SAMPATH BANK PLC
Interim Financial Statements
for the year ended 31st December 2025 (In terms of Rule 7.4 of the Colombo Stock Exchange) FINANCIAL COMMENTARY FOR THE YEAR ENDED 31ST DECEMBER 2025 Financial Performance
The Sampath Group achieved its highest financial performance in its history, recording a PBT of Rs 53.0 Bn and a PAT of Rs 32.6 Bn, reflecting year-on-year growth of 8% and 13%, respectively. Meanwhile, the Group's total asset base surpassed Rs 2 Tn in 2025, reflecting a 12% growth compared to year-end 2024.
The Bank too recorded the highest profitability in its history during the financial year ending 31stDecember 2025, reporting a Profit Before Tax (PBT) of Rs 49.3 Bn and a Profit After Tax (PAT) of Rs 30.2 Bn, representing year-on-year growth of 5% and 11%, respectively. The PBT and PAT growth rates were even more impressive at 22%, when adjusted for the additional profit derived in 2024 for the restructuring of the Sri Lanka International Sovereign Bonds. The Bank achieved a significant milestone in 2025, with its gross loan book expanding by Rs 259 Bn to reach Rs 1.2 Tn by end-2025, compared to Rs 965 Bn in 2024, reflecting a strong year-on-year growth of 27%.
Key Financial Highlights for the Year Ended 31stDecember 2025Declared a first and final cash dividend of Rs 10.30 per share, marking an increase of Rs 0.95 per share compared with the previous year.
ROE rose to 17.93% in 2025, compared with 17.74% in 2024.
Lending momentum has accelerated since August 2025, with average monthly growth of Rs 36.5 Bn.
Improved credit quality is evidenced by reductions in both Stage 2 and Stage 3 loans.
Both capital and operating expenditure increases were in line with the Bank's long range strategic initiatives to accelerate future growth.
The total tax charge exceeded Rs 33 Bn, resulting in an effective tax rate (ETR) of 52.3%.
The Bank's Tier 1 and Total Capital Adequacy Ratios stood at 14.75% and 17.65%, respectively, comfortably exceeding regulatory minimums and reinforcing a solid capital position.
In 2025, the Bank's gross income reached Rs 218.8 Bn, reflecting a year-on-year growth of 12%. This performance was supported by contributions from interest income, fee-based income and other income streams.
Fund Based IncomeFor the year ended 31stDecember 2025, the Bank reported total interest income of Rs 181.1 Bn, reflecting a decline of 1% compared to 2024. This was primarily attributable to a lower AWPLR and reduced interest rates on government securities. In response to the correction in market interest rates, the Bank strategically redirected funds previously invested in government securities into its robust lending portfolio.
Interest expenditure for the year increased marginally, driven by growth in the deposit and borrowing portfolios. Consequently, Net Interest Income (NII) reached Rs 77.8 Bn for the year, reflecting a 3% decrease compared to the previous year.
Meanwhile, the Net Interest Margin (NIM) contracted by 79 basis points, declining from 4.90% in 2024 to 4.11% in 2025. This contraction was primarily driven by lower yields on the investment portfolio and reduction in AWPLR reflecting the broader downward trend in market interest rates, as well as the benefits passed down to its customers.
Non-Fund Based IncomeNet Fee and Commission Income
Net fee and commission income across all segments increased by 21% in 2025, reaching Rs 21.2 Bn, driven by credit growth, stronger economic activity, and greater card usage. Furthermore, process improvements driven by new strategic initiatives played a key role in the growth of this income category.
Net Gain on Derecognition of Financial Assets
A gain of Rs 4.0 Bn was recognised from the disposal of Financial Assets, mainly realized in the first quarter of 2025 from the sale of Treasury bills and bonds. In 2024, the Bank recorded Rs 7.2 Bn loss primarily from the restructuring of the Sri Lanka International Sovereign Bonds. Excluding this loss, the result for 2025 represents a growth of 250% compared to 2024.
Net Trading and Net Other Operating Income
The Bank reported a total gain of Rs 6.5 Bn under net trading and other operating income in 2025, compared to a loss of Rs 2.8 Bn in 2024. The gain was primarily driven by an exchange gain of Rs
5.3 Bn, following the LKR's depreciation of Rs 16.63 against the USD. In contrast, in 2024, the LKR appreciated Rs 30.75 per USD, resulting in an exchange loss of Rs 4.2 Bn.
Impairment Reversal/ChargeThe Bank recorded a total impairment reversal of Rs 0.6 Bn during the current year, representing a significant reduction of Rs 11.1 Bn compared to the previous year. Of the total reversal recognised in 2024, Rs 15.8 Bn arose from the restructuring of Sri Lanka International Sovereign Bonds (SLISBs). Excluding this one-off reversal, the Bank would have reported an impairment charge of Rs 4.1 Bn in 2024.
Impairment reversal/charge on loans and advances
In 2025, the Bank recorded an impairment reversal of Rs 1.0 Bn on loans and advances, compared with a charge of Rs 2.8 Bn in 2024.
Amid accelerated credit growth in the latter part of the year, the Bank recognised additional impairment provisions on newly granted loans and maintained higher provision coverage across all stages compared with 2024.
The Bank's strengthened recovery efforts, together with improved customer repayment capacity, supported by lower interest rates and favourable economic conditions, led to a significant reduction in Stage 2 and Stage 3 loans. The reinstatement of the parate execution law further facilitated the recovery of long-outstanding Stage 3 loans. Provision reversals arising from enhanced recovery processes exceeded impairment charges on newly granted loans. Consequently, Stage 3 loans as a proportion of gross loans declined to 9.6% as at 31stDecember 2025 from 13.7% at the end of 2024, while Stage 2 loans decreased from 15.7% in 2024 to 7.6% by the end of 2025.
Large customers affected by Cyclone Ditwah were separately identified and assessed under the Individually Significant Customer Impairment process, with provisions determined based on the severity of the impact on their business cash flows. Customers requesting moratoriums who were classified under collective impairment were also identified, and an additional overlay allowance was recognised. The number of customers requesting moratoriums was considerably lower than in the COVID-19 related period.
Impairment charge on other financial instruments
The Bank recognised an impairment charge of Rs 1.4 Bn for the year ended 31stDecember 2025, primarily attributable to the purchase of short-tenor PDI bonds. In contrast, last year's reversal was mainly driven by the release of the full provision made against SLISB following its restructuring.
Operating ExpensesOperating expenses increased by 19% year-on-year, primarily due to incremental costs related to executing strategic initiatives aimed at positioning the Bank for its next phase of growth. Personnel costs rose by 10%, driven by annual salary increments, the expansion of the staff cadre and the acquisition of new talent to support business growth. These costs, together with increased investment in technology, were aligned with the Bank's future-focused strategic initiatives aimed at supporting long-term growth.
As a result, the Bank's cost-to-income ratio (CIR) rose by 170 basis points to 42.7%, compared with a CIR of 41.0% in the previous year, after adjusting for the impact of the SLISB restructuring.
TaxationThe total tax charge increased to Rs 33.2 Bn in the current year, up from Rs 32.6 Bn in the previous year, driven by higher taxable income. Despite this, the Bank's effective tax rate (ETR) marginally declined to 52.3% in 2025, compared with 54.4% in 2024. Total taxes paid to the Government of Sri Lanka during the year exceeded Rs 39.0 Bn, compared with Rs 33.8 Bn in the previous year.
DividendThe Board of Directors has recommended a final cash dividend of Rs 10.30 per share for the financial year ended 31st December 2025, subject to shareholder approval at the 40th Annual General Meeting scheduled for 30th March 2026. The dividend payout ratio for the year stood at 39.98% (2024: 40.13%).
Key RatiosThe Bank achieved an improvement in profitability in 2025, with Return on Average Shareholders' Equity (after tax) rising to 17.93% from 17.74% in 2024. Conversely, Return on Average Assets (before tax) declined to 2.60%, from 2.84% at the end of the previous year, primarily driven by accelerated credit growth in the latter part of the year, which resulted in the recognition of the full impairment provision in the absence of sufficient interest income to absorb it.
Capital and LiquidityDespite reallocating funds from government securities to lending, the Bank maintained strong capital and liquidity ratios, comfortably exceeding the minimum regulatory requirements throughout 2025. As of 31stDecember 2025, the Bank's Common Equity Tier 1 (CET1), Tier 1, and Total Capital ratios stood at 14.75%, 14.75%, and 17.65%, respectively, compared with 16.75%, 16.75%, and 19.38% at the end of 2024.
Liquidity levels remained robust, with the all-currency Liquidity Coverage Ratio (LCR) at 239.79% and the Net Stable Funding Ratio (NSFR) at 173% as of 31 December 2025, well above the minimum regulatory requirement of 100% in both cases.
AssetsTotal assets grew by 11% to Rs 1.98 Tn as of 31stDecember 2025, supported by expansion of the loan portfolio. Gross loans rose by Rs 259.0 Bn, from Rs 964.6 Bn at end-2024 to Rs 1,223.6 Bn.
Technology-driven enhancements and process improvements implemented through new strategic initiatives enabled higher lending volumes, shorter turnaround times, and the development of a robust SME and corporate loan book.
Additionally, funds previously invested in government securities were redirected to support loan growth, leading to a significant reduction in investments in Government Securities as the Bank adjusted its asset mix to levels approaching those seen before COVID-19.
LiabilitiesThe Bank's total liabilities increased by 12% to Rs 1.80 Tn as of 31stDecember 2025, primarily driven by growth in the deposit portfolio, which rose by Rs 178.1 Bn, from Rs 1.47 Tn at the end of 2024 to Rs 1.65 Tn at year-end 2025.
Group ExpansionThe Bank wholly owns four subsidiaries-Siyapatha Finance PLC, Sampath Securities (Pvt) Ltd (formerly SC Securities Pvt Limited), Sampath Information Technology Solutions Limited and Sampath Centre Limited. In January 2026, the Bank established a new wealth management company to better address the evolving needs of its customer segments and is currently awaiting regulatory approval.
Driving a Sustainable Future for Sri LankaSampath Bank continues to lead in sustainability through its infrastructure rejuvenation project, "Wewata Jeewayak", marked by the restoration of its 28thtank, providing a significant boost to the country's agricultural and community development. This complements the Banks ongoing initiatives in coral restoration, turtle conservation, forest replantation, mangrove restoration and several other environmental and community projects.
Furthermore, the Bank has strengthened its position as a national ESG leader by integrating sustainability principles into its business strategy, decision-making and operations. This holistic approach enables the Bank to create long-term value while promoting meaningful environmental protection and community empowerment.
Sampath Bank also made notable progress in strengthening sustainable finance, climate governance and operational performance. The scope of ESG-linked credit screening was further expanded in line with the best global practices. A key highlight was the successful implementation of SLFRS S1 and S2 under the Bank's Climate First Action Plan, marking a significant advancement in climate-related governance, strategy, risk management and metrics and targets.
As part of its contribution to green finance, Sampath Bank launched a Green Fixed Deposit supported by a comprehensive Green Deposit Framework, which obtained independent limited assurance at the pre-issuance stage, enhancing credibility and stakeholder confidence.
