National Development Bank PLC (NDB/the Bank) recorded  a post-tax profit of Rs 2.9 billion (b) in Q3 2026, compared with Rs 3.0 b in Q2 2026 and Rs 1.8 b in Q1 2026, according to its financial results for the nine months ended 30 September 2026 (9M 2026), as released to the Colombo Stock Exchange (CSE) this week (21). 

Excluding the impact of the fraud, post-tax profit for 9M 2026 would have been Rs 9.1 b, compared with Rs 7.5 b in the corresponding period of 2025. Excluding the fraud loss, Q1 2026 post-tax profit would have been Rs 3.2 b.

Post-tax profit for 9M 2026 amounted to Rs 7.7 b, compared with a restated post-tax profit of Rs 5.1 b for 9M 2025, with the net financial impact of the fraud reflected in both periods. 

As per the disclosure released to the CSE on 29 September 2026, the final forensic report of the fraud incident identified by the Bank, had confirmed that the final fraud is a sum of around Rs 13.64 b compared to the around Rs.13.58 b as announced via Corporate Disclosure on 26 June 2026 following the release of the interim forensic report. The incremental fraud amount has been recognised in accordance with applicable Accounting Standards. 

The gross impact of the fraud applicable for the 9M ended 30 September 2026 is Rs 2.6 b whilst the applicable amount for the 9M ended 30 September 2025 is Rs 4.5 b.

Resilient earnings performance continues to be supported by its sound core banking operations. The Bank reported an operating profit before taxes on financial services of Rs 15.1 b for 9M 2026, after recognising the gross financial impact of the fraud attributable to the period amounting to Rs 2.6 b, which related entirely to the quarter ended 31 March 2026. 

This compares with an operating profit before taxes on financial services of Rs 10.1 b for 9M 2025, which has been restated to reflect the applicable fraud impact of Rs 4.5 b recognised for that period.

Net banking revenue improves by 14.8% underpinned by further improved asset quality The Bank posted net banking revenue of Rs 32.6 b, representing a 14.8% increase over the comparative period, driven by the strength of its core banking operations. This performance is reported before taking into account any financial impact arising from the fraud incident. Supporting this performance, total revenue increased by 10.6% YoY to Rs 80.6 b.