First Capital helped by lower interest rates, higher volumes in 1Q 2015

First Capital Holdings PLC has recorded a consolidated net profit after tax of Rs. 218 million in the first quarter of 2014-15, benefitting from lower interest rates and higher trading volumes, the company said.

Group turnover was Rs. 577 million for the three months ending 30th June 2014, up 17 per cent over the corresponding period of the previous year. Net trading income for the three months increased by 71 per cent to Rs. 254 million.

“Capitalising on declining interest rates to boost realised and marked-to-market gains, First Capital posted profit before tax of Rs. 228 million, up 132 per cent over the Rs. 98 million recorded in the first quarter of 2013-14,” it said in a statement.

First Capital Holdings Managing Director Manjula Mathews, discussing the future, said the group expects higher market volumes and trading opportunities during the rest of the financial year. She said more structuring and trading opportunities in listed debt would result in continued tax exemptions as well as lower yields on government securities. She also said that the group reported pre-tax profit tax of around Rs. 400 million in July 2014, taking profit after tax up to 31st July 2014 to approximately Rs. 620 million.

Group turnover was Rs. 577 million for the three months ending 30th June 2014, up 17 per cent over the corresponding period of the previous year. Net trading income for the three months increased by 71 per cent to Rs. 254 million