Sri Lanka, March 3 -- Union Bank of Colombo PLC reported sharply higher profits for the three months ended in December 2025, the bank's financials showed, as the banking sector earnings wrapped up.

The bank reported earnings of 30 cents a share or Rs.307.59 million for the October-December quarter, up 64 percent from the same period in 2024.

These profits were reported on the back of a net interest income of Rs.1.86 billion, up 24 percent from the same period a year ago.

The bank managed to slightly increase its net interest margin to 3.5 percent, from 3.4 percent at the beginning of the year, at a time when almost all banks reported narrowing margins.

Another highlight was the significant improvement in the bank's asset quality, as m...