Beyond its environmental initiatives, Sampath Bank demonstrated strong social responsibility during periods of national crisis. In response to the devastation caused by the Ditwah Cyclone, the Bank donated Rs 100 Mn to the 'Rebuilding Sri Lanka' Fund to support economic recovery and business revival across the country. In addition, the Bank facilitated urgent humanitarian assistance by providing essential medical supplies to the Sri Lanka Red Cross and the Sri Lanka Air Force.
Sampath Bank PLC - Confidential - Internal#
STATEMENT OF PROFIT OR LOSS
Bank | Group | |||||||||||
For the year ended 31st December | For the quarter ended 31st December | For the year ended 31st December | For the quarter ended 31st December | |||||||||
2025 | 2024 | Change | 2025 | 2024 | Change | 2025 | 2024 | Change | 2025 | 2024 | Change | |
(Audited) | (Audited) | (Audited) | (Audited) | |||||||||
Rs 000 | Rs 000 | % | Rs 000 | Rs 000 | % | Rs 000 | Rs 000 | % | Rs 000 | Rs 000 | % | |
Gross income | 218,780,329 | 195,321,016 | 12 | 56,549,283 | 41,794,179 | 35 | 232,456,906 | 206,569,194 | 13 | 60,252,544 | 44,782,569 | 35 |
Interest income | 181,059,355 | 183,054,746 | (1) | 47,070,449 | 44,459,349 | 6 | 192,137,353 | 192,358,624 | - | 50,160,742 | 46,854,565 | 7 |
Less: Interest expense | 103,276,965 | 103,046,806 | - | 26,473,188 | 25,039,905 | 6 | 108,565,838 | 107,696,550 | 1 | 28,012,735 | 26,369,083 | 6 |
Net interest income | 77,782,390 | 80,007,940 | (3) | 20,597,261 | 19,419,444 | 6 | 83,571,515 | 84,662,074 | (1) | 22,148,007 | 20,485,482 | 8 |
Fee & commission income | 27,240,631 | 22,289,477 | 22 | 7,288,111 | 5,935,154 | 23 | 28,382,625 | 22,981,135 | 24 | 7,606,726 | 6,210,646 | 22 |
Less: Fee & commission expense | 6,005,276 | 4,780,225 | 26 | 1,662,178 | 1,384,188 | 20 | 6,007,878 | 4,783,742 | 26 | 1,662,494 | 1,386,050 | 20 |
Net fee & commission income | 21,235,355 | 17,509,252 | 21 | 5,625,933 | 4,550,966 | 24 | 22,374,747 | 18,197,393 | 23 | 5,944,232 | 4,824,596 | 23 |
Net gain/(loss) from trading | 4,254,888 | (1,777,456) | 339 | 1,037,745 | (1,552,871) | 167 | 4,254,888 | (1,704,262) | 350 | 1,037,745 | (1,501,895) | 169 |
Net gain/(loss) on derecognition of financial assets | ||||||||||||
- at fair value through profit or loss | 131,852 | 160,807 | (18) | 4,491 | 9,857 | (54) | 131,852 | 116,019 | 14 | 4,491 | (37,123) | 112 |
- at fair value through other comprehensive income | 3,836,960 | 974,008 | 294 | 156,329 | 220,171 | (29) | 3,836,960 | 974,008 | 294 | 156,329 | 220,171 | (29) |
- impact on restructuring of SLISBs | - | (8,365,338) | 100 | - | (8,365,338) | 100 | - | (8,365,338) | 100 | - | (8,365,338) | 100 |
Net other operating income | 2,256,643 | (1,015,228) | 322 | 992,158 | 1,087,857 | (9) | 3,713,228 | 209,008 | 1,677 | 1,286,511 | 1,401,543 | (8) |
Total other income | 10,480,343 | (10,023,207) | 205 | 2,190,723 | (8,600,324) | 125 | 11,936,928 | (8,770,565) | 236 | 2,485,076 | (8,282,642) | 130 |
Total operating income | 109,498,088 | 87,493,985 | 25 | 28,413,917 | 15,370,086 | 85 | 117,883,190 | 94,088,902 | 25 | 30,577,315 | 17,027,436 | 80 |
Less: Impairment (reversal)/charge | ||||||||||||
Loans and advances | (960,695) | 2,771,348 | (135) | (3,216,875) | (320,355) | (904) | (1,060,783) | 2,659,031 | (140) | (3,161,254) | (402,083) | (686) |
Sri Lanka International Sovereign Bonds | 1,374,294 | (15,787,060) | 109 | 602,574 | (16,951,168) | 104 | 1,374,294 | (15,787,060) | 109 | 602,574 | (16,951,168) | 104 |
Other financial assets and credit related commitments | (1,050,852) | 1,287,669 | (182) | (47,298) | 148,538 | (132) | (956,207) | 1,256,554 | (176) | (45,254) | 159,444 | (128) |
Total impairment reversal | (637,253) | (11,728,043) | 95 | (2,661,599) | (17,122,985) | 84 | (642,696) | (11,871,475) | 95 | (2,603,934) | (17,193,807) | 85 |
Net operating income | 110,135,341 | 99,222,028 | 11 | 31,075,516 | 32,493,071 | (4) | 118,525,886 | 105,960,377 | 12 | 33,181,249 | 34,221,243 | (3) |
Less: Operating expenses | ||||||||||||
Personnel expenses | 19,945,786 | 18,056,922 | 10 | 5,143,901 | 4,944,534 | 4 | 22,892,187 | 20,433,710 | 12 | 5,904,747 | 5,632,493 | 5 |
Depreciation & amortisation expenses | 4,895,065 | 3,088,048 | 59 | 1,408,959 | 766,804 | 84 | 4,299,029 | 3,009,836 | 43 | 1,268,648 | 829,659 | 53 |
Other operating expenses | 21,927,581 | 18,187,593 | 21 | 6,687,403 | 5,532,959 | 21 | 23,211,632 | 19,358,845 | 20 | 6,881,275 | 5,851,358 | 18 |
Total operating expenses | 46,768,432 | 39,332,563 | 19 | 13,240,263 | 11,244,297 | 18 | 50,402,848 | 42,802,391 | 18 | 14,054,670 | 12,313,510 | 14 |
Operating profit before taxes on financial services | 63,366,909 | 59,889,465 | 6 | 17,835,253 | 21,248,774 | (16) | 68,123,038 | 63,157,986 | 8 | 19,126,579 | 21,907,733 | (13) |
Less : Taxes on financial services | ||||||||||||
Value added tax | 12,360,192 | 11,561,312 | 7 | 3,388,228 | 3,866,066 | (12) | 13,238,180 | 12,266,093 | 8 | 3,611,321 | 4,074,541 | (11) |
Social security contribution levy | 1,716,693 | 1,605,738 | 7 | 470,587 | 536,954 | (12) | 1,838,636 | 1,703,624 | 8 | 501,572 | 565,909 | (11) |
Total taxes on financial services | 14,076,885 | 13,167,050 | 7 | 3,858,815 | 4,403,020 | (12) | 15,076,816 | 13,969,717 | 8 | 4,112,893 | 4,640,450 | (11) |
Profit before income tax | 49,290,024 | 46,722,415 | 5 | 13,976,438 | 16,845,754 | (17) | 53,046,222 | 49,188,269 | 8 | 15,013,686 | 17,267,283 | (13) |
Less: Income tax expense | 19,079,307 | 19,401,803 | (2) | 5,221,706 | 7,311,253 | (29) | 20,474,885 | 20,485,009 | - | 5,591,237 | 7,654,283 | (27) |
Profit for the year | 30,210,717 | 27,320,612 | 11 | 8,754,732 | 9,534,501 | (8) | 32,571,337 | 28,703,260 | 13 | 9,422,449 | 9,613,000 | (2) |
Attributable to: | ||||||||||||
Equity holders of the Bank | 30,210,717 | 27,320,612 | 11 | 8,754,732 | 9,534,501 | (8) | 32,571,337 | 28,703,260 | 13 | 9,422,449 | 9,613,000 | (2) |
Non-controlling interest | - | - | - | - | - | - | ||||||
30,210,717 | 27,320,612 | 11 | 8,754,732 | 9,534,501 | (8) | 32,571,337 | 28,703,260 | 13 | 9,422,449 | 9,613,000 | (2) | |
Earnings per share : Basic/Diluted (Rs) Dividend per share
Dividend per share: Gross (Rs)
Dividend per share: Net (Rs)
23.30 11
9.35
7.95
8.13 (8)
24.48 13
8.20 (2)
25.76
10.30
8.76
7.47
27.77
8.03
1
STATEMENT OF COMPREHENSIVE INCOME
Bank | Group | |||||||||||
For the year ended 31st December | For the quarter ended 31st December | For the year ended 31st December | For the quarter ended 31st December | |||||||||
2025 | 2024 | Change | 2025 | 2024 | Change | 2025 | 2024 | Change | 2025 | 2024 | Change | |
(Audited) | (Audited) | (Audited) | (Audited) | |||||||||
Rs 000 | Rs 000 | % | Rs 000 | Rs 000 | % | Rs 000 | Rs 000 | % | Rs 000 | Rs 000 | % | |
Profit for the period | 30,210,717 | 27,320,612 | 11 | 8,754,732 | 9,534,501 | (8) | 32,571,337 | 28,703,260 | 13 | 9,422,449 | 9,613,000 | (2) |
Other comprehensive income | ||||||||||||
Items that will be reclassified to profit or loss: | ||||||||||||
Debt instruments at fair value through other comprehensive income: | ||||||||||||
(Loss)/gain arising on re-measurement | (6,267,688) | 1,923,421 | (426) | (1,446,096) | 2,424,197 | (160) | (6,267,688) | 1,923,421 | (426) | (1,446,096) | 2,424,197 | (160) |
Reclassification to profit or loss due to derecognition | (3,836,960) | (974,008) | (294) | (156,329) | (220,171) | 29 | (3,836,960) | (974,008) | (294) | (156,329) | (220,171) | 29 |
Changes in impairment recycled to profit or loss | 536,381 | 65 | 825,102 | 117,934 | 39,469 | 199 | 536,381 | 65 | 825,102 | 117,934 | 39,469 | 199 |
