Corporate News
View all(48)📈 Pan Asia Bank 9M 2026 PAT Rises 19% to Rs. 3.59 Bn
Pan Asia Banking Corporation PLC delivered strong 9M 2026 financial results driven by robust core lending, deposit growth, and improving credit quality in Sri Lanka's banking & financial services sector. • Financial Performance & Earnings: - Net Profit After Tax (PAT): Rs. 3.59 Bn (+19% YoY) - Net Interest Income: Rs. 10.68 Bn (+12% YoY) - Net Fee & Commission Income: Rs. 2.18 Bn (+17% YoY) - Operating Profit before Taxes: Rs. 6.24 Bn (+9% YoY) - Earnings Per Share (EPS): Rs. 8.12 (+19% YoY) • Balance Sheet & Growth: - Total Assets: Expanded 22% to Rs. 374.45 Bn - Net Loans & Advances: Rs. 243.45 Bn (+17% YoY), supported by demand in corporate, SME, and retail lending - Customer Deposits: Rs. 274.89 Bn (+19% YoY) • Asset Quality & Profitability: - Gross Stage 3 Loan Ratio: Improved to 3.67% (from 4.62%) - Net Stage 3 Loan Ratio: Improved to 1.44% (from 1.73%) - Net Interest Margin (NIM): 4.16% - Return on Equity (ROE): 15.25% - Return on Assets (ROA before tax): 1.83% • Capital & Liquidity: - Total Capital Ratio: 15.67% (well above regulatory requirements) - All Currency Liquidity Coverage Ratio: 138.98%
📈 Fitch Upgrades Bank of Ceylon to 'AA+(lka)'; Outlook Stable
• Rating Action: Fitch Ratings has upgraded Bank of Ceylon's (BOC) National Long-Term Rating by two notches to 'AA+(lka)' from 'AA-(lka)' with a Stable outlook. • Key Drivers: The upgrade follows Fitch's revision of Sri Lanka’s sovereign rating to 'B-/stable' (from 'CCC+') and operating environment assessment to 'B-' (from 'CCC+'). It recognizes BOC’s leading domestic market position, extensive branch network, broad customer base, and strong deposit franchise. • Macro Context: Easing macroeconomic pressures and reduced credit risks enhance financial resilience across the banking sector, enabling BOC to support national economic growth, local businesses, and key sectors including SME, corporate, and retail banking.
📈 People’s Bank Secures Two-Notch Fitch Upgrade to AA+(lka)
Fitch Ratings has upgraded People’s Bank’s National Long-Term Rating by two notches to AA+(lka) from AA-(lka) with a Stable outlook. This marks only the second double-notch upgrade in the state bank's history, placing it ahead of all private sector commercial banks and at the top tier among domestic lenders. • Key Rating Drivers: - Fitch highlighted People's Bank's market-leading customer reach, strong deposit franchise, and extensive nationwide branch network. - Rating action follows Fitch's scale recalibration after recent improvements in Sri Lanka's sovereign credit rating. - Superior domestic funding stability and creditworthiness relative to large private sector peers. • Strategic Focus & Performance: - Financial momentum backed by business transformation targeting operational efficiency, commercial competitiveness, and digital innovation. - Balances national development mandate with sound commercial banking principles, governance, and financial inclusion.
📈 Softlogic Finance Swings to Rs 100.6 Mn Net Loss in Q2 FY27
• Financial Performance: Recorded a net loss of Rs 100.6 Mn for the quarter ended Sept 30, 2026 (swinging from a Rs 84.3 Mn net profit YoY). Basic loss per share stood at Rs 0.42. Total income fell 18.7% YoY to Rs 319.7 Mn due to the non-recurrence of a Rs 140.1 Mn one-off gain recorded last year. • Core Operations & Income Breakdown: • Interest Income: Grew 35.5% YoY to Rs 285.8 Mn, driven by personal loans and gold loan advances. • Net Interest Income: Rose 52.1% YoY to Rs 135.1 Mn, despite interest expenses rising 23.4% YoY to Rs 150.7 Mn. • Fee & Commission Income dropped 53.9% YoY to Rs 14.7 Mn. • Expenses & Impairments: Impairment charges swung to a net cost of Rs 8.9 Mn (vs a Rs 83.7 Mn reversal last year), dragging net operating income down 54.9% YoY to Rs 160.1 Mn. Operating expenses rose 9.8% YoY to Rs 252.3 Mn, led by an 18.3% increase in personnel costs (Rs 131.3 Mn). • Balance Sheet & Capital: • Total Assets expanded to Rs 7.84 Bn from Rs 7.34 Bn as of March 31, 2026. • Customer Deposits grew 20.9% to Rs 4.52 Bn. • Capital Adequacy Ratio remained strong at 46.20%, well above regulatory thresholds. • Corporate Action: Board recommended a 5-for-12 rights issue at Rs 2.50 per share to raise Rs 1.00 Bn to boost capital and expand vehicle leasing, subject to shareholder approval on Nov 13, 2026.
