People Leasing & Finance : Interim Financial Statements as at 30.06.2022

For the three months ended 30th June 2022

Contents

Financial Information

Statement of Financial Position	01
Statement of Profit or Loss - Company & Group	02
Statement of Comprehensive Income - Company & Group	03
Statement of Changes in Equity - Company	04
Statement of Changes in Equity - Group	05
Statement of Cash Flows	06
Analysis of Financial Instruments by Measurement Basis - Company	07
Analysis of Financial Instruments by Measurement Basis - Group	08
Fair Value Hierarchy	09
Segmental Analysis	10
Information on Ordinary Shares of the Company	11
Shareholders' Information	12
Explanatory Notes	13
Analysis of Loans and Receivables Impairment	14
Debenture Information	15
Related Party Disclosure - Company	16
Related Party Disclosure - Group	17
Corporate Information	18

INTERIM

FINANCIAL

STATEMENTS

STATEMENT OF FINANCIAL POSITION

			Company				Group
As at		30.06.2022		31.03.2022	Change	30.06.2022		31.03.2022	Change
		Rs. Mn.		Rs. Mn.	%	Rs. Mn.		Rs. Mn.	%
		Unaudited*		Audited		Unaudited*		Audited
Assets
Cash and cash equivalents	14,412	4,669	208.7	14,848	5,403	174.8
Balances with banks and financial institutions	2,018	5,118	(60.6)	5,239	9,530	(45.0)
Financial assets -Fair value through profit or loss	22	25	(12.0)	164	849	(80.7)
Loans and receivables - Amortised cost	140,298	151,274	(7.3)	154,584	163,321	(5.3)
Insurance and reinsurance receivables	-	-	-	1,150	1,323	(13.1)
Financial assets - Fair value through other
comprehensive income	970	1,333	(27.2)	1,261	1,633	(22.8)
Debt instrument - Amortised cost	10,998	9,827	11.9	18,156	16,014	13.4
Investments in subsidiaries	3,214	3,214	-	-	-	-
Investment property	-	-	-	821	821	-
Other assets	614	749	(18.0)	1,036	828	25.1
Property, plant and equipment	1,383	1,414	(2.2)	4,059	4,091	(0.8)
Right-of-use assets	1,859	1,973	(5.8)	1,465	1,540	(4.9)
Deferred tax assets	1,217	1,147	6.1	1,489	1,445	3.0
Goodwill and intangible assets	19	22	(13.6)	140	140	-
Total assets	177,024	180,765	(2.1)	204,412	206,938	(1.2)
Liabilities
Due to banks - Amortised cost	10,843	11,749	(7.7)	14,463	15,300	(5.5)
Due to customers - Amortised cost	106,314	103,368	2.9	115,264	111,454	3.4
Debt securities issued - Amortised cost	16,161	17,244	(6.3)	16,032	17,103	(6.3)
Other financial liabilities - Amortised cost	858	3,637	(76.4)	1,821	4,043	(55.0)
Insurance liabilities and reinsurance payable	-	-	-	5,413	5,903	(8.3)
Lease liabilities - Amortised cost	2,020	2,059	(1.9)	1,592	1,588	0.3
Current tax liabilities	1,562	1,852	(15.7)	1,777	2,099	(15.3)
Other liabilities	775	1,369	(43.4)	840	1,399	(40.0)
Retirement benefit obligation	688	668	3.0	770	749	2.8
Deferred tax liabilities	-	-	-	322	324	(0.6)
Total liabilities	139,221	141,946	(1.9)	158,294	159,962	(1.0)
Equity
Stated Capital	17,072	17,072	-	17,072	17,072	-
Statutory reserve fund	2,640	2,640	-	2,729	2,729	-
Retained earnings	18,761	19,482	(3.7)	22,132	23,123	(4.3)
Other reserves	(670)	(375)	78.7	833	897	(7.1)
Total equity attributable to equity holders of the
Company	37,803	38,819	(2.6)	42,766	43,821	(2.4)
Non-controlling interest	-	-	-	3,352	3,155	6.2
Total equity	37,803	38,819	(2.6)	46,118	46,976	(1.8)
Total liabilities and equity	177,024	180,765	(2.1)	204,412	206,938	(1.2)
Contingencies	478	468	2.1	525	516	1.7
Commitments	5,459	6,384	(14.5)	5,459	6,384	(14.5)
Net assets value per ordinary share (Rs.)	20.03	20.15	(0.6)	22.66	22.56	0.4

CERTIFICATION

We certify that the above Interim Financial Statements are in compliance with the requirements of the Companies Act No. 7 of 2007.

