📈 HNB Finance Announces Rs. 2.5 Bn Rights Issue
HNB Finance PLC has proposed a capital raising initiative to secure approximately Rs. 2.5 Bn through a Rights Issue to strengthen its financial position and expansion capabilities. • Issue Structure The company will offer new shares in a ratio of two (2) new shares for every nine (9) existing shares held: Voting Shares: 381,667,019 shares priced at Rs. 5.50 each. Non-Voting Shares: 80,072,222 shares priced at Rs. 5.00 each. • Strategic Objectives The total estimated proceeds of Rs. 2,499,529,714 are earmarked for: Improving the company’s Capital Adequacy Ratio (CAR) to meet regulatory standards. Funding and scaling future lending activities within the financial services sector. • Status & Approvals The proposal has already received the green light from the Central Bank of Sri Lanka (CBSL). It remains subject to final approval from the Colombo Stock Exchange (CSE) and the company's shareholders.
📉 Fitch Downgrades NDB Rating Following LKR 13.2 Bn Fraud
Fitch Ratings has downgraded National Development Bank PLC’s (NDB) National Long-Term Rating to 'A-(lka)' from 'A(lka)' with a Negative Outlook. The downgrade follows a significant fraud incident that has weakened the bank’s credit profile and exposed internal risk control deficiencies compared to peers. • Fraud Impact: NDB reported an estimated loss of LKR 13.2 Bn, involving employees and external parties. This amount represents approximately 1.3% of the bank's total assets (as of March 2026) and 2.3% of its risk-weighted assets. • Capital & Profitability: The incident is expected to reduce the Common Equity Tier 1 (CET1) ratio by 1.1% to approximately 11.8%. While still above regulatory minimums, buffers are now thin. Operating profit as a percentage of risk-weighted assets is projected to drop below 2% for 2025. • Regulatory & Dividends: Cash dividend payments remain suspended by the Central Bank of Sri Lanka until capital buffers are restored. The Negative Outlook reflects ongoing uncertainty regarding investigation outcomes and potential operational shifts. • Liquidity Status: NDB’s loan-to-deposit ratio (LDR) stood at 91% at end-2025. Fitch warns that further deposit mobilization challenges or regulatory sanctions could trigger additional downward pressure on the rating.
IMF Monitors Rs. 13.2 Bn NDB Fraud; No Systemic Risk Detected 📈
The International Monetary Fund (IMF) has confirmed it is closely monitoring the internal fraud at NDB Bank, while echoing the Central Bank of Sri Lanka’s (CBSL) assessment that the incident does not pose a threat to the broader banking and financial services sector. • Scale of Fraud: An estimated loss of Rs. 13.2 billion resulting from internal employee collusion with external parties. • Sector Impact: IMF Mission Chief Evan Papageorgiou stated the issue is "not systemic" and remains contained within a specific operational area of the institution. • Bank Stability: Despite the loss, NDB remains well-capitalized and liquid, maintaining capital ratios above the required regulatory minimums. • Regulatory Action: The incident is characterized as an operational and oversight failure; both the bank and the Central Bank are currently undertaking proactive supervisory actions and investigations. The IMF remains in constant communication with local regulators to ensure the continued stability of Sri Lanka's financial system.
Vidullanka Expands Renewable Portfolio via 100% Acquisition of Bhoruka Power Lanka 📈
• Transaction Details: Vidullanka PLC has acquired a 100% equity stake in Bhoruka Power Lanka Ltd., the owner and operator of the 4.5 MW Gurugoda mini hydro power plant in Aranayake. • Portfolio Growth: This marks Vidullanka’s 12th mini hydro project, increasing its total global portfolio to 26 power projects. • Strategic Diversification: • Solar & Wind: Commissioned 4 ground-mounted solar plants and secured tenders for a 50 MW wind project and a 10 MW Battery Energy Storage (BESS) project in the last FY. • Equity & Partnerships: Acquired a 30% stake in SAFE Power International for a 10 MW wind facility. • International Footprint: The company recently concluded an EPC contract in Guyana and emerged as the lowest bidder for a mini hydro facility in Fiji, signaling aggressive expansion into global energy markets. • Economic Impact: These investments aim to bolster Sri Lanka’s energy security, reduce reliance on fossil fuels, and promote a green energy transition amid global industry uncertainty.
📈 SriLankan Airlines Awards $ 25.17 Mn Repair Contract to Honeywell
The Cabinet of Ministers has approved a five-year contract to Honeywell International Inc. for the maintenance and repair of Auxiliary Power Units (APUs) for the national carrier. • Contract Details: Total estimated value of US$ 25.17 Mn covering a five-year duration. • Procurement Process: Awarded via International Limited Competitive Bidding; Honeywell submitted the lowest of six bids received. • Technical Scope: Focuses on repairing Honeywell APUs, which provide critical electrical power and pneumatic support when main engines are inactive. • Strategic Context: The move addresses a lack of in-house technical capability at SriLankan Airlines for specialized wing-level APU maintenance, ensuring operational readiness for the aviation sector. • Approval: The proposal was submitted by Minister of Ports and Aviation Anura Karunathilake and vetted by the Standing High Level Procurement Committee.
📈 HSBC Revives Australia Retail Exit Strategy
HSBC has initiated a restructured sale of its Australian retail banking operations, shifting focus from a total divestment to a phased offloading of its loan portfolio. This move aligns with the bank's global strategy to prioritize core markets in Hong Kong and the UK while streamlining Asian operations. • Asset Profile: The Australian unit holds a US$ 26 Bn loan book and US$ 16 Bn in deposits. Retail activities, primarily mortgages and credit cards, account for 65% of the local business. • Sale Process: Non-binding first-round offers are due by late April 2026. The process is being advised by Citi. • Potential Buyers: Major global investment firms including Blackstone, Apollo Global Management, Cerberus, and Ares Capital are expected to review the assets. • Broader Context: The exit mirrors HSBC’s previous departure from the New Zealand retail market. Globally, the bank is also considering a workforce reduction of up to 20,000 roles (approx. 10%) as part of an AI-driven structural overhaul. _Note: Based on provisional reports from The Australian and Bloomberg._
📈 Foreign Capital Drives Pivot: The Kerner Haus Transformation
Kerner Haus Global Solutions PLC (formerly Ceylon Printers PLC) has emerged as a prime example of how foreign-backed capital can