Consequent to the increase in profitability, ROE and ROA of theGroup for the year improved to 19.61% and 5% respectively. People’s Leasing & Finance PLC (PLC) being the main contributor to the Group’s success also declared a profit after tax of Rs. 3.75 billion, the highest in its history. PLC’s profit before tax for the year climbed to Rs. 5,375.11 million, with reflecting 23% growth compared to the previous year. Out of the subsidiaries, People’s Insurance contributed the largest share to the consolidated income of the Group followed by People’s Leasing Property Development Limited. PLC effectively copedmanaged the challenges posed by the external vagaries to mark the best year in its history through its expertise in the industry for the past 18 years.
“FY 2014/15 was a year full of triumphs for PLC, achieving the highest ever profits and business volume along with several accolades for is its business excellence is truly remarkable in the face ofmidst of complexities within our macro landscape” stated PLC Chairman, Hemasiri Fernando.
The low interest rate regime which prevailed in the country throughout the year condensed restricted the interest income of the Company to Rs. 19,247.62 million for the year ended March 31, 2015 compared to Rs. 19,533.60 million reported in the previous year. Continuing to be the highest asset base in the NBFI sector,PLC’s total assets stood at Rs. 112.32 billion as at March 31, 2015. Accomplishing the target set for the year, total disbursements of the Company for year surpassed Rs.60 billion mark, the highest achieved in the Company and the industry so far. On account of this achievement, loans and receivables portfolio of the Company reached Rs. 98,411.20 millionas at the year-end March 31, 2015 reflecting a 9.08% growthover the previous year.
Whilst focusing on improving business volumes and , PLC aspires to maintaining the quality of its portfolio at the same time, PLC managed tothus curtailedthe non-performing ratio to 2.72% as at year end which iswell below the industry rate average of 6.9%.
CEO, D.P. Kumarage commenting on the Company’s future aspirations said, “We remain focused on our business acumen to further reinforce our profitability and financial position to deliver exceptional value for our valued stakeholders in the upcoming years.”