(sgd.)	(sgd.)
Omal Sumanasiri	Shamindra Marcelline
Chief Manager Finance	Chief Executive Officer
The Board of Directors is responsible for these Interim Financial Statements.
Approved and Signed for and on behalf of the Board:
(sgd.)	(sgd.)
Sujeewa Rajapakse	Rohan Pathirage
Chairman	Director
10th August 2022
Colombo.
* The above figures are provisional and subject to audit.

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INTERIM

FINANCIAL

STATEMENTS

STATEMENT OF PROFIT OR LOSS

		Company			Group
For the three months ended 30th June		2021	Change		2021	Change
2022	2022
	Rs. Mn.	Rs. Mn.	%	Rs. Mn.	Rs. Mn.	%
	Unaudited*	Unaudited*		Unaudited*	Unaudited*
Interest income	6,774	5,348	26.7	7,596	5,800	31.0
Less: Interest expense	3,191	2,642	20.8	3,456	2,711	27.5
Net interest income	3,583	2,706	32.4	4,140	3,089	34.0
Net earned premiums	-	-	-	1,232	1,281	(3.8)
Fee and commission income	264	320	(17.5)	137	184	(25.5)
Net gains/(losses) on financial assets - FVTPL	(3)	11	(127.3)	(8)	30	(126.7)
Other operating income	85	455	(81.3)	53	41	29.3
Total operating income	3,929	3,492	12.5	5,554	4,625	20.1
Less: Impairment charges and other losses for
loans and receivables	1,700	1,499	13.4	1,699	1,617	5.1
Net operating income	2,229	1,993	11.8	3,855	3,008	28.2
Less:
Personnel expenses	1,034	914	13.1	1,359	1,154	17.8
Depreciation and amortisation	178	204	(12.7)	166	188	(11.7)
Benefits, claims and underwriting expenditure	-	-	-	759	686	10.6
Other operating expenses	515	410	25.6	631	483	30.6
Total operating expenses	1,727	1,528	13.0	2,915	2,511	16.1
Operating profit before tax on financial services	502	465	8.0	940	497	89.1
Less: Tax on financial services	226	174	29.9	236	179	31.8
Profit before income tax	276	291	(5.2)	704	318	121.4
Less: Income tax expense	93	91	2.2	250	212	17.9
Profit for the period	183	200	(8.5)	454	106	328.3
Profit Attributable to :
Equity holders	183	200	(8.5)	405	26	1,457.7
Non-controlling interest	-	-	-	49	80	(38.8)
Profit for the period	183	200	(8.5)	454	106	328.3
Basic/Diluted earnings per ordinary share (Rs.)	0.10	0.11	(8.5)	0.21	0.01	1,457.7

• The above figures are provisional and subject to audit. Figures in brackets indicate deductions.

2

INTERIM

FINANCIAL

STATEMENTS

STATEMENT OF COMPREHENSIVE INCOME

		Company			Group
For the three months ended 30th June	2022	2021	Change	2022	2021	Change
	Rs. Mn.	Rs. Mn.	%	Rs. Mn.	Rs. Mn.	%
	Unaudited*	Unaudited*		Unaudited*	Unaudited*
Profit for the period	183	200	(8.5)	454	106	328.3
Other comprehensive income/(expenses)
Other comprehensive income to be reclassified to profit or
loss in subsequent periods (net of tax):
Financial assets-FVOCI
Net gains/(losses) arising from translating the Financial
Statements of the foreign subsidiary	-	-	-	453	35	1,194.3
Net other comprehensive income to be reclassified to
profit or loss in subsequent periods	-	-	-	453	35	1,194.3
Other comprehensive income not to be reclassified to profit
or loss in subsequent periods (net of tax):
Gains/ (losses) on re-measuring FVOCI financial assets	(295)	(14)	2,007.1	(295)	(15)	1,866.7
Deferred tax effect on above	70	3	2,233.3	71	4	1,675.0
Net other comprehensive income not to be reclassified to
profit or loss in subsequent periods	(225)	(11)	1,945.5	(224)	(11)	1,936.4
Other comprehensive income for the period, net of taxes	(225)	(11)	1,945.5	229	24	854.2
Total comprehensive income for the year	(42)	189	(122.2)	683	130	425.4
Profit Attributable to :
Equity holders	(225)	(11)	1,945.5	9	7	28.6
Non-controlling interest	-	-	-	221	17	1,200.0
Other comprehensive income for the period, net of taxes	(225)	(11)	1,945.5	230	24	858.3
Total comprehensive income for the period	(42)	189	(122.2)	684	130	426.2

* The above figures are provisional and subject to audit. Figures in brackets indicate deductions.

3