Seylan Bank

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Across the world, banks are being asked to take on much of the burden of easing the pain of Covid-19 lockdowns, by offering loan maturity extensions, interest holidays and cheaper credit. For our coverage universe, the average level is 74%. Other thi...

In this report, we highlight the pressing current themes around the banking sector. In return, banks have received several concessions to maintain the systemic stability. We expect sector profitability to be muted in CY20E, with 1) weak credit growth...

We maintain our Hold rating for both SEYB and SEYBX, but increase our TP for SEYB to LKR 77.50 (+7.3% TSR) and SEYBX at LKR 40.50 (+9.6% TSR) based on better market momentum. Loan growth, in contrast, grew 2.1% qoq mainly on corporate business, which...

SEYB’s 1Q CY19 results saw EPS picking up 8.2% YoY, on the back of lower impairments despite a soft top line. We maintain our HOLD rating for both classes. Given that the asset quality cycle has still not peaked, we expect the credit costs for CY19E ...