INTERIM FINANCIAL STATEMENTS

Transcription

1 INTERIM FINANCIAL STATEMENTS FOR THE SIX MONTHS ENDED SEPTEMBER 30, 2013 LB Finance PLC, 275/75, Prof. Stanley Wijesundara Mw., Colombo 07. Tel:

2 LB Finance PLC STATEMENT OF COMPREHENSIVE INCOME FOR THE 3 MONTHS ENDED VARIANCE FOR THE 6 MONTHS ENDED VARIANCE % % Rs.('000) Rs.('000) Rs.('000) Rs.('000) Income 2,737,682 2,720, ,894,355 5,245, Interest Income 2,560,145 2,521, ,485,808 4,838, Interest Expenses (1,801,473) (1,444,066) (25) (3,583,380) (2,685,442) (33) Net Interest Income 758,673 1,077,286 (30) 1,902,428 2,152,668 (12) Fee and Commission Income 169, , , ,384 0 Net Fee and Commission Income 169, , , ,384 0 Net gain/(loss) from trading (831) 1,445 (157) (749) 1,445 (152) Other Operating Income (net) 33,390 43,138 (23) 76,527 74, ,559 44,583 (27) 75,779 75,657 0 Total Operating Income 960,488 1,285,862 (25) 2,310,975 2,559,709 (10) Impairment (Charges) / Reversal for loans and other losses 124,948 (66,754) 287 (261,566) (207,700) (26) Net Operating Income 1,085,435 1,219,108 (11) 2,049,409 2,352,009 (13) Operating Expenses Personnel Expenses (337,139) (260,986) (29) (646,925) (506,383) (28) Depreciation of Property & Equipment (83,228) (74,403) (12) (155,996) (144,580) (8) Amortisation of Intangible Assets (2,125) (1,323) (61) (3,885) (2,667) (46) Other Operating Expenses (243,489) (229,452) (6) (486,880) (451,164) (8) Operating Profit before Value Added Tax on Financial Services 419, ,945 (36) 755,723 1,247,214 (39) Value Added Tax on Financial Services (13,424) (44,158) 70 (38,488) (85,449) 55 Profit before Taxation 406, ,787 (33) 717,235 1,161,765 (38) Income Tax Expense (115,754) (240,165) 52 (198,941) (418,539) 52 Profit after Taxation 290, ,622 (21) 518, ,226 (30) Other Comprehensive Income / (Expenses) Available for Sale Financial Assets Sri Lanka Government securities (6,392) - (1,391) - Equity Securities (20,801) 2,146 (1,069) (6,368) 6,818 (193) (27,194) 2,146 (1,367) (7,759) 6,818 (214) Income Tax (Charge) / Credit Relating to Components of Other Comprehensive Income 5,442 (601) 1,005 - (1,909) 100 Other Comprehensive Income, Net of Taxes (21,752) 1,545 (1,508) (7,759) 4,909 (258) Total Comprehensive Income, Net of Taxes 268, ,168 (27) 510, ,135 (32) Earnings Per Share (Rs) LB Finance PLC STATEMENT OF CHANGES IN EQUITY Stated Capital Retained Earnings Statutory Reserve Investment Fund Reserve Available for Sale Reserve Rs.('000) Rs.('000) Rs.('000) Rs.('000) Rs.('000) Rs.('000) Balance as at 1 April ,282 2,852,402 1,193, ,801 4,065 5,328,601 Net profit for the period - 518, ,294 Other comprehensive income net of tax (7,759) (7,759) Transfer to Statutory Reserve - (103,659) 103, Transfer to Investment Fund Reserve - (117,344) - 117, Dividend for 2012/13 - (450,171) (450,171) Balance as at 30 September ,282 2,699,522 1,296, ,145 (3,694) 5,388,964 Balance as at 1 April ,282 2,075, , ,795 (60) 3,968,096 Net profit for the period - 743, ,226 Other comprehensive income net of tax ,909 4,909 Transfer to Statutory Reserve - (148,645) 148, Transfer to Investment Fund Reserve - (117,272) - 117, Dividend for 2011/12 - (346,277) (346,277) Balances as at 30 September ,282 2,206,593 1,001, ,067 4,849 4,369,954 Total