Deferred tax effect on the above | 2,870,480 | (284,843) | 1,108 | 445,347 | (673,048) | 166 | 2,870,480 | (284,843) | 1,108 | 445,347 | (673,048) | 166 |
Net other comprehensive income to be reclassified to profit or loss | (6,697,787) | 664,635 | (1,108) | (1,039,144) | 1,570,447 | (166) | (6,697,787) | 664,635 | (1,108) | (1,039,144) | 1,570,447 | (166) |
Items that will not be reclassified to profit or loss: | ||||||||||||
Equity instruments at fair value through other comprehensive income: | ||||||||||||
(Loss)/gain arising on re-measurement | (846,306) | (1,286,931) | 34 | (609,947) | 95,496 | (739) | (846,306) | (1,286,931) | 34 | (609,947) | 95,496 | (739) |
Exchange gain/(loss) in translation | 114,250 | (313,106) | 136 | 44,767 | (21,468) | 309 | 114,250 | (313,106) | 136 | 44,767 | (21,468) | 309 |
Deferred tax effect on the above | 219,617 | 480,011 | (54) | 169,554 | (22,208) | 863 | 219,617 | 480,011 | (54) | 169,554 | (22,208) | 863 |
(512,439) | (1,120,026) | 54 | (395,626) | 51,820 | (863) | (512,439) | (1,120,026) | 54 | (395,626) | 51,820 | (863) | |
Actuarial loss on defined benefit plans | (1,314,645) | (1,912,875) | 31 | (1,314,645) | (1,912,875) | 31 | (1,329,197) | (1,907,115) | 30 | (1,329,197) | (1,907,115) | 30 |
Deferred tax effect on the above | 394,393 | 573,863 | (31) | 394,393 | 573,863 | (31) | 398,759 | 572,135 | (30) | 398,759 | 572,135 | (30) |
(920,252) | (1,339,012) | 31 | (920,252) | (1,339,012) | 31 | (930,438) | (1,334,980) | 30 | (930,438) | (1,334,980) | 30 | |
Revaluation surplus on property, plant & equipment | 1,719,913 | - | 100 | 1,719,913 | - | 100 | 3,427,268 | - | 100 | 3,427,268 | - | 100 |
Deferred tax effect on the above | (515,974) | - | (100) | (515,974) | - | (100) | (1,028,180) | - | (100) | (1,028,180) | - | (100) |
1,203,939 | - | 100 | 1,203,939 | - | 100 | 2,399,088 | - | 100 | 2,399,088 | - | 100 | |
Net other comprehensive income not to be reclassified to profit or loss | (228,752) | (2,459,038) | 91 | (111,939) | (1,287,192) | 91 | 956,211 | (2,455,006) | 139 | 1,073,024 | (1,283,160) | 184 |
Other comprehensive income net of tax | (6,926,539) | (1,794,403) | (286) | (1,151,083) | 283,255 | (506) | (5,741,576) | (1,790,371) | (221) | 33,880 | 287,287 | (88) |
Total comprehensive income for the period net of tax | 23,284,178 | 25,526,209 | (9) | 7,603,649 | 9,817,756 | (23) | 26,829,761 | 26,912,889 | - | 9,456,329 | 9,900,287 | (4) |
Attributable to: | 23,284,178 | 7,603,649 | ||||||||||
Equity holders of the Bank | 25,526,209 | (9) | 9,817,756 | (23) | 26,829,761 | 26,912,889 | - | 9,456,329 | 9,900,287 | (4) | ||
Non-controlling interest | - | - | - | - | - | - | ||||||
23,284,178 | 25,526,209 | (9) | 7,603,649 | 9,817,756 | (23) | 26,829,761 | 26,912,889 | - | 9,456,329 | 9,900,287 | (4) | |
2
STATEMENT OF FINANCIAL POSITION
Bank Group
As at | 31st December 2025 (Audited) Rs 000 | 31st December 2024 (Audited) Rs 000 | Change % | 31st December 2025 (Audited) Rs 000 | 31st December 2024 (Audited) Rs 000 | Change % |
ASSETS | ||||||
Cash & cash equivalents | 62,018,008 | 46,229,318 | 34 | 62,563,988 | 46,501,139 | 35 |
Balances with Central Bank of Sri Lanka | 21,835,192 | 16,373,983 | 33 | 21,835,192 | 16,373,983 | 33 |
Placements with banks | 39,223,825 | 26,452,245 | 48 | 39,223,825 | 26,452,245 | 48 |
Reverse repurchase agreements | 44,282 | 1,000,220 | (96) | 7,085,229 | 6,596,063 | 7 |
Derivative financial instruments | 2,468,488 | 507,054 | 387 | 2,468,488 | 507,054 | 387 |
Financial assets recognised through profit or loss - measured at fair value | 403,260 | 4,614,332 | (91) | 403,260 | 4,614,332 | (91) |
Financial assets at amortised cost | ||||||
- loans & advances | 1,127,776,792 | 860,151,610 | 31 | 1,195,918,062 | 901,950,481 | 33 |
- debt & other instruments | 523,176,568 | 401,280,763 | 30 | 523,233,300 | 405,616,020 | 29 |
Financial assets - fair value through other comprehensive income | 148,256,497 | 367,782,512 | (60) | 148,256,553 | 367,782,568 | (60) |
Investment in subsidiaries | 4,226,113 | 4,190,721 | 1 | - | - | - |
Property, plant & equipment | 15,187,778 | 10,854,850 | 40 | 28,273,996 | 22,012,514 | 28 |
Intangible assets | 1,040,433 | 888,711 | 17 | 1,085,000 | 899,752 | 21 |
Right-of-use assets | 7,190,091 | 7,860,280 | (9) | 6,203,407 | 5,488,197 | 13 |
Deferred tax assets | 10,597,476 | 10,934,412 | (3) | 10,814,762 | 11,177,659 | (3) |
Other assets | 14,807,760 | 18,820,112 | (21) | 16,842,178 | 21,023,359 | (20) |
Total Assets | 1,978,252,563 | 1,777,941,123 | 11 | 2,064,207,240 | 1,836,995,366 | 12 |
LIABILITIES | ||||||
Due to banks | 24,687,100 | 23,259,811 | 6 | 43,929,855 | 30,067,815 | 46 |
Derivative financial instruments | 805,063 | 3,200,590 | (75) | 805,063 | 3,200,590 | (75) |
Securities sold under repurchase agreements | 32,785,653 | 40,312,784 | (19) | 30,626,611 | 40,312,784 | (24) |
Financial liabilities at amortised cost | ||||||
- due to depositors | 1,627,060,300 | 1,455,864,416 | 12 | 1,662,952,864 | 1,487,148,551 | 12 |
- due to other borrowers | 8,357,756 | 8,061,364 | 4 | 8,357,756 | 8,061,364 | 4 |
- due to debt securities holders | 29,795,272 | 18,891,500 | 58 | 41,883,516 | 24,741,652 | 69 |
Retirement benefit obligation | 7,490,860 | 5,799,502 | 29 | 7,776,857 | 6,019,892 | 29 |
Dividend payable | 405,100 | 298,695 | 36 | 405,100 | 298,695 | 36 |
Current tax liabilities | 16,762,008 | 14,522,729 | 15 | 17,601,788 | 15,312,202 | 15 |
Deferred tax liabilities | - | - | - | 1,963,820 | 1,465,112 | 34 |
Other liabilities | 51,229,076 | 41,191,516 | 24 | 54,139,956 | 42,484,397 | 27 |
Total Liabilities | 1,799,378,188 | 1,611,402,907 | 12 | 1,870,443,186 | 1,659,113,054 | 13 |
3
STATEMENT OF FINANCIAL POSITION
Bank Group
As at | 31st December 2025 (Audited) Rs 000 | 31st December 2024 (Audited) Rs 000 | Change % | 31st December 2025 (Audited) Rs 000 | 31st December 2024 (Audited) Rs 000 | Change % |
EQUITY | ||||||
Stated capital | 48,741,119 | 48,741,119 | - | 48,741,119 | 48,741,119 | - |
Reserves | ||||||
Statutory reserves | ||||||
Statutory reserve fund | 9,500,000 | 7,985,000 | 19 | 9,955,000 | 8,358,000 | 19 |
Special reserve | 1,879,931 | 1,660,470 | 13 | 1,879,931 | 1,660,470 | 13 |
FVOCI reserve | 3,678,415 | 10,888,641 | (66) | 3,678,415 | 10,888,641 | (66) |
Other reserves | 99,826,579 | 83,605,907 | 19 | 104,519,666 | 87,103,845 | 20 |
Retained earnings | 15,248,331 | 13,657,079 | 12 | 24,989,923 | 21,130,237 | 18 |
Total equity attributable to equity holders of the Bank | 178,874,375 | 166,538,216 | 7 | 193,764,054 | 177,882,312 | 9 |
Non-controlling interest | - | - | - | |||
Total Equity | 178,874,375 | 166,538,216 | 7 | 193,764,054 | 177,882,312 | 9 |
Total Liabilities & Equity | 1,978,252,563 | 1,777,941,123 | 11 | 2,064,207,240 | 1,836,995,366 | 12 |
Commitments & contingencies | 624,740,931 | 523,844,321 | 19 | 623,788,273 | 521,302,732 | 20 |
Net asset value per share (Rs) | 152.53 | 142.01 | 7 | 165.23 | 151.69 | 9 |
Memorandum information | ||
Number of employees | 4,917 | 4,428 |
Number of branches | 229 | 229 |
CERTIFICATION:
I certify that these Financial Statements are presented in compliance with the requirements of the Companies Act No. 07 of 2007.
(Sgd)
Ajantha de Vas Gunasekara
Executive Director/Chief Financial Officer
We, the undersigned, being the Chairman and the Managing Director/Chief Executive Officer of Sampath Bank PLC, certify jointly that:
the above statements have been prepared in compliance with the format and definitions prescribed by the Central Bank of Sri Lanka; and
the information contained in these statements have been extracted from the audited Financial Statements of the Bank and its subsidiary companies.
