Sri Lanka, Aug. 14 -- Pan Asia Banking Corporation PLC's second-quarter net profit grew 28 percent from a year earlier, as a reversal of excess income tax provisions outweighed higher impairment charges and weaker treasury income.

Profit after tax increased to Rs. 1.45 billion in the three months ended June 30, from Rs. 1.14 billion a year earlier, according to the bank's interim financial statements filed with the Colombo Stock Exchange.

The bottom-line growth masked a weaker operating performance. Profit before tax fell 11 percent to Rs. 1.28 billion, while operating profit before taxes on financial services declined 9 percent to Rs. 1.74 billion.

The bank recorded an income tax credit of Rs. 168.1 million during the quarter, compar...