DFCC Bank PLC has reported a profit-after-tax of Rs. 8,353 million, an increase by 16% while earnings per share (EPS) rose by 12% to Rs. 19.40 in 2024.

The bank recorded a profit-before-tax (PBT) of Rs. 13,498 million and a profit-after-tax (PAT) of Rs. 8,353 million for the year ended 31 December 2024, compared to a PBT of Rs. 10,960 million and a PAT of Rs. 7,220 million in the previous year.

At the group-level, PBT stood at Rs. 13,820 million, with a PAT of Rs. 9,932 million, including Rs. 1,378 million from discontinued operations, as compared to PBT of Rs. 11,369 million and PAT of Rs. 8,659 million in 2023.

The bank’s return on equity (ROE) stood at 10.99% for the year, compared to 12.19% in 2023, while return on assets (ROA) before tax improved to 2.01%, up from 1.82% the previous year.

The bank’s total tax expense, which includes value added tax (VAT), social security contribution levy (SSCL), and income tax, amounted to Rs. 9,562 million for the year ended 31 December 2024.

As a result, the bank’s tax expense as a percentage of operating profit for the year stood at 53.37%.

Both deposit and lending interest rates continued to decline throughout the year, in line with improving liquidity conditions in the domestic money market and the Central Bank’s relaxed monetary policy stance. The ongoing downward adjustments in lending interest rates are expected to further transmit the benefits of policy easing.

Market interest rates, which declined over time in response to the accommodative monetary policy stance, largely stabilised by the end of the year. Supported by reduced market lending interest rates, credit extended to the private sector by licensed commercial banks (LCBs) has expanded notably since May 2024.