(Sgd) (Sgd)
Harsha Amarasekera Sanjaya Gunawardana
Chairman Managing Director/Chief Executive Officer
19th February 2026
4
STATEMENT OF CHANGES IN EQUITY |
Bank (Audited) |
For the year ended 31st December 2024 | Statutory Reserves | Other Reserves | ||||||
Stated Capital | Statutory Reserve Fund | Special Reserve | FVOCI Reserve | Revaluation Reserve | General Reserve | Retained Earnings | Total Equity | |
Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | |
Balance as at 1st January 2024 | 48,741,119 | 6,615,000 | - | 11,344,032 | 3,594,984 | 67,011,693 | 10,566,248 | 147,873,076 |
Total comprehensive income for the year | ||||||||
Profit for the year | - | - | - | - | - | - | 27,320,612 | 27,320,612 |
Other comprehensive income | - | - | - | (455,391) | - | - | (1,339,012) | (1,794,403) |
Total comprehensive income for the year | - | - | - | (455,391) | - | - | 25,981,600 | 25,526,209 |
Transactions with equity holders, recognised directly in equity, contributions by and distributions to equity holders | ||||||||
Final dividend for 2023: Cash | - | - | - | - | - | - | (6,860,299) | (6,860,299) |
Unclaimed dividend adjustments | - | - | - | - | - | (770) | - | (770) |
Total contributions by and distributions to equity holders | - | - | - | - | - | (770) | (6,860,299) | (6,861,069) |
Transfer to reserves during the year | - | 1,370,000 | 1,660,470 | - | - | 13,000,000 | (16,030,470) | - |
Balance as at 31st December 2024 | 48,741,119 | 7,985,000 | 1,660,470 | 10,888,641 | 3,594,984 | 80,010,923 | 13,657,079 | 166,538,216 |
For the year ended 31st December 2025 | Statutory Reserves | Other Reserves | ||||||
Stated Capital | Statutory Reserve Fund | Special Reserve | FVOCI Reserve | Revaluation Reserve | General Reserve | Retained Earnings | Total Equity | |
Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | |
Balance as at 1st January 2025 | 48,741,119 | 7,985,000 | 1,660,470 | 10,888,641 | 3,594,984 | 80,010,923 | 13,657,079 | 166,538,216 |
Total comprehensive income for the year | ||||||||
Profit for the year | - | - | - | - | - | - | 30,210,717 | 30,210,717 |
Other comprehensive income | - | - | - | (7,210,226) | 1,203,939 | - | (920,252) | (6,926,539) |
Total comprehensive income for the year | - | - | - | (7,210,226) | 1,203,939 | - | 29,290,465 | 23,284,178 |
Transactions with equity holders, recognised directly in equity, contributions by and distributions to equity holders | ||||||||
Final dividend for 2024: Cash | - | - | - | - | - | - | (10,964,752) | (10,964,752) |
Unclaimed dividend adjustments | - | - | - | - | - | 16,733 | - | 16,733 |
Total contributions by and distributions to equity holders | - | - | - | - | - | 16,733 | (10,964,752) | (10,948,019) |
Transfer to reserves during the year | - | 1,515,000 | 219,461 | - | - | 15,000,000 | (16,734,461) | - |
Balance as at 31st December 2025 | 48,741,119 | 9,500,000 | 1,879,931 | 3,678,415 | 4,798,923 | 95,027,656 | 15,248,331 | 178,874,375 |
Sampath Bank PLC - Confidential - Internal#
5
STATEMENT OF CHANGES IN EQUITY |
Group (Audited) |
For the year ended 31st December 2024 | Statutory Reserves | Other Reserves | Total Equity Attributable to Equity Holders of the Bank | |||||||
Stated Capital | Statutory Reserve Fund | Special Reserve | FVOCI Reserve | Revaluation Reserve | General Reserve | Retained Earnings | Non Controlling Interest | Total Equity | ||
Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | |
Balance as at 1st January 2024 | 48,741,119 | 6,929,000 | - | 11,344,032 | 7,092,922 | 67,011,693 | 16,711,726 | 157,830,492 | - | 157,830,492 |
Total comprehensive income for the year | ||||||||||
Profit for the year | - | - | - | - | - | - | 28,703,260 | 28,703,260 | - | 28,703,260 |
Other comprehensive income | - | - | - | (455,391) | - | - | (1,334,980) | (1,790,371) | - | (1,790,371) |
Total comprehensive income for the year | - | - | - | (455,391) | - | - | 27,368,280 | 26,912,889 | - | 26,912,889 |
Transactions with equity holders, recognised directly in equity, contributions by and distributions to equity holders | ||||||||||
Final dividend for 2023: Cash | - | - | - | - | - | - | (6,860,299) | (6,860,299) | - | (6,860,299) |
Unclaimed dividend adjustments | - | - | - | - | - | (770) | - | (770) | - | (770) |
Total contributions by and distributions to equity holders | - | - | - | - | - | (770) | (6,860,299) | (6,861,029) | - | (6,861,069) |
Transfer to reserves during the year | - | 1,429,000 | 1,660,470 | - | - | 13,000,000 | (16,089,470) | - | - | - |
Balance as at 31st December 2024 | 48,741,119 | 8,358,000 | 1,660,470 | 10,888,641 | 7,092,922 | 80,010,923 | 21,130,237 | 177,882,312 | - | 177,882,312 |
For the year ended 31st December 2025 | Statutory Reserves | Other Reserves | Total Equity Attributable to Equity Holders of the Bank | |||||||
Stated Capital | Statutory Reserve Fund | Special Reserve | FVOCI Reserve | Revaluation Reserve | General Reserve | Retained Earnings | Non Controlling Interest | Total Equity | ||
Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | |
Balance as at 1st January 2025 | 48,741,119 | 8,358,000 | 1,660,470 | 10,888,641 | 7,092,922 | 80,010,923 | 21,130,237 | 177,882,312 | - | 177,882,312 |
Total comprehensive income for the year | ||||||||||
Profit for the year | - | - | - | - | - | - | 32,571,337 | 32,571,337 | - | 32,571,337 |
Other comprehensive income | - | - | - | (7,210,226) | 2,399,088 | - | (930,438) | (5,741,576) | - | (5,741,576) |
Total comprehensive income for the year | - | - | - | (7,210,226) | 2,399,088 | - | 31,640,899 | 26,829,761 | - | 26,829,761 |
Transactions with equity holders, recognised directly in equity, contributions by and distributions to equity holders | ||||||||||
Final dividend for 2024: Cash | - | - | - | - | - | - | (10,964,752) | (10,964,752) | - | (10,964,752) |
Unclaimed dividend adjustments | - | - | - | - | - | 16,733 | - | 16,733 | - | 16,733 |
Total contributions by and distributions to equity holders | - | - | - | - | - | 16,733 | (10,964,752) | (10,948,019) | - | (10,948,019) |
Transfer to reserves during the year | - | 1,597,000 | 219,461 | - | - | 15,000,000 | (16,816,461) | - | - | - |
Balance as at 31st December 2025 | 48,741,119 | 9,955,000 | 1,879,931 | 3,678,415 | 9,492,010 | 95,027,656 | 24,989,923 | 193,764,054 | - | 193,764,054 |
Sampath Bank PLC - Confidential - Internal#
6
Sampath Bank PLC - Confidential - Internal#
STATEMENT OF CASH FLOWS
Bank Group
For the year ended 31st December | 2025 (Audited) Rs 000 | 2024 (Audited) Rs 000 | 2025 (Audited) Rs 000 | 2024 (Audited) Rs 000 |
Cash flows from operating activities | ||||
Interest receipts | 182,408,039 | 180,354,147 | 192,361,727 | 189,657,484 |
Interest payments | (91,884,631) | (103,622,237) | (96,307,461) | (108,114,476) |
Net commission receipts | 21,322,747 | 17,492,315 | 22,462,139 | 18,180,456 |
Cash payments to employees | (18,208,321) | (15,448,145) | (20,880,840) | (17,763,626) |
Taxes on financial services | (14,316,169) | (10,923,333) | (15,326,299) | (11,698,074) |
Receipts from other operating activities | 1,528,993 | 1,948,732 | 3,020,486 | 3,256,747 |
Cash payments to other operating activities | (21,683,791) | (17,975,503) | (22,890,055) | (18,498,833) |
Operating profit before changes in operating assets & liabilities | 59,166,867 | 51,825,976 | 62,439,697 | 55,019,678 |
(Increase)/decrease in operating assets | ||||
Balances with Central Bank of Sri Lanka | (5,461,209) | (1,910,129) | (5,461,209) | (1,910,129) |
Financial assets at amortised cost - loans & advances | (257,440,759) | (122,545,411) | (282,687,188) | (133,323,484) |
Other assets | 4,271,776 | 12,945,175 | 4,358,552 | 13,047,618 |
(258,630,192) | (111,510,365) | (283,789,845) | (122,185,995) | |
Increase/(decrease) in operating liabilities | ||||
Due to banks | 803,603 | 12,148,873 | 13,324,697 | 13,392,435 |
Re-purchase agreements | (7,640,225) | 5,651,885 | (9,799,267) | 5,902,008 |
Financial liabilities at amortised cost - due to depositors | 148,915,785 | 224,855,561 | 153,007,904 | 233,186,218 |
Financial liabilities at amortised cost - due to other borrowers | 288,953 | 1,426,343 | 288,953 | 1,426,343 |
Other liabilities | 10,813,633 | (7,396,549) | 10,863,884 | (6,369,275) |
153,181,749 | 236,686,113 | 167,686,171 | 247,537,729 | |
Net cash (used in)/generated from operating activities before income tax | (46,281,576) | 177,001,724 | (53,663,977) | 180,371,412 |
Income tax paid | (13,534,576) | (13,973,220) | (14,863,018) | (14,754,319) |
Net cash (used in)/generated from operating activities | (59,816,152) | 163,028,504 | (68,526,995) | 165,617,093 |
Cash flows from investing activities | ||||
Purchase of property, plant & equipment | (3,984,417) | (2,235,969) | (4,767,753) | (3,544,702) |
Proceeds from disposal of property, plant & equipment | 3,093 | 9,187 | 5,255 | 13,497 |
Net cash flow from reverse repurchase agreements | 956,000 | (1,000,000) | (476,823) | (6,445,443) |
Net cash flow from financial assets - FVPL | 4,240,851 | 295,543 | 4,240,851 | 420,114 |
Net cash flow from debt instruments at amortised cost | (120,715,817) | (29,421,237) | (116,346,674) | (27,956,564) |
Net cash flow from financial assets - FVOCI | 208,686,842 | (150,588,119) | 208,686,842 | (150,588,119) |
Purchase of intangible assets | (960,418) | (523,288) | (1,007,696) | (523,768) |
Dividend received from financial assets | 36,678 | 135,712 | 36,926 | 137,069 |
Net cash generated from/(used in) investing activities | 88,262,812 | (183,328,171) | 90,370,928 | (188,487,916) |
Cash flows from financing activities | ||||
Proceeds from the issue of debentures | 10,000,000 | - | 15,000,000 | 4,000,000 |
Redemption of debentures | - | (7,000,000) | - | (8,500,000) |
Net Proceeds from securitisation | - | - | 935,000 | (457,999) |
Dividend paid | (10,964,752) | (6,860,299) | (10,964,752) | (6,860,299) |
