Sri Lanka’s Singer Finance March net up 20-pct on leasing, loan book expansion
ECONOMYNEXT – Profits at Sri Lanka Singer Finance grew 20 percent from a year earlier to 153 million rupees in the March 2019 quarter on improving margins and leasing and loan book expansion, interim accounts showed.
Earnings at the Singer (Sri Lanka) Plc unit amounted to 76 cents for the quarter, according to results filed with the Colombo Stock Exchange. The stock was trading at 13 rupees on Friday.
Earnings were 2.68 rupees for the year to end March 2019 on a profit of 577.7 million rupees, up 22 percent from a year ago as net interest income rose 26 percent to 2.2 billion rupees with interest income rising 27 percent to 3.8 billion rupees and interest expenses growing 28 percent 1.6 billion rupees.
During the March quarter, net interest income grew 20 percent to 577.7 million rupees as interest income grew 28 percent to 1 billion rupees and interest expenses rose 39 percent to 462.8 million rupees.
Profits from Singer Finance’s leasing business grew 21 percent to 364 million rupees while earnings from loans surged 125 percent to 115 million rupees.
In the March quarter, the company’s leasing portfolio expanded 23 percent from end December 2018 to 13.9 billion rupees while its loan book grew 34 percent in the same three-month period to 3.9 billion rupees.
Net fee and commission income was up 9 percent to 55.3 million rupees.
Bad debt provisioning was up 108 percent to 126 million rupees.
In the year to end March, net fee and commission income had grown 34 percent during the year to 237 million rupees.
Bad debt provisioning rose 59 percent to 282 million rupees.
Personnel costs were up 31 percent to 480 million rupees and administration expenses grew 28 percent to 738.3 million rupees.
Value added tax costs 53 percent to 260 million rupees and income tax expense rose 30 percent to 181 million rupees.
The deposit base had grown 13 percent to 6 billion rupees at end March, from December 2019 while borrowings rose 53 percent to 6.6 billion rupees.
Total assets had grown 22 percent to 19.5 billion rupees at end March.
Singer Finance’s parent, Singer Sri Lanka, is controlled by Hayleys Plc. (COLOMBO, 10 May 2019)