Bank of Ceylon (BOC) reported exceptional financial performance for the first nine months of 2025, underscoring its strength, stability, and strategic importance within Sri Lanka’s financial landscape. The Bank recorded a Profit Before Tax (PBT) of 87.7 billion rupees, reaffirming its resilience, disciplined financial management, and commitment to national economic development. This performance highlights BOC’s ability not only to adapt to evolving economic conditions but also to lead with confidence and purpose.
Kavinda de Zoysa, Chairman, BOC emphasized the Bank’s mission of driving financial inclusion, empowering youth, and supporting entrepreneurship through affordable, digitally enabled financial solutions. He noted that BOC’s strategy continues to strike a balance between profitability and purpose, ensuring broad-based benefits for communities across the country.
The Bank’s financial results for the period demonstrated strong momentum. PBT increased by an impressive 133 percent compared to 37.6 billion rupees in the same period of 2024. Net Interest Income (NII) rose by 62 percent to 153.2 billion rupees, reflecting the Bank’s effective strengthening of its core banking operations. Interest income increased by 15 percent to 368.1 billion rupees, while interest expenses declined by 5 percent to 214.9 billion rupees, highlighting effective repricing strategies and strong balance sheet management.
Non-interest income also contributed meaningfully, with net fee and commission income growing 11 percent to 16.8 billion rupees, driven by increased usage of digital banking channels, card transactions, retail banking activity, and remittance flows. Total operating income rose 61 percent to 181.1 billion rupees. Operating expenses increased by only six percent to 51.8 billion rupees, resulting in a significantly improved cost-to-income ratio of 32 percent—a reflection of effective cost controls and operational efficiency.
BOC recorded an operating profit before taxes on financial services of 111.1 billion rupees. After accounting for taxes on financial services (23.4 billion rupees) and income tax expense (31.9 billion rupees), the Bank posted a strong Profit After Tax (PAT) of 55.7 billion rupees. The Bank contributed a substantial 55.3 billion rupees in direct and indirect taxes to the national economy during the period.
Y.A. Jayathilaka, Acting GM/CEO noted that the Bank’s strong performance is a testament to customer confidence and the commitment of its staff. He emphasized that BOC remains focused on responsible growth, technological development, service excellence, and creating meaningful economic value for communities.
The Bank maintained strong credit risk management throughout the period, recording an impairment charge of 18.7 billion rupees on loans and advances. The Stage 3 loan ratio stood at 6.69 percent, with further improvements expected as recovery and collection initiatives progress. The Stage 3 provision coverage ratio was a robust 56.24 percent, underscoring prudent provisioning and sound risk practices.
As of September 30, 2025, BOC’s total assets reached 5.5 trillion rupees, an 11 percent year-to-date increase driven largely by investments in government securities and resale agreements. Gross loans and advances increased to 2.5 trillion rupees, reflecting growing credit demand. Deposits grew by nine percent to 4.6 trillion rupees, demonstrating strong customer trust and successful deposit mobilization initiatives. Key performance metrics remained exceptional, with a Return on Assets (ROA) of 2.22 percent and a Return on Equity (ROE) of 22.82 percent.
The Bank also maintained a solid capital base, recording a Common Equity Tier 1 ratio of 12.99 percent and a Total Capital Ratio of 16.76 percent, which is well above the Basel III requirements. Liquidity remained strong, with local currency coverage at 276.00 percent and all-currency coverage at 254.10 percent.