Repayment of principal portion of lease liabilities | (2,356,153) | (1,862,720) | (1,281,283) | (1,180,132) |
Net cash (used in)/generated from financing activities | (3,320,905) | (15,723,019) | 3,688,965 | (12,998,430) |
Net cash generated/(used) during the year | 25,125,755 | (36,022,686) | 25,532,898 | (35,869,253) |
Net foreign exchange difference | 2,255,925 | (5,305,469) | 2,255,925 | (5,305,469) |
Cash & cash equivalents at the beginning of the year | 71,672,859 | 113,001,014 | 71,640,027 | 112,814,749 |
Cash & cash equivalents at the end of the year | 99,054,539 | 71,672,859 | 99,428,850 | 71,640,027 |
7
NOTES TO THE FINANCIAL STATEMENTS
Bank | Group | |||
As at | 31st December 2025 (Audited) Rs 000 | 31st December 2024 (Audited) Rs 000 | 31st December 2025 (Audited) Rs 000 | 31st December 2024 (Audited) Rs 000 |
Gross loans & advances | 1,223,640,976 | 964,576,145 | 1,294,140,878 | 1,009,260,995 |
Less: Accumulated impairment under stage 1 | 15,967,896 | 9,810,450 | 16,265,023 | 9,885,943 |
Accumulated impairment under stage 2 | 9,173,859 | 15,131,439 | 9,893,277 | 15,910,717 |
Accumulated impairment under stage 3 | 70,722,429 | 79,482,646 | 72,064,516 | 81,513,854 |
Net loans & advances | 1,127,776,792 | 860,151,610 | 1,195,918,062 | 901,950,481 |
Product-wise loans and advances | ||||
Local currency | ||||
Bills of exchange | 156,118 | 84,400 | 156,118 | 84,400 |
Leasing | 58,190,348 | 28,404,717 | 97,802,446 | 61,021,594 |
Housing loans | 53,949,134 | 49,894,932 | 53,949,134 | 49,894,932 |
Export loans | 4,545,006 | 5,848,686 | 4,545,006 | 5,848,686 |
Import loans | 164,404,173 | 92,185,840 | 164,404,173 | 92,185,840 |
Refinance loans | 5,339,835 | 5,511,241 | 5,339,835 | 5,511,241 |
Term loans | ||||
Long term | 450,192,077 | 363,666,340 | 450,906,445 | 360,376,182 |
Short term | 5,748,433 | 11,260,393 | 16,315,429 | 14,456,257 |
Overdraft | 119,771,239 | 92,720,824 | 119,771,235 | 92,701,910 |
Staff loans | 14,379,029 | 11,896,324 | 14,591,439 | 12,064,511 |
Pawning and gold loans | 102,369,518 | 88,415,351 | 121,078,290 | 99,861,831 |
Credit cards | 23,418,427 | 21,410,705 | 23,418,302 | 21,410,686 |
Money market loans | 44,680,870 | 49,750,754 | 44,680,870 | 49,750,754 |
Factoring | 2,259,197 | 1,753,817 | 2,475,478 | 1,897,655 |
Others | 5,295 | 12,251 | 474,401 | 434,946 |
Sub total | 1,049,408,699 | 822,816,575 | 1,119,908,601 | 867,501,425 |
Foreign currency | ||||
Bills of exchange | 2,159,263 | 2,203,590 | 2,159,263 | 2,203,590 |
Housing loans | 128,885 | 186,870 | 128,885 | 186,870 |
Export loans | 27,003,892 | 23,795,689 | 27,003,892 | 23,795,689 |
Import loans | 12,252,364 | 10,416,519 | 12,252,364 | 10,416,519 |
Term loans | ||||
Long term | 124,702,694 | 85,790,311 | 124,702,694 | 85,790,311 |
Short term | 310,238 | 11,077,178 | 310,238 | 11,077,178 |
Overdraft | 7,656,927 | 8,286,012 | 7,656,927 | 8,286,012 |
Others | 18,014 | 3,401 | 18,014 | 3,401 |
Sub total | 174,232,277 | 141,759,570 | 174,232,277 | 141,759,570 |
Total gross loans and advances | 1,223,640,976 | 964,576,145 | 1,294,140,878 | 1,009,260,995 |
Analysis of Loans and Advances and Impairment
1.1
1.2
1.3 Movement of impairment during the year
Bank
Stage 1
Rs 000
Stage 2
Rs 000
Stage 3
Rs 000
Total
Rs 000
Balance as at 1st January 2025
9,810,450
15,131,439
79,482,646
104,424,535
Net charge/(reversal) for the year
6,079,718
(6,290,933)
(749,480)
(960,695)
Write-off during the year
-
-
(7,303,278)
(7,303,278)
Interest income accrued on impaired loans & advances
-
-
(4,206,834)
(4,206,834)
Other movements including exchange differences
77,728
333,353
3,499,375
3,910,456
Balance as at 31st December 2025
15,967,896
9,173,859
70,722,429
95,864,184
Group
Stage 1
Rs 000
Stage 2
Rs 000
Stage 3
Rs 000
Total
Rs 000
Balance as at 1st January 2025
9,885,943
15,910,717
81,513,854
107,310,514
Net charge/(reversal) for the year
6,301,352
(6,350,793)
(1,011,342)
(1,060,783)
Write-off during the year
-
-
(7,730,172)
(7,730,172)
Interest income accrued on impaired loans & advances
-
-
(4,207,571)
(4,207,571)
Other movements including exchange differences
77,728
333,353
3,499,747
3,910,828
Balance as at 31st December 2025
16,265,023
9,893,277
72,064,516
98,222,816
8
NOTES TO THE FINANCIAL STATEMENTS
Bank
Group
As at
31st December
2025
(Audited) Rs 000
31st December
2024
(Audited) Rs 000
31st December
2025
(Audited) Rs 000
31st December
2024
(Audited) Rs 000
Gross commitments and contingencies
627,537,117
527,461,315
626,575,427
524,898,212
Less: Accumulated impairment under stage 1
1,699,499
2,027,337
1,690,467
2,005,823
Accumulated impairment under stage 2
692,078
1,000,137
692,078
1,000,137
Accumulated impairment under stage 3
404,609
589,520
404,609
589,520
Net commitments and contingencies
624,740,931
523,844,321
623,788,273
521,302,732
Product-wise commitments and contingencies
Local currency
Credit related commitments & contingencies
Undrawn - direct credit facilities
140,807,287
130,621,587
139,760,039
127,964,746
Undrawn - indirect credit facilities
127,743,494
100,355,887
127,743,494
100,355,887
Acceptances
310,655
43,094
310,655
43,094
Documentary credit
1,283,495
493,673
1,283,495
493,673
Guarantees
40,047,002
32,709,383
40,048,002
32,710,383
310,191,933
264,223,624
309,145,685
261,567,783
Other commitments & contingencies
Capital commitments
826,455
1,419,564
911,013
1,512,302
Operating lease commitments
133,698
100,937
133,698
100,937
Forward exchange contracts
4,838,111
15,142,955
4,838,111
15,142,955
Currency SWAPs
109,059,555
102,652,002
109,059,555
102,652,002
114,857,819
119,315,458
114,942,377
119,408,196
Sub total
425,049,752
383,539,082
424,088,062
380,975,979
Foreign currency
Credit related commitments & contingencies
Undrawn - direct credit facilities
33,484,774
31,818,805
33,484,774
31,818,805
Undrawn - indirect credit facilities
13,868,467
7,311,473
13,868,467
7,311,473
Acceptances
22,506,331
16,722,320
22,506,331
16,722,320
Documentary credit
49,823,339
25,226,514
49,823,339
25,226,514
Guarantees
4,831,863
6,765,517
4,831,863
6,765,517
124,514,774
87,844,629
124,514,774
87,844,629
Other commitments & contingencies
Capital commitments
158,190
532,448
158,190
532,448
Forward exchange contracts
22,808,723
36,552,533
22,808,723
36,552,533
Currency SWAPs
55,005,678
18,992,623
55,005,678
18,992,623
77,972,591
56,077,604
77,972,591
56,077,604
Sub total
202,487,365
143,922,233
202,487,365
143,922,233
Total gross commitments and contingencies
627,537,117
527,461,315
626,575,427
524,898,212
Analysis of Commitments and Contingencies and Impairment
Movement of impairment during the year
Bank | Stage 1 Rs 000 | Stage 2 Rs 000 | Stage 3 Rs 000 | Total Rs 000 |
Balance as at 1st January 2025 Net reversal for the year Other movements including exchange differences | 2,027,337 (342,445) 14,607 | 1,000,137 (361,136) 53,077 | 589,520 (194,569) 9,658 | 3,616,994 (898,150) 77,342 |
Balance as at 31st December 2025 | 1,699,499 | 692,078 | 404,609 | 2,796,186 |
Group | Stage 1 Rs 000 | Stage 2 Rs 000 | Stage 3 Rs 000 | Total Rs 000 |
Balance as at 1st January 2025 Net reversal for the year Other movements including exchange differences | 2,005,823 (329,963) 14,607 | 1,000,137 (361,136) 53,077 | 589,520 (194,569) 9,658 | 3,595,480 (885,668) 77,342 |
Balance as at 31st December 2025 | 1,690,467 | 692,078 | 404,609 | 2,787,154 |
9
NOTES TO THE FINANCIAL STATEMENTS
3 | Analysis of Deposits |
Bank | Group | |||
As at | 31st December 2025 | 31st December 2024 | 31st December 2025 | 31st December 2024 |
(Audited) | (Audited) | (Audited) | (Audited) | |
Rs 000 | Rs 000 | Rs 000 | Rs 000 | |
Local Currency Deposits | ||||
Demand deposits | 74,762,826 | 66,394,391 | 74,695,324 | 66,377,158 |
Saving deposits | 408,470,699 | 346,557,832 | 408,416,249 | 346,311,065 |
Call deposits | - | 3,472 | - | 3,472 |
Fixed deposits | 911,351,299 | 826,447,841 | 947,365,815 | 857,995,976 |
Certificates of deposits | 4,698,947 | 5,635,081 | 4,698,947 | 5,635,081 |
Margin deposits | 2,088,343 | 1,647,558 | 2,088,343 | 1,647,558 |
Total local currency deposits | 1,401,372,114 | 1,246,686,175 | 1,437,264,678 | 1,277,970,310 |
Foreign Currency Deposits | ||||
Demand deposits | 9,900,559 | 7,679,069 | 9,900,559 | 7,679,069 |
Saving deposits | 77,533,271 | 78,528,703 | 77,533,271 | 78,528,703 |
Fixed deposits | 138,079,609 | 122,794,214 | 138,079,609 | 122,794,214 |
Margin deposits | 174,747 | 176,255 | 174,747 | 176,255 |
Total foreign currency deposits | 225,688,186 | 209,178,241 | 225,688,186 | 209,178,241 |
Total deposits | 1,627,060,300 | 1,455,864,416 | 1,662,952,864 | 1,487,148,551 |
10
EXPLANATORY NOTES | |
1. | There are no changes to the accounting policies and methods of computation since the publication of the annual accounts for the year ended 31st December 2024. |
2. | The Group Financial Statements comprise the consolidation of the Bank and its fully owned subsidiaries, Sampath Centre Ltd, Sampath Securities (Pvt) Ltd (formerly known as SC Securities (Pvt) Ltd), Siyapatha Finance PLC and Sampath Information Technology Solutions Ltd. |
3. | There were no material changes during the year in the composition of assets, liabilities and contingent liabilities. All known expenditure items have been provided for. |
4. | These interim Financial Statements are presented in accordance with Sri Lanka Accounting Standard - LKAS 34 (Interim Financial Reporting) and provide the information required in terms of Rule 7.4 of the Colombo Stock Exchange. |
5. | The External Auditors, Messrs Ernst & Young carried out an audit for the year ended 31st December 2025 and expressed an unqualified opinion on the Financial Statements of the Bank and the Group for that year. |
6. | Market Price of a Share | 2025 (Rs) | 2024 (Rs) |
Market Price as at 31st December | 146.50 | 118.25 | |
Highest Market Price during the quarter ended 31st December | 156.75 | 119.00 | |
Lowest Market Price during the quarter ended 31st December | 135.00 | 77.10 | |
