Lankans can benefit from the country’s economic recovery. Our vision is to be the nation’s foremost financial services provider – setting new benchmarks in service excellence, innovation, and contribution to national development. By staying focused on long-term priorities and strengthening partnerships at every level, we are confident in our ability to support a more inclusive, resilient, and prosperous future for all,” Prof. Fernando said.
CEO/General Manager Clive Fonseka said: “I am proud to share that our 3Q results mark the highest performance in our institution’s history—an achievement that reflects the strength of our shared purpose and the dedication of our teams across the country.”
“Importantly, these results were delivered while the bank was undergoing a robust business model transformation, shifting from a longstanding emphasis on State-sector financing towards competing more vigorously for private-sector business. This strategic repositioning, supported by operational excellence, customer-centric transformation, and strategic digital investments, has strengthened our foundation and enhanced agility, enabling us to deliver greater value to customers and stakeholders,” he added.