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4 LB Finance PLC CASH FLOW STATEMENT Cash Flows From / (Used in) Operating Activities Rs.('000) Rs.('000) Profit before Income Tax Expense 709,476 1,168,583 Adjustments for Depreciation 155, ,580 Amortisation of Intangible Assets 3,885 2,667 Impairment provision 261, ,700 Interest cost on Finance Lease 1,669 2,367 Diminution/(Appreciation) in value of investments 8,508 (18,373) Loss/(Profit) on disposal of property & equipment (1,677) (1,980) Provision/(reversal) for Defined Benefit Plans 21,721 20,693 Dividend Received (2,395) (2,329) Notional Tax Credit on Interest on Treasury Bills (18,438) (12,402) Withholding Tax attributed to Fixed Deposit & professional fees (127) (6,423) Operating Profit before Working Capital Changes 1,140,182 1,505,083 (Increase)/Decrease in Loans and Advances (525,379) (2,877,766) (Increase)/Decrease in Lease Rentals Receivable & Stock out on hire (1,667,826) (2,288,278) (Increase)/Decrease in Other Financial Assets (838,959) (79,072) (Increase)/Decrease in Other Non Financial Assets (54,122) 456,535 Increase/(Decrease) in Amounts Due to Customers 4,098,089 6,722,696 Increase/(Decrease) in Other Financial Liabilities (134,486) 310,346 Increase/(Decrease) in Other Non Financial Liabilities 27,999 (83,909) Cash Generated from Operations 2,045,498 3,665,635 Retirement Benefit Liabilities Paid (2,653) (655) Taxes Paid (363,619) (539,883) Net Cash From/(Used in) Operating Activities 1,679,226 3,125,097 Cash Flows from / (Used in) Investing Activities Acquisition of Property, Plant & Equipment (165,868) (340,659) Acquisition of Intangible Assets (11,256) (569) Proceeds from Sales of Property, Plant & Equipment 3,603 1,997 Sale/(Purchase) of financial investments- available- for- sale (867,090) (263,215) Dividend Received 2,395 2,329 Net Cash Flows from/(used in) Investing Activities (1,038,216) (600,117) Cash Flows from / (Used in) Financing Activities FOR THE 6 MONTHS ENDED Payment under Finance Lease Liabilities (8,985) (8,599) Net Cash Flow from Securitised Borrowings, Syndicated Loans and Other Bank Facilities (716,489) (1,409,520) Net Cash Flow from Debt Instruments Issued and Other borrowings (814,681) 424,379 Dividends Paid (450,171) (346,278) Net Cash Flows from/(used in) Financing Activities (1,990,326) (1,340,019) Net Increase in Cash and Cash Equivalents (1,349,316) 1,184,961 Cash and Cash Equivalents at the beginning of the year 3,141, ,051 Cash and Cash Equivalents at the end of the period 1,791,864 1,655,012 CASH AND CASH EQUIVALENTS IN THE CASH FLOW STATEMENT Cash & Bank Balances 819, ,141 Money at call and short notice 1,600,084 1,952,501 Bank Overdrafts (628,153) (955,631) Total Cash and Cash Equivalents 1,791,864 1,655,012

5 LB Finance PLC SEGMENTAL ANALYSIS Lease & Stock out on Hire Loans & Receivables Others Total Rs.('000) Rs.('000) Rs.('000) Rs.('000) Rs.('000) Rs.('000) Rs.('000) Rs.('000) Interest 3,876,746 3,076,743 1,166,221 1,483, , ,948 5,485,808 4,838,110 Fee Based Income & others 201, ,434 98, , , , , ,041 Total Revenue 4,077,965 3,188,177 1,264,223 1,654, , ,221 5,894,354 5,245,151 Segmental Result 1,185, ,917 (284,950) 290,392 25, , ,878 1,415,078 Unallocated Expenses (177,914) (161,046) Profits from operations 747,964 1,254,032 Tax expenses (237,429) (505,897) Net profit for the period 510, ,135 Segment Asset 30,890,452 26,352,652 17,876,462 15,838,137 4,837,902 3,506,806 53,604,816 45,697,595 Unallocated Assets 2,698,420 2,764,121 Total Assets 56,303,236 48,461,716 Segment Liabilities 4,246,143 5,303,004 2,165,845 3,029,539 1,305,856 1,073,210 7,717,844 9,405,753 Unallocated Liabilities 43,196,428 34,686,009 Total Liabilities 50,914,272 44,091,762