Weighted Average Market Price during the quarter ended 31st December | 146.20 | 93.82 | |
Quoted shares and debentures of the Bank are only traded in Sri Lankan Rupees | |||
7. | Impairment of financial assets - Loans and advances | ||
As at 31st December 2025, the Bank carried out a comprehensive assessment of its Individually Significant Loans (ISL) to evaluate the adequacy of impairment provisions recognised in the Financial Statements. In forecasting cash flows for ISL customers, the Bank considered multiple recovery methods, including collateral realisation and the recovery of rescheduled or contractual cash flows. Additional impairment allowances were recognised for customers who exhibited signs of credit deterioration, including those adversely affected by Cyclone Ditwah in November 2025. | |||
For collective impairment, the Bank updated its Probability of Default (PD) and Loss Given Default (LGD) rates using current-year data to determine impairment provisions as at the reporting date. Key macroeconomic variables were revised based on the latest information published by the Central Bank of Sri Lanka and other relevant sources. In addition, the probability weight assigned to the worst-case scenario was increased to 60%, reflecting ongoing global economic uncertainties, the impact of Cyclone Ditwah and extensive flood-related damages. An additional factor was introduced into the EFA model to reflect the climate impact on the lending portfolio. An allowance for overlay was also applied to capture potential losses, particularly for customers who obtained relief under the temporary debt relief scheme introduced by the Central Bank of Sri Lanka. | |||
8. | Events after the reporting period | ||
There are no material events after the reporting date that require adjustment to, or disclosure in, the Financial Statements, other than the items disclosed under notes 8.1 and 8.2 below. | |||
8.1 | Proposed Dividend | ||
The Directors of the Bank have recommended a final cash dividend of Rs 10.30 per share for the financial year ended 31st December 2025. This dividend is subject to approval by the shareholders at the Annual General Meeting to be held on 30th March 2026. In accordance with Sri Lanka Accounting Standard - LKAS 10 (Events after the Reporting Period), this proposed final dividend has not been recognised as a liability as at 31st December 2025. As required by Section 56 (2) of the Companies Act No. 7 of 2007, the Board of Directors has confirmed that the Bank has satisfied the 'solvency test' under Section 57 of the Companies Act No. 7 of 2007, having obtained a certificate from the External Auditors prior to recommending the final dividend for the year. | |||
8.2 | Incorporation of a New Subsidiary to Conduct Wealth Management Business | ||
The Central Bank of Sri Lanka has granted approval for the Bank to engage in wealth management business through a wholly owned subsidiary. The commencement of these business activities is subject to the subsidiary obtaining all other necessary approvals, including regulatory approval from the Securities and Exchange Commission of Sri Lanka. | |||
9. | Proposed Debentures and/or Green and/or Sustainability Bonds Issue | ||
The Board of Directors of the Bank, at its meeting held on 17th December 2025, decided to issue up to 200,000,000 Basel III-compliant Tier 2 Listed, Rated, Unsecured, Subordinated, Redeemable, 5-year Debentures and/or Green and/or Sustainability Bonds with a Non-Viability Conversion feature, each with a par value of Rs 100/-, to raise up to Rs 20 Bn in one or more issuances within two years from the date of obtaining shareholder approval at an Extraordinary General Meeting, subject to regulatory clearances from the Colombo Stock Exchange and other relevant authorities. | |||
10. | Utilisation of funds raised via capital markets | ||
The funds raised through the capital markets in the first quarter of the current year, as well as in previous years were fully utilised for the objectives stated in the relevant prospectuses. | |||
11
SAMPATH BANK PLC (ORDINARY SHARES) |
TOP 20 SHAREHOLDERS AS AT 31ST DECEMBER 2025 |
Name of the Shareholder | No. of shares | % holding |
1 | Vallibel One PLC | 175,352,762 | 14.95 |
2 | Phantom Investments (Pvt) Limited | 117,270,076 | 10.00 |
3 | Mr Y S H I Silva | 117,035,065 | 9.98 |
4 | Employees' Provident Fund | 116,948,697 | 9.97 |
5 | Rosewood (Pvt) Limited | 55,240,454 | 4.71 |
6 | Akbar Brothers Pvt Ltd | 37,538,805 | 3.20 |
7 | Mr D P Pieris | 29,696,789 | 2.53 |
8 | Mr W Jinadasa | 27,356,683 | 2.33 |
9 | Ayenka Holdings Private Limited | 26,489,689 | 2.26 |
10 | Ms P D A S Beruwalage | 12,982,629 | 1.11 |
11 | Mr N A Madanayake | 12,545,855 | 1.07 |
12 | Sampath Bank PLC Account No 04 (Sampath Bank Pension Fund) | 11,832,461 | 1.01 |
13 | BBH - Tundra Sustainable Frontier Fund | 9,837,629 | 0.84 |
14 | BBH - Tundra Shikari Global | 9,164,000 | 0.78 |
15 | Employees' Trust Fund Board | 7,782,375 | 0.66 |
16 | First Capital Holdings PLC | 7,575,723 | 0.65 |
17 | Janashakthi Insurance PLC - Shareholders | 7,500,000 | 0.64 |
18 | Mr S K Wijekoon | 7,396,242 | 0.63 |
19 | Magna Wealth (Pvt) Ltd | 7,031,815 | 0.60 |
20 | Sri Lanka Insurance Corporation Life Ltd Participating Portfolio A/C 1 | 4,900,969 | 0.42 |
801,478,718 | 68.34 |
Shares held by Directors | 681,176 | 0.06 |
Balance held by other shareholders | 370,540,866 | 31.60 |
Total | 1,172,700,760 | 100.00 |
As at | 31st December 2025 |
Number of public shareholders | 42,002 |
Percentage of public holding | 98.86% |
Float adjusted market capitalization | Rs 170 Bn |
The Bank complies with the minimum public holding requirement under option 1 of Listing Rules Section 7.13.1 (i) (a).
12
No. of shares held | |
As at 31st December 2025 | As at 31st December 2024 |
Director's Name
1 | Mr Harsha Amarasekera | - | - |
2 | Mr Rushanka Silva | - | - |
3 | Mr D K de Silva Wijeyeratne | - | - |
4 | Ms A Nanayakkara | - | - |
5 | Mr Vajira Kulatilaka | - | - |
6 | Ms R K Jayawardena | - | - |
7 | Mr Vinod Hirdaramani | 668,087 | 668,087 |
8 | Mr Hiran Cabraal | - | - |
9 | Mr Roger Keith Modder | 6,941 | 6,941 |
10 | Mr Sanjaya Gunawardana (Managing Director/Chief Executive Officer) (Appointed w.e.f. 24th September 2025) | 6,148 | Not applicable |
11 | Mr D A de Vas Gunasekara (Chief Financial Officer) | - | - |
13
Segment Information - Group (Audited)
For the year ended 31st December | Corporate Banking | SME & Retail Banking | Dealing/Investment | Others | (Eliminations)/Unallocated | Total | ||||||
2025 | 2024 | 2025 | 2024 | 2025 | 2024 | 2025 | 2024 | 2025 | 2024 | 2025 | 2024 | |
Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | |
Net interest income | 16,701,500 | 15,922,564 | 53,704,777 | 51,371,340 | 20,942,194 | 26,415,943 | 5,491,017 | 4,456,915 | (13,267,973) | (13,504,688) | 83,571,515 | 84,662,074 |
Net fee & commission income | 3,452,786 | 2,553,772 | 17,332,757 | 14,587,001 | (42,165) | (38,125) | 1,139,392 | 688,141 | 491,977 | 406,604 | 22,374,747 | 18,197,393 |
Net gain/(loss) from trading | - | - | - | - | 4,254,888 | (1,777,456) | - | 73,194 | - | - | 4,254,888 | (1,704,262) |
Net gain/(loss) on derecognition of financial assets | - | - | - | - | 3,968,812 | (7,230,523) | - | (44,788) | - | - | 3,968,812 | (7,275,311) |
Net other operating income | 95,456 | 104,991 | 2,344,554 | 2,298,951 | (2,618,715) | 1,428,867 | 3,070,093 | 2,341,744 | 821,840 | (5,965,545) | 3,713,228 | 209,008 |
Total revenue from external customers | 20,249,742 | 18,581,327 | 73,382,088 | 68,257,292 | 26,505,014 | 18,798,706 | 9,700,502 | 7,515,206 | (11,954,156) | (19,063,629) | 117,883,190 | 94,088,902 |
Inter segment (expense)/income | (445,028) | (414,263) | 239,028 | 414,263 | 206,000 | - | - | - | - | - | - | - |
Total operating income | 19,804,714 | 18,167,064 | 73,621,116 | 68,671,555 | 26,711,014 | 18,798,706 | 9,700,502 | 7,515,206 | (11,954,156) | (19,063,629) | 117,883,190 | 94,088,902 |
Less: Impairment (reversal)/charge | (3,017,753) | 3,334,889 | 1,131,213 | (96,934) | 1,345,794 | (15,785,676) | (59,630) | (177,345) | (42,320) | 853,591 | (642,696) | (11,871,475) |
Net operating income | 22,822,467 | 14,832,175 | 72,489,903 | 68,768,489 | 25,365,220 | 34,584,382 | 9,760,132 | 7,692,551 | (11,911,836) | (19,917,220) | 118,525,886 | 105,960,377 |
Less: Total operating expenses | 1,209,871 | 926,159 | 28,024,502 | 22,781,281 | 463,321 | 414,236 | 5,019,390 | 4,165,607 | 15,685,764 | 14,515,108 | 50,402,848 | 42,802,391 |
Segment result | 21,612,596 | 13,906,016 | 44,465,401 | 45,987,208 | 24,901,899 | 34,170,146 | 4,740,742 | 3,526,944 | (27,597,600) | (34,432,328) | 68,123,038 | 63,157,986 |
Less: Taxes on financial services | 15,076,816 | 13,969,717 | ||||||||||
Less: Income tax expense | 20,474,885 | 20,485,009 | ||||||||||
Profit for the year | 32,571,337 | 28,703,260 | ||||||||||
Non controlling interest | - | - | ||||||||||
Profit attributable to equity holders of the Bank | 32,571,337 | 28,703,260 | ||||||||||
As at 31st December | 2025 | 2024 | 2025 | 2024 | 2025 | 2024 | 2025 | 2024 | 2025 | 2024 | 2025 | 2024 |
Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | |
Segment assets | 618,365,187 | 442,305,394 | 1,671,195,396 | 1,499,480,074 | 721,195,974 | 800,514,510 | 98,980,559 | 72,141,750 | 122,130,487 | 90,469,575 | 3,231,867,603 | 2,904,911,303 |
Unallocated assets | - | - | - | - | - | - | - | - | (1,167,660,363) | (1,067,915,937) | (1,167,660,363) | (1,067,915,937) |
Total assets | 618,365,187 | 442,305,394 | 1,671,195,396 | 1,499,480,074 | 721,195,974 | 800,514,510 | 98,980,559 | 72,141,750 | (1,045,529,876) | (977,446,362) | 2,064,207,240 | 1,836,995,366 |
Segment liabilities | 600,796,788 | 428,286,441 | 1,636,011,243 | 1,462,721,564 | 697,417,122 | 762,323,364 | 79,997,643 | 56,682,788 | 19,787,509 | 10,668,547 | 3,034,010,305 | 2,720,682,704 |