📈 Overseas Realty Posts Rs. 6.9 Bn PBT in 9M 2026
Overseas Realty (Ceylon) PLC reported strong financial resilience for the nine months ending 30 September 2026, driven by high occupancy and rental gains across its real estate portfolio. • Key Financial Highlights: • Group Revenue: US$ 33.8 Mn (Rs. 10.15 Bn), up 13% YoY. • Group Profit Before Tax (PBT): Rs. 6.9 Bn. • Fair Value Gain: Rs. 1.1 Bn from investment properties (vs. Rs. 2.3 Bn in 9M 2025). • Earnings Per Share (EPS): Rs. 5.12. • Net Asset Value Per Share: Rs. 56.32 as of 30 Sept 2026. • Revenue Breakdown by Segment: • World Trade Center, Colombo: Rs. 2.7 Bn (+28% YoY), spurred by increased occupancy and higher rental rates. • Mireka Tower: Rs. 3.4 Bn (+70% YoY). • Havelock City Mall: Rs. 1.9 Bn (+21% YoY). • Havelock City Apartments: Rs. 990 Mn (down YoY due to limited remaining inventory). • Project Updates: • Mireka Seascape: 168-unit luxury apartment/villa development on the southern coast completed piling in Sept 2026; main construction awarded to Sunken Construction in Oct 2026. • Havelock City Residences: Launched as the fifth and final phase of the 18-acre integrated mixed-use project.
📱 Dialog Axiata Named Subject Company for CFA Research Challenge 2026/27
CFA Society Sri Lanka has selected Dialog Axiata PLC for the 20th Annual CFA Institute Research Challenge Sri Lanka (2026–2027), boosting practical equity research skills for future finance professionals. • Key Highlights: • Subject Company: Dialog Axiata PLC, Sri Lanka's largest listed company on the Colombo Stock Exchange (CSE) and leading telecommunications & digital services provider. • Participation: 25 teams from state and non-state Sri Lankan universities selected to compete. • Timeline: Local finals and final presentations scheduled for January 2027. • Global Context: Winners advance to sub-regional and global rounds (last year's global event included >8,000 students across ~100 countries). • Economic Significance: • Supports skill development in equity research, corporate valuation, and financial ethics within Sri Lanka's capital markets. • Highlights the role of the telecommunications and fintech sectors in driving digital economy growth and talent building.
Haleon Sri Lanka Marks 70 Years of Local Healthcare Manufacturing 🏥
• Haleon Sri Lanka celebrated 70 years of operations and trusted healthcare brands in Sri Lanka. • The milestone was commemorated at a special event held at its manufacturing facility in Ratmalana on October 26.
📈 Esna Holidays Acquires 55-Year-Old Mackinnons Travels from John Keells Holdings
• Acquisition Overview: Leading travel company Esna Holidays (a subsidiary of the diversified Esna Group) has acquired Mackinnons Travels from John Keells Holdings PLC (JKH). • Strategic Value: • Mackinnons Travels is one of Sri Lanka’s oldest travel management firms with a 55-year heritage in the tourism & travel sector. • Serves as the official Travel Network Partner (franchise partner) for American Express Global Business Travel (Amex GBT) in Sri Lanka—a relationship established in 1979. • Market Impact: • Expands Esna Group’s footprint in corporate travel and leisure tourism, reinforcing industry consolidation and operational scale. • Marks a significant portfolio realignment for JKH while transitioning Mackinnons into a new growth phase under Esna Group ownership.
