People’s Leasing & Finance records Rs 4.66 bn PAT in FY 2021/22
Despite uncertainties and many challenges, People’s Leasing and Finance PLC a leader in Sri Lanka’s Non-Banking Financial Institution (NBFI) sector, has once again created history by concluding the Financial Year (FY) 2021/22 with a record-breaking Profit-After-Tax (PAT) of Rs. 4.66 billion, the highest profit, the Company has recorded ever since it’s in caption in1996.
The PAT has witnessed a remarkable Year-on-Year growth of 15.5% while the Profit-Before-Tax(PBT) is recorded as Rs. 6.65 billion, representing impressive Year-on-Year Growth Of 13.2%. Chief Executive Officer Shamindra Marcelline said, “Our ground-breaking financial performance during the FY 2021/2022 is a reflection of employee commitment, alignment of strategies to address stakeholder concerns, and restatement of policies and procedures to ensure a conducive operating environment.
The Year, akin to the previous year, brought daunting challenges amid the third wave of Covid-19 that weighed down the performance of the country’s macroeconomic indicators leading to a difficult environment for businesses to operate. However, as a Company, we overcame these challenges and recorded historical financial performance.”
Marcelline noted that the impressive PAT is also achieved whilst ensuring the well-being of its internal staff of over 2,000 and the local community in this difficult juncture. The Company’s non-performing assets ratio witnessed a decline reflecting the efforts and resources channeled to managing credit risk and improving recoveries. Impairment charges on loans and receivables declined by 37.2% from Rs.1,044 million to Rs. 656 million.
During this period,the Company managed to stay above the requirements imposed by the Central Bank of Sri Lanka in terms of capital and moratoria, whilst maintaining Non – Performing Loans (NPL) ratio well below the industry average. Further,the Company kept on creating value for its stakeholders throughout the year by adopting stakeholder-focused leadership that mainly targets risk management, measures to accelerate growth momentum, and strengthening policy framework.
The Company continued its digitalization process throughout the year and as a part of the process, it launched both internal and external customer-centric applications. It has now become a key priority in going forward to drive cost efficiencies and to enhance engagement with customers. The Company remained supportive of all its customers during the financial year and provided over 38,000 customers with moratoriums worth Rs. 8.39 billion. Further, in line with the Central Bank of Sri Lanka directives, the Company suspended vehicle seizures and rescheduled loan facilities.