Unallocated liabilities | - | - | - | - | - | - | - | - | (1,163,567,119) | (1,061,569,650) | (1,163,567,119) | (1,061,569,650) |
Total liabilities | 600,796,788 | 428,286,441 | 1,636,011,243 | 1,462,721,564 | 697,417,122 | 762,323,364 | 79,997,643 | 56,682,788 | (1,143,779,610) | (1,050,901,103) | 1,870,443,186 | 1,659,113,054 |
For the year ended 31st December | 2025 | 2024 | 2025 | 2024 | 2025 | 2024 | 2025 | 2024 | 2025 | 2024 | 2025 | 2024 |
Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | Rs 000 | |
Cash flows from operating activities | (106,388,358) | (35,188,078) | 16,006,589 | 132,418,463 | 62,263,920 | 93,242,755 | (8,710,843) | 2,588,589 | (31,698,303) | (27,444,636) | (68,526,995) | 165,617,093 |
Cash flows from investing activities | - | 97,826 | - | - | 93,167,876 | (180,713,813) | 2,108,116 | (5,159,745) | (4,905,064) | (2,712,184) | 90,370,928 | (188,487,916) |
Cash flows from financing activities | - | - | - | - | - | - | 7,009,870 | 2,724,589 | (3,320,905) | (15,723,019) | 3,688,965 | (12,998,430) |
Capital expenditure | - | - | - | - | - | - | (830,614) | (1,309,213) | (4,944,835) | (2,759,257) | (5,775,449) | (4,068,470) |
14
ANALYSIS OF FINANCIAL INSTRUMENTS BY MEASUREMENT BASIS
Bank - As at 31st December 2025 (Audited)
Financial Assets | Fair value through Profit or Loss Rs 000 | Amortised Cost Rs 000 | Fair Value through Other Comprehensive Income Rs 000 | Total Rs 000 |
Cash & cash equivalents | - | 62,018,008 | - | 62,018,008 |
Balances with Central Bank of Sri Lanka | - | 21,835,192 | - | 21,835,192 |
Placements with banks | - | 39,223,825 | - | 39,223,825 |
Reverse repurchase agreements | - | 44,282 | - | 44,282 |
Derivative financial instruments | 2,468,488 | - | - | 2,468,488 |
Financial assets recognised through profit or loss - measured at fair value | 403,260 | - | - | 403,260 |
Financial assets at amortised cost | ||||
- loans & advances | - | 1,127,776,792 | - | 1,127,776,792 |
- debt & other instruments | - | 523,176,568 | - | 523,176,568 |
Financial assets - fair value through other comprehensive income | - | - | 148,256,497 | 148,256,497 |
Other assets | - | 8,326,567 | - | 8,326,567 |
Total Financial Assets | 2,871,748 | 1,782,401,234 | 148,256,497 | 1,933,529,479 |
Financial Liabilities | Fair value through Profit or Loss | Amortised Cost | Total |
Rs 000 | Rs 000 | Rs 000 | |
Due to banks | - | 24,687,100 | 24,687,100 |
Derivative financial instruments | 805,063 | - | 805,063 |
Securities sold under repurchase agreements | - | 32,785,653 | 32,785,653 |
Financial liabilities at amortised cost | |||
- due to depositors | - | 1,627,060,300 | 1,627,060,300 |
- due to other borrowers | - | 8,357,756 | 8,357,756 |
- due to debt securities holders | - | 29,795,272 | 29,795,272 |
Dividend payable | - | 405,100 | 405,100 |
Other liabilities | - | 40,649,343 | 40,649,343 |
Total Financial Liabilities | 805,063 | 1,763,740,524 | 1,764,545,587 |
Bank - As at 31st December 2024 (Audited)
Financial Assets | Fair value through Profit or Loss Rs 000 | Amortised Cost Rs 000 | Fair Value through Other Comprehensive Income Rs 000 | Total Rs 000 |
Cash & cash equivalents | - | 46,229,318 | - | 46,229,318 |
Balances with Central Bank of Sri Lanka | - | 16,373,983 | - | 16,373,983 |
Placements with banks | - | 26,452,245 | - | 26,452,245 |
Reverse repurchase agreements | - | 1,000,220 | - | 1,000,220 |
Derivative financial instruments | 507,054 | - | - | 507,054 |
Financial assets recognised through profit or loss - measured at fair value | 4,614,332 | - | - | 4,614,332 |
Financial assets at amortised cost | ||||
- loans & advances | - | 860,151,610 | - | 860,151,610 |
- debt & other instruments | - | 401,280,763 | - | 401,280,763 |
Financial assets - fair value through other comprehensive income | - | - | 367,782,512 | 367,782,512 |
Other assets | - | 12,571,604 | - | 12,571,604 |
Total Financial Assets | 5,121,386 | 1,364,059,743 | 367,782,512 | 1,736,963,641 |
Financial Liabilities | Fair value through Profit or Loss | Amortised Cost | Total |
Rs 000 | Rs 000 | Rs 000 | |
Due to banks | - | 23,259,811 | 23,259,811 |
Derivative financial instruments | 3,200,590 | - | 3,200,590 |
Securities sold under repurchase agreements | - | 40,312,784 | 40,312,784 |
Financial liabilities at amortised cost | |||
- due to depositors | - | 1,455,864,416 | 1,455,864,416 |
- due to other borrowers | - | 8,061,364 | 8,061,364 |
- due to debt securities holders | - | 18,891,500 | 18,891,500 |
Dividend payable | - | 298,695 | 298,695 |
Other liabilities | - | 30,918,520 | 30,918,520 |
Total Financial Liabilities | 3,200,590 | 1,577,607,090 | 1,580,807,680 |
15
ANALYSIS OF FINANCIAL INSTRUMENTS BY MEASUREMENT BASIS
Group - As at 31st December 2025 (Audited)
Financial Assets | Fair value through Profit or Loss Rs 000 | Amortised Cost Rs 000 | Fair Value through Other Comprehensive Income Rs 000 | Total Rs 000 |
Cash & cash equivalents | - | 62,563,988 | - | 62,563,988 |
Balances with Central Bank of Sri Lanka | - | 21,835,192 | - | 21,835,192 |
Placements with banks | - | 39,223,825 | - | 39,223,825 |
Reverse repurchase agreements | - | 7,085,229 | - | 7,085,229 |
Derivative financial instruments | 2,468,488 | - | - | 2,468,488 |
Financial assets recognised through profit or loss - measured at fair value | 403,260 | - | - | 403,260 |
Financial assets at amortised cost | ||||
- loans & advances | - | 1,195,918,062 | - | 1,195,918,062 |
- debt & other instruments | - | 523,233,300 | - | 523,233,300 |
Financial assets - fair value through other comprehensive income | - | - | 148,256,553 | 148,256,553 |
Other assets | - | 9,931,981 | - | 9,931,981 |
Total Financial Assets | 2,871,748 | 1,859,791,577 | 148,256,553 | 2,010,919,878 |
Financial Liabilities | Fair value through Profit or Loss | Amortised Cost | Total |
Rs 000 | Rs 000 | Rs 000 | |
Due to banks | - | 43,929,855 | 43,929,855 |
Derivative financial instruments | 805,063 | - | 805,063 |
Securities sold under repurchase agreements | - | 30,626,611 | 30,626,611 |
Financial liabilities at amortised cost | |||
- due to depositors | - | 1,662,952,864 | 1,662,952,864 |
- due to other borrowers | - | 8,357,756 | 8,357,756 |
- due to debt securities holders | - | 41,883,516 | 41,883,516 |
Dividend payable | - | 405,100 | 405,100 |
Other liabilities | - | 42,400,890 | 42,400,890 |
Total Financial Liabilities | 805,063 | 1,830,556,592 | 1,831,361,655 |
Group - As at 31st December 2024 (Audited)
Financial Assets | Fair value through Profit or Loss Rs 000 | Amortised Cost Rs 000 | Fair Value through Other Comprehensive Income Rs 000 | Total Rs 000 |
Cash & cash equivalents | - | 46,501,139 | - | 46,501,139 |
Balances with Central Bank of Sri Lanka | - | 16,373,983 | - | 16,373,983 |
Placements with banks | - | 26,452,245 | - | 26,452,245 |
Reverse repurchase agreements | - | 6,596,063 | - | 6,596,063 |
Derivative financial instruments | 507,054 | - | - | 507,054 |
Financial assets recognised through profit or loss - measured at fair value | 4,614,332 | - | - | 4,614,332 |
Financial assets at amortised cost | ||||
- loans & advances | - | 901,950,481 | - | 901,950,481 |
- debt & other instruments | - | 405,616,020 | - | 405,616,020 |
Financial assets - fair value through other comprehensive income | - | - | 367,782,568 | 367,782,568 |
Other assets | - | 14,358,414 | - | 14,358,414 |
Total Financial Assets | 5,121,386 | 1,417,848,345 | 367,782,568 | 1,790,752,299 |
Financial Liabilities | Fair value through Profit or Loss | Amortised Cost | Total |
Rs 000 | Rs 000 | Rs 000 | |
Due to banks | - | 30,067,815 | 30,067,815 |
Derivative financial instruments | 3,200,590 | - | 3,200,590 |
Securities sold under repurchase agreements | - | 40,312,784 | 40,312,784 |
Financial liabilities at amortised cost | |||
- due to depositors | - | 1,487,148,551 | 1,487,148,551 |
- due to other borrowers | - | 8,061,364 | 8,061,364 |
- due to debt securities holders | - | 24,741,652 | 24,741,652 |
Dividend payable | - | 298,695 | 298,695 |
Other liabilities | - | 31,040,787 | 31,040,787 |
Total Financial Liabilities | 3,200,590 | 1,621,671,648 | 1,624,872,238 |
16
FAIR VALUE OF FINANCIAL INSTRUMENTS
All financial assets and liabilities for which fair value is measured or disclosed in the financial statements are categorised within the fair value hierarchy, as described below.
Level 1 - Quoted market price (unadjusted)
When available, the Bank measures the fair value of financial instruments using quoted market prices in an active market. Accordingly, quoted equity securities have been valued using quoted market prices as at the reporting date, while the fair values of treasury bills and bonds have been derived using the published yield curves.
Level 2 - Valuation technique using observable inputs
If a market for a financial instrument is not active, then the Bank measures fair value of such instruments using quoted prices for similar assets and liabilities in active markets or quoted prices for identical/similar assets and liabilities in inactive markets or using models where all significant inputs are observable. The Bank has used the spot and forward premiums available as at the reporting date to estimate the fair value of derivative financial instruments. Fair values of financial assets and financial liabilities carried at amortised cost have been estimated by comparing the interest rates when they were first recognised with the current market rates of similar instruments.
Level 3 - Valuation technique with significant unobservable inputs
Assets and liabilities valued using valuation techniques where one or more significant inputs are unobservable.
There are no material changes in the fair value of financial assets categorised under Level 3, compared to the values reported as at 31st December 2024. The Bank has not changed the valuation models and assumptions used to measure the fair values of Level 3 financial instruments during the year ended 31st December 2025.
