Siyapatha Finance enjoyed an after-tax profit of Rs. 498.86 million with a recorded growth rate of 52% in comparison to the Rs 327.28 million reported in 2016, as reported in the company’s financial results of 2017.
Under Gross Income, the company’s total interest income grew exponentially by 62% year on year to record an impressive Rs 4.6 billion in 2017.
The growth in profitability was attributed to the significant increase in net interest income (NII), net fee and commission income. The year on year growth in NII was 51% in 2017, generating a NII of Rs 1.84 billion in comparison to the Rs 1.22 billion gained during the previous year.
In 2017 the company reached a significant milestone with the asset base reaching Rs 29.81 billion. This reflects a growth of 43% over the year 2016 and a CAGR of 33% over the last 5 years. Leasing/ Hire purchase expanded by Rs 5.4 billion, reflecting a 37% growth since 2016 with a total portfolio of Rs 20.12 billion, while the Gold Financing portfolio stood at Rs 2.56 billion recording an augmented growth of Rs 794 million (an increase of 45%). The contribution by Gold Financing remained at 9% against total advances.
The importance of customer deposits in the compositional mix of total funding has increased to 36% from 19% in 2016. Deposits grew by Rs 5.97 billion, recording a growth of 178% over the preceding year.
This reflects the trust placed by the depositors in Siyapatha Finance. 2017 saw a significant improvement of 28% in shareholder funds.
The Chairman of Siyapatha Finance, Channa Palansuriya, expressing his views on the financial results stated,“we are delighted by the significant improvements that our financial results have revealed and it is very encouraging to see all our hard work bear such fruit”.
“We are especially happy with the 178% growth of deposits and the noteworthy improvement of shareholder funds.
These are testament of the customer’s growing confidence in Siyapatha Finance,” said Saman Herath, the Managing Director of Siyapatha Finance.
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