Sri Lanka’s People’s Leasing group net up 2.1-pct
ECONOMYNEXT – Profits at Sri Lanka’s People’s Leasing and Finance, rose 2.1 percent to 1.15 billion rupees in the March 2016 quarter helped by profits at its insurance unit, lower tax and loan loss charges as interest margins at finance company was squeezed.
The group reported earnings of 75 cents per share for the quarter. In the year to March 2016, it reported earnings of 3.0 rupees per share on total profits of 4.7 billion rupees which rose 15.6 percent.
At the stand-alone company, the country’s largest non-bank lender, profits fell 5 percent in the March 2016 quarter from a year earlier to 1.029 billion rupees despite a lower tax charge helping buffer a margin squeeze.
Interest income fell 4.3 percent to 4.4 billion rupees, interest expenses rose 5.5 percent to 2.0 billion rupees and net interest expenses income 11.6 percent to 2.3 billion rupees, in the quarter.
Loan losses were a reversal of 32 million rupees compared to a provision of 362 million rupees last year.
Loans grew 11.6 percent to 98.4 billion rupees in the year to March.
At group level interest income fell 3.2 percent to 4.5 billion rupees and net earned interest rose 9.3 percent to 844 million rupees in the quarter.
Group gross assets grew 1.9 percent to 131 billion rupees during the year. Net assets grew 11.9 percent to 24.6 billion rupees.
(Colombo/Apri28 – Recast/Corrected para 5 to say that there is 32 million rupee provision reversal compared to a loan loss charge of 362 million rupees. A previous version of the story incorrectly stated that there was a provision reversal last year)