Sri Lanka’s First Capital December net up 42-pct
EconomyNext – Sri Lanka’s First Capital Holdings said December 2014 quarter net profit rose 42 percent to 226 million rupees from a year ago with total income doubling to 849 million rupees.
Earnings per share for the quarter rose to 2.23 rupees from 1.57 rupees, a stock exchange filing said.
In the nine months to December 2014 net profit shot up 312 percent to just over a billion rupees from 249 million rupees the previous with total income rising 92 percent to 2.5 billion rupees.
Earnings per share for nine months were 10.35 rupees compared with 2.46 rupees the year before.
"Favourable macro-economic conditions created an attractive government securities market," Chief Executive Dilshan Wirasekara told shareholders in a note on the nine-month results.
"Capitalizing on continuous declines in the secondary market interest rates, the Primary Dealer unit realized trading gains of 905 million rupees during the nine months under review (compared with 145 million rupees the year before)."
Fee income earned by the Corporate Debt unit shot up to over 112 million rupees during the nine months from 26 million the previous year, owing to structuring and placing 19 billion rupees in corporate debt securities.
"The group will continue to focus on fee based activities as we journey towards achieving our vision of becoming Sri Lanka’s leading investment bank," Wirasekara said.
First Capital managed debenture issues of 9.4 billion rupees during the nine months ended 31 December 2014 and the Wealth Management unit’s funds under management increased four-fold to 4.2 billion rupees, Wirasekara said.
The stock exchanging said First Capital Holdings recorded a one-off gain of 233 million rupees on its acquisition of an additional five percent stake in Orient Finance PLC.