📈 Union Bank Posts Rs. 1.7 Bn PBT in 9M 2026
• Financial Performance: • Profit Before Tax (PBT): Rs. 1.7 Bn (+48% YoY) • Profit After Tax (PAT): Rs. 701 Mn (+104% YoY) • Gross Income: Rs. 15.8 Bn (+20% YoY) • Net Interest Income (NII): Rs. 5.04 Bn (+27% YoY) • Total Operating Income: Rs. 6.4 Bn (+9% YoY) • Operating Expenses: Rs. 5 Bn (+8% YoY) • Operating Results: Rs. 1.65 Bn (+49% YoY) • Balance Sheet & Banking Sector Growth: • Total Assets: Rs. 207.1 Bn (+20% YoY) • Net Loans & Advances: Rs. 138.3 Bn (+25% YoY) • Gross Loans & Advances: Rs. 145.4 Bn • Customer Deposits: Rs. 138.1 Bn (+16% YoY) • Asset Quality: Net Stage 3 loans ratio improved to 8% • Group Level Performance (incl. UB Finance & National Asset Management): • Group Total Assets: Rs. 224.6 Bn (+22% YoY) • Group PBT: Rs. 2.1 Bn (+51% YoY) • Group PAT: Rs. 723 Mn (+108% YoY)
📈 Sampath Bank Allots 80% of Rs. 10 Bn Debenture Issue to Preferred Investors
Sampath Bank PLC has finalized the allotment for its Rs. 10 billion debenture issue, exercising the option to issue an additional 30 million debentures above the initial 70 million base offer. • Overall Issue Details: Total allotment of 100 million Basel III-compliant Tier 2 debentures at Rs. 100 each. The instruments consist of 5-year (2026/2031) and 7-year (2026/2033) tenures featuring a non-viability conversion mechanism. • Allotment Breakdown: • Preferential Allocation: 80% (80 million debentures, worth Rs. 8 Bn) allotted to identified qualified investors under prospectus provisions. • General Qualified Investors: 20% (20 million debentures, worth Rs. 2 Bn) allocated to other qualified investors. • Allocation Basis for General Applicants: • Applications up to 50,000 Type A and Type B debentures receive 100% allocation. • Applications above 50,000 debentures receive 50,000 debentures plus 45.15% of the remaining balance (rounded to the nearest 100). • Governance: Allotment decision approved by the Special Management Committee following Board authorization granted on 12 August 2026. The capital raise strengthens the bank's Tier 2 capital base within Sri Lanka's banking & financial services sector.
📈 PickMe Reports Strong Q2 FY26/27 Growth Driven by Network Density
• Financial Performance (Q2 FY26/27): • Revenue: Rs. 2.9 Bn (+37% YoY) • Net Profit: Rs. 784 Mn (+53% YoY) • Gross Transaction Value (GTV): Rs. 28.5 Bn • Interim Dividend: Rs. 2.75 per share (65% payout ratio) • Financial Performance (1H FY26/27): • Revenue: Rs. 5.4 Bn (+38% YoY) • Operating Profit: Rs. 1.9 Bn (+44% YoY) • Net Profit: Rs. 1.4 Bn (+49% YoY) • GTV: Rs. 53.8 Bn (+43% YoY) • Earnings Per Share (EPS): Rs. 4.24 vs Rs. 2.85 YoY • Economic Impact & Earner Inflows: • Facilitated Rs. 24.7 Bn directly to independent drivers and merchants in Q2 (and Rs. 46.7 Bn in 1H), underscoring the expansion of Sri Lanka's digital economy and shared services sector. • Operational Metrics (Q2 YoY): • Monthly Unique Consumers: 2.1 Mn (+38%) • Monthly Unique Driver Earners: +58% • Platform Movements: +37% YoY (+18% QoQ)
📈 Standard Capital Mandatory Offer Awaits SEC Approval
Takeover Trigger: Abishek Sithampalam acquired a controlling 70.54% stake (3,908,715 ordinary voting shares) in Standard Capital PLC on 2 October 2026 for over Rs. 156.3 Bn (at Rs. 40.00 per share). Mandatory Offer: Following the majority acquisition, the buyer is required to make a mandatory offer for the remaining 29.46% (1,632,113 shares) from minority shareholders, currently pending a determination from the Securities and Exchange Commission of Sri Lanka (SEC). Financials & Asset Value: Net assets stood at Rs. 26.59 per share as of end-June 2026. Market Response: The share price rose by Rs. 2.80 to close at Rs. 44.60. Major Pre-Acquisition Shareholders: Gulf East Finance Ltd. (31.76%), Standard Industries Ltd. (18.05%), Amina Investments Ltd. (15.44%), and Eastern Ocean Investments Ltd. (9.14%).