People’s Leasing & Finance Delivers Exceptional 42.4% Profit Growth for 1H FY 2024/25

Peoples leasing

People’s Leasing & Finance PLC has once again strengthened its reputation as one of Sri Lanka’s leading Non-Banking Financial services providers, delivering an impressive financial performance for the 1st six months of FY 2024/25 ending 30th September 2024. Accordingly, the company reported a topline income of LKR 12,676 million, resulting in a healthy profit of LKR 1,566 million – an exceptional 42.4% increase in profitability compared to the same period in the year prior. This achievement was fuelled by a robust second quarter, during which net interest income rose by 19.5%.
 



 
The company’s cost-to-income ratio reflects operational efficiency, with operating income growing by 21.5% with significant contributions from other income, while operating expenses rose by a contained 15.7% for the period ended 30 September 2024 due to disciplined cost management. It also further demonstrates that prudence and strategic oversight remain at the core of People’s Leasing & Finance’s operations.

A standout aspect of the company’s performance was the reversal of impairment charges by 63.6% during the period ended 30th September 2024. This achievement reflects an effective recalibration of credit provisioning, driven by stronger collections and improved credit quality. This was driven by the company’s utilisation of provisioning for credit losses as a KPI to control impairment risks, demonstrating People’s Leasing & Finance’s agile and strategic approach to risk management.

During the period under review, the company’s loans and receivables portfolio also grew by 9.9%, further strengthening the balance sheet, resulting in total assets rising to LKR 147,559 million, which is a significant increase from the figure reported as at 31st March 2024.

Discussing the exceptional performance delivered during the period under review, Sanjeewa Bandaranayake – Chief Executive Officer said, “As one of Sri Lanka’s leading Non-Banking Financial services providers, we have continued to prioritise resilience and innovation. Our ability to enhance profitability, strengthen our balance sheet, and adapt to changing economic conditions reflects our unwavering commitment to delivering value to our customers and stakeholders. These results also underscore the dedication of our team and the trust placed in us by our stakeholders, as we focus on sustainable growth and long-term success. We remain steadfast in supporting the economic aspirations of all Sri Lankans, alongside broader national economic growth.”

As People’s Leasing & Finance PLC continues to demonstrate a consistently robust financial position and align its operations with industry best practices, the company has reinforced its position as a leader in Non-Banking Financial services. With Sri Lanka moving towards greater political stability and economic recovery, People’s Leasing & Finance PLC is ready to seize emerging opportunities, ensuring sustainable growth and resilience in the years ahead.
 



 



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