SDB bank recorded a stable financial performance for the first quarter ended 31 March 2026, reflecting the Bank’s continued focus on disciplined financial management, prudent risk oversight and sustainable growth across its core business segments.
The Bank reported a Profit After Tax of Rs. 60 million for Q1 2026, representing a 7% increase compared to the corresponding period in 2025. This performance was supported by improved operational efficiency, prudent strategic execution and growth in customer advances across key sectors including agriculture, SMEs, cooperatives and retail.
Net fee and commission income recorded notable growth of 29% to Rs. 152 million during the quarter, highlighting SDB bank’s continued progress in strengthening its non-funded income streams. The increase reflects the Bank’s ongoing efforts to diversify revenue through enhanced service capabilities, increased digital adoption and customer-oriented financial solutions.
SDB bank also maintained a sound capital and liquidity position during the period. The Bank’s Total Capital Ratio stood at 15.15%, comfortably above the regulatory minimum requirement, while the Liquidity Coverage Ratio was maintained at 145.08%. The Net Stable Funding Ratio stood at 136.97%, further demonstrating the Bank’s ability to sustain balance sheet strength while supporting future growth.
Kapila Ariyaratne, Executive Director / CEO of SDB bank, said, “Our performance in the first quarter of 2026 reflects the strength of our disciplined approach to banking, underpinned by sound risk management, operational focus and a clear commitment to customer value. We are encouraged by the continued growth in fee-based income and the resilience of our capital and liquidity position. As we move forward, SDB bank will remain focused on supporting SMEs, cooperatives, agriculture, retail customers and underserved communities, while building a more resilient, inclusive and future-ready bank.”
During the quarter, SDB bank continued to advance its sustainability priorities, with emphasis on environmentally responsible financing, inclusive banking, women-led enterprises and rural upliftment. With a network of 94 branches island-wide, the Bank remains committed to delivering financial solutions that support Sri Lanka’s long-term economic development.
About SDB bank:
A future-ready bank, dedicated to offering customer-centric and comprehensive support tailored to each individual’s needs, SDB bank is a licensed specialized bank regulated by the Central Bank of Sri Lanka, with a listing on the Main Board of the Colombo Stock Exchange and a Fitch Rating of BB +(lka). Through the network of 94 branches island-wide, the bank provides a comprehensive range of financial services to its Retail, SME, Co-operative, and Business Banking clients across the country. Environmental, Social, and Governance (ESG) principles are deeply ingrained in SDB bank’s ethos, with a steadfast focus on uplifting local communities and businesses through sustainable practices. The bank is particularly committed to promoting women’s empowerment, sustainable development of SMEs, and digital inclusion, aiming to propel Sri Lanka to new heights.
