PLC Posts Outstanding Q2 Performance Highlighting Resilience and Potential for Growth

People’s Leasing & Finance PLC (PLC) has reported strong financial performance for the second quarter of the financial year 2023/24, showcasing resilience and potential for growth. In the first six months of FY 2023/24, PLC achieved a robust Profit After Tax (PAT) of Rs. 1,100 million, a notable 62.0% increase from the previous year. The second quarter stood out with a 54.6% increase in PAT, reaching Rs. 767 million, significantly contributing to overall profitability by September 30, 2023. The PLC Group also achieved a substantial year-on-year increase of 35.8% in Profit After Tax, totalling Rs. 1,678 million.

The financial success can be attributed to a 3.7% year-on-year increase in Interest Income, reaching Rs. 14,714 million, driven by escalated interest rates and a rise in investments. PLC’s prudent management of funding lines resulted in an 8.2% decrease in Interest Expense during the quarter. The company experienced a 91.3% reduction in impairment charges and other losses on loans and receivables, recording just Rs. 162 million.

Despite operating in an inflationary environment, PLC controlled the growth in operating expenses to 3.8% through digital initiatives, branch right-sizing, and improved internal processes. The Total Asset Base of PLC as of September 30, 2023, was Rs. 153,817 million, with Total Loans and Receivables amounting to Rs. 100,833 million.

PLC’s CEO/General Manager, Shamindra Marcelline, emphasized the exceptional Q2 performance as a testament to their ability to navigate a complex business landscape. Marcelline highlighted the commitment to delivering financial solutions, contributing to economic prosperity in Sri Lanka.