6 3. The Commitment & Contingencies as at 30th September 2013 is Rs.643 Mn & as at 31st March 2013 is Rs.1,246Mn. For the three months ended 30th June, 2013 Information on Shares Share Price During the Quarter Highest Rs Lowest Rs Closing Rs No of Ordinary Share Issued As At 69,257,142 69,257,142 Information on Listed Debentures Debt Equity Ratio % % Quick Asset Ratio 11.71% 9.98% Interest Cover Interest Rate of Comparable Government Securities 11.17% 14.15% Market Price During Three Months Not Traded Not Traded Interest Yield As At Date of Last Trade Not Traded Not Traded Yield To Maturity of Trade Done Not Traded Not Traded Capital Adequacy SELECTED PERFORMANCE INDICATORS As At As At Core Capital to Risk Weighted Asset Ratio (Minimum 5%) 11.52% 10.57% Total Capital to Risk Weighted Asset Ratio (Minimum 10%) 12.54% 12.40% Capital Funds to Total Deposit Liabilities Ratio 12.58% 13.75% Profitability Return on Avg Shareholders' Funds -Annualized 19.05% 35.89% Return on Avg Assets (After Tax) -Annualized 1.85% 3.28% Asset Quality (Rs.'Mn) Non-Performing Accommodation 2,083 1,145 Total Accommodations 59,632 49,541 Net Total Accommodations (Net of Allowance for Impairment Losses) 58,119 48,555 Liquidity (Rs.'Mn) EXPLANATORY NOTES 1. These Interim Financial Statement of the Company have been prepared in accordance with Sri Lanka Accounting Standards that came into effect from April 1, 2012 and comparatives (year 2012) too are reclassified and re-measured wherever necessary to conform to the current presentation. Further, these Interim Financial Statements have been prepared in complience with the requirements of Sri Lanka Accounting Standards - LKAS 34 on 'Interim Financial Reporting' & the accounting policies and methods of computation followed in preparing the above interim financial statements are the same as those disclosed in our Annual Report for the year ended 31st March There have been no material events occurring after the balance sheet date that require adjustments to or disclosure in the Financial Statements except the Board of Directors has declared a final dividend of Rs.6.50/- per share totaling to Rs.450 Million on 28th May INFORMATION ON SHARES AND LISTED DEBENTURES For the Period Ended Required Minimum Amount of Liquid Asset 4,311 3,283 Available Amount of Liquid Asset 5,329 3,706 Required Minimum Amount of Government Securities 2,484 1,723 Available Amount of Government Securities 2,861 1,935

7 L B Finance PLC Interim Financial Statements for the period ended 30th September 2013 Additional Notes Twenty largest share holders as at 30th September 2013 Name No. of Shares (%) 1 Vallibel One PLC 35,321, Royal Ceramics Lanka PLC 18,030, Commercial Bank of Ceylon PLC/ 3 Esna Holdings (Pvt) Ltd 7,011, Sri Lanka Insurance Corporation Ltd - Life Fund 1,842, Mercantile Investments and Finance PLC 953, Seylan Bank PLC/Mr. W D N H Perera 631, HSBC International Nominees Ltd-SSBT- Deustche Bank 232, Mr. A A Page 157, Mr. E Bianchi 154, Mr. A M Weerasinghe 148, Mr.K D A Perera 147, Environmental Resources Investment PLC 120, Waldock Mackenzie Ltd / Mrs G Soysa 111, Mr. H A M P Algama 99, Mrs. P C Cooray 95, Mr T Jeramiah 77, Mr K Karunanayake & Ms P N Karunanayake 74, Mr P Somadasa 72, Mr. J A A S Adhihetty 53, Waldock Mackenzie Ltd / Mr K R E M D M B Jayasundara 52, ,388, Others 3,868, Total 69,257, Directors' and Chief Executive Officer's holding in shares as at 30th September 2013 Name No. of shares % Mr. Thosapala Hewage - - Mr. K D D Perera - - Mr. L N De Silva Wijeyeratne - - Mr. J A S S Adhihetty (Managing Director) 53, Mr. Nimal Perera/ Seylan Bank PLC Mr. Nimal Perera Mr. N Udage 631,634 4, Mr. B D A Perera - - Mrs. K Fernando 1, Mrs. Shirani Jayasekara - - Mrs. A K Gunawardhana - - PUBLIC HOLDING The percentage of shares held by the public as at 30th September 2013 is 11.82%