Date of Valuation | As at 31st December 2025 (Audited) | As at 31st December 2024 (Audited) | ||||||
Fair Value Measurement Using | Total Rs 000 | Fair Value Measurement Using | Total Rs 000 | |||||
Quoted Prices in Active Markets (Level 1) Rs 000 | Significant Observable Inputs (Level 2) Rs 000 | Significant Unobservable Inputs (Level 3) Rs 000 | Quoted Prices in Active Markets (Level 1) Rs 000 | Significant Observable Inputs (Level 2) Rs 000 | Significant Unobservable Inputs (Level 3) Rs 000 | |||
Financial assets measured at fair value | ||||||||
Derivative financial instruments | - | 2,468,488 | - | 2,468,488 | - | 507,054 | - | 507,054 |
Financial assets - fair value through profit or loss | 403,260 | - | - | 403,260 | 4,614,332 | - | - | 4,614,332 |
Financial assets - fair value through other comprehensive income | 148,052,634 | - | 203,863 | 148,256,497 | 367,578,758 | - | 203,754 | 367,782,512 |
Total financial assets measured at fair value | 148,455,894 | 2,468,488 | 203,863 | 151,128,245 | 372,193,090 | 507,054 | 203,754 | 372,903,898 |
Financial liabilities measured at fair value Derivative financial instruments | - | 805,063 | - | 805,063 | - | 3,200,590 | - | 3,200,590 |
Total financial liabilities measured at fair value | - | 805,063 | - | 805,063 | - | 3,200,590 | - | 3,200,590 |
Financial Assets & Liabilities Measured at Fair Value - Fair Value Hierarchy Bank
Group
Date of Valuation | As at 31st December 2025 (Audited) | As at 31st December 2024 (Audited) | ||||||
Fair Value Measurement Using | Total Rs 000 | Fair Value Measurement Using | Total Rs 000 | |||||
Quoted Prices in Active Markets (Level 1) Rs 000 | Significant Observable Inputs (Level 2) Rs 000 | Significant Unobservable Inputs (Level 3) Rs 000 | Quoted Prices in Active Markets (Level 1) Rs 000 | Significant Observable Inputs (Level 2) Rs 000 | Significant Unobservable Inputs (Level 3) Rs 000 | |||
Financial assets measured at fair value Derivative financial instruments Financial assets - fair value through profit or loss Financial assets - fair value through other comprehensive income | -403,260 148,052,634 | 2,468,488 - - | - -203,919 | 2,468,488 403,260 148,256,553 | -4,614,332 367,578,758 | 507,054 - - | - -203,810 | 507,054 4,614,332 367,782,568 |
Total financial assets measured at fair value | 148,455,894 | 2,468,488 | 203,919 | 151,128,301 | 372,193,090 | 507,054 | 203,810 | 372,903,954 |
Financial liabilities measured at fair value Derivative financial instruments | - | 805,063 | - | 805,063 | - | 3,200,590 | - | 3,200,590 |
Total financial liabilities measured at fair value | - | 805,063 | - | 805,063 | - | 3,200,590 | - | 3,200,590 |
17
FAIR VALUE OF FINANCIAL INSTRUMENTS (Contd…)
Date of Valuation | As at 31st December 2025 (Audited) | As at 31st December 2024 (Audited) | ||||||||
Fair Value | Carrying Value Rs 000 | Fair Value | Carrying Value Rs 000 | |||||||
Level 1 Rs 000 | Level 2 Rs 000 | Level 3 Rs 000 | Total Rs 000 | Level 1 Rs 000 | Level 2 Rs 000 | Level 3 Rs 000 | Total Rs 000 | |||
Financial Assets | ||||||||||
Financial assets at amortised cost | ||||||||||
loans & advances | - | 1,129,099,825 | - | 1,129,099,825 | 1,127,776,792 | - | 862,032,418 | - | 862,032,418 | 860,151,610 |
debt & other instruments | 482,797,470 | 42,432,555 | - | 525,230,025 | 523,176,568 | 354,429,078 | 53,244,486 | - | 407,673,564 | 401,280,763 |
482,797,470 | 1,171,532,380 | - | 1,654,329,850 | 1,650,953,360 | 354,429,078 | 915,276,904 | - | 1,269,705,982 | 1,261,432,373 | |
Financial Liabilities | ||||||||||
Financial liabilities at amortised cost | ||||||||||
due to banks | - | 24,748,752 | - | 24,748,752 | 24,687,100 | - | 23,259,811 | - | 23,259,811 | 23,259,811 |
due to depositors - fixed & certificate of deposits | - | 1,060,674,462 | - | 1,060,674,462 | 1,054,129,855 | - | 961,296,733 | - | 961,296,733 | 954,877,136 |
due to debt securities holders | - | 33,697,346 | - | 33,697,346 | 29,795,272 | - | 23,059,835 | - | 23,059,835 | 18,891,500 |
- | 1,119,120,560 | - | 1,119,120,560 | 1,108,612,227 | - | 1,007,616,379 | - | 1,007,616,379 | 997,028,447 | |
Fair Value of Financial Assets and Liabilities Carried at Amortised Cost Bank
Group
Date of Valuation | As at 31st December 2025 (Audited) | As at 31st December 2024 (Audited) | ||||||||
Fair Value | Carrying Value Rs 000 | Fair Value | Carrying Value Rs 000 | |||||||
Level 1 Rs 000 | Level 2 Rs 000 | Level 3 Rs 000 | Total Rs 000 | Level 1 Rs 000 | Level 2 Rs 000 | Level 3 Rs 000 | Total Rs 000 | |||
Financial Assets | ||||||||||
Financial assets at amortised cost | ||||||||||
loans & advances | - | 1,199,655,602 | - | 1,199,655,602 | 1,195,918,062 | - | 907,820,422 | - | 907,820,422 | 901,950,481 |
debt & other instruments | 482,854,202 | 42,432,555 | - | 525,286,757 | 523,233,300 | 358,764,335 | 53,244,486 | - | 412,008,821 | 405,616,020 |
482,854,202 | 1,242,088,157 | - | 1,724,942,359 | 1,719,151,362 | 358,764,335 | 961,064,908 | - | 1,319,829,243 | 1,307,566,501 | |
Financial Liabilities | ||||||||||
Financial liabilities at amortised cost | ||||||||||
due to banks | - | 44,109,982 | - | 44,109,982 | 43,929,855 | - | 30,160,890 | - | 30,160,890 | 30,067,815 |
due to depositors - fixed & certificate of deposits | - | 1,097,654,187 | - | 1,097,654,187 | 1,090,144,371 | - | 992,738,798 | - | 992,738,798 | 986,425,271 |
due to debt securities holders | - | 46,024,441 | - | 46,024,441 | 41,883,516 | - | 28,863,197 | - | 28,863,197 | 24,741,652 |
- | 1,187,788,610 | - | 1,187,788,610 | 1,175,957,742 | - | 1,051,762,885 | - | 1,051,762,885 | 1,041,234,738 | |
Treasury bonds acquired in settlement of SLDBs under the Domestic Debt Optimisation Program (DDO) in 2023 and treasury bonds received in settlement of Sri Lanka International Sovereign Bonds in 2024 have been classified under level 2 since there is no active market for such bonds.
The following table lists those financial instruments for which their carrying amounts are a reasonable approximation of fair values because, for example, they are short term in nature or re-priced to current market rates frequently.
Assets | Liabilities |
Cash & cash equivalents | Securities sold under repurchase agreements |
Balances with Central Bank of Sri Lanka | Savings, demand, call & margin deposits |
Placements with banks | Due to other borrowers |
Reverse repurchase agreements | Dividend payable |
Other financial assets | Other financial liabilities |
18
DEBENTURE INFORMATION
(a) | Market Values | ||||||
Debentures - 2021/2028 | Highest (Rs) | Lowest (Rs) | Quarter End (Rs) | ||||
2025 | 2024 | 2025 | 2024 | 2025 | 2024 | ||
Fixed - 9.00% | N/T | N/T | N/T | N/T | N/T | N/T | |
Debentures - 2023/2028 | Highest (Rs) | Lowest (Rs) | Quarter End (Rs) | |||
2025 | 2024 | 2025 | 2024 | 2025 | 2024 | |
Fixed - 28.00% | 133.67 | N/T | 127.50 | N/T | 127.50 | N/T |
Floating rate | N/T | N/T | N/T | N/T | N/T | N/T |
Debentures - 2025/2030 | Highest (Rs) | Lowest (Rs) | Quarter End (Rs) | |||
2025 | 2024 | 2025 | 2024 | 2025 | 2024 | |
Fixed - 11.75% | N/T | N/A | N/T | N/A | N/T | N/A |
(b) | Interest Rates |
Debentures - 2021/2028 | 2025 | 2024 | ||
Coupon rate | Effective rate | Coupon rate | Effective rate | |
Fixed - 9.00% | 9.00% | 9.00% | 9.00% | 9.00% |
Debentures - 2023/2028 | 2025 | 2024 | ||
Coupon rate | Effective rate | Coupon rate | Effective rate | |
Fixed - 28.00% | 28.00% | 28.00% | 28.00% | 28.00% |
Floating rate | Note 01 | |||
Debentures - 2025/2030 | 2025 | 2024 | ||
Coupon rate | Effective rate | Coupon rate | Effective rate | |
Fixed - 11.75% | 11.75% | 11.75% | N/A | N/A |
Note 01 |
Debentures - 2023/2028 |
Floating rate is equivalent to the one year gross treasury bill rate plus 1.5%, subject to a floor of 20.0% & a cap of 31.0% p.a. payable annually. |
(c) | Interest Rates of Comparable Government Securities |
2025 | 2024 | |
3 Month Treasury Bill | 7.55% | 8.62% |
6 Month Treasury Bill | 7.95% | 8.77% |
5 Year Treasury Bond | 9.84% | 10.64% |
7 Year Treasury Bond | 10.45% | 11.05% |
(d) | Current Yield & Yield to Maturity |
Debentures - 2021/2028 | Fixed | |
9.00% | ||
2025 | 2024 | |
Current yield | N/T | N/T |
Yield to maturity of last trade | N/T | N/T |
Debentures - 2023/2028 | Fixed | Floating | ||
28.00% | ||||
2025 | 2024 | 2025 | 2024 | |
Current yield | 21.96% | N/T | N/T | N/T |
Yield to maturity of last trade | 12.70% | N/T | N/T | N/T |
Debentures - 2025/2030 | Fixed | |
11.75% | ||
2025 | 2024 | |
Current yield | N/T | N/A |
Yield to maturity of last trade | N/T | N/A |
N/T - Not Traded , N/A - Not Applicable
(e) | Ratios - Bank | ||
31.12.2025 | 31.12.2024 | ||
Debt to Equity Ratio (%) | 14.5 | 9.6 | |
Interest Cover (Times) | 15.9 | 18.1 | |
Quick Asset Ratio (%) | 71.2 | 70.1 |
19
SELECTED PERFORMANCE INDICATORS/KEY FINANCIAL DATA (AS PER REGULATORY REPORTING)
Item | As at | As at | As at | As at |
31st December 2025 | 31st December 2024 | 31st December 2025 | 31st December 2024 | |
Bank | Group | |||
Regulatory Capital Adequacy (Rs 000) | ||||
Common Equity Tier 1 Capital | 145,012,150 | 131,766,084 | 158,535,476 | 142,561,898 |
Tier 1 Capital | 145,012,150 | 131,766,084 | 158,535,476 | 142,561,898 |
Total Regulatory Capital | 173,589,749 | 152,522,320 | 187,887,067 | 163,818,916 |
Regulatory Capital Ratios (%) | ||||
Common Equity Tier 1 Capital Ratio | 14.75 | 16.75 | 15.05 | 17.10 |
(Minimum Requirement: 2025 - 8.0%, 2024 - 7.0%) | ||||
Tier 1 Capital Ratio | 14.75 | 16.75 | 15.05 | 17.10 |
(Minimum Requirement: 2025 - 9.5%, 2024 - 8.5%) | ||||
Total Capital Ratio | 17.65 | 19.38 | 17.83 | 19.65 |
(Minimum Requirement: 2025 - 13.5%, 2024 - 12.5%) | ||||
Basel III Leverage Ratio % (Minimum Requirement - 3%) | 7.13 | 7.24 | 7.47 | 7.58 |
As at | As at | |
31st December 2025 | 31st December 2024 | |
Bank | ||
Regulatory Liquidity Requirement Liquidity Coverage Ratio (%) - Rupee (Minimum Requirement - 100%) | 283.45 | 340.11 |
Liquidity Coverage Ratio (%) - All Currency (Minimum Requirement - 100%) | 239.79 | 307.36 |
Net Stable Funding Ratio (%) (Minimum Requirement - 100%) Assets Quality (Quality of Loan Portfolio) | 173.00 | 198.66 |
Impaired Loans (Stage 3) to Total Loans Ratio (%) | 3.31 | 4.69 |
Impairment (Stage 3) to Stage 3 Loans Ratio (%) | 60.44 | 60.08 |
Income & Profitability | ||
Net Interest Margin (%) | 4.11 | 4.90 |
Return on Assets (Before Tax) (%) | 2.60 | 2.84 |
Return on Equity (After Tax) (%) | 17.93 | 17.74 |
Cost to Income Ratio (%) | 42.71 | 44.95 |
Memorandum Information | ||
Credit Rating - Fitch | AA- (lka) | AA- (lka) |
Number of Employees | 4,917 | 4,428 |
Number of Branches | 229 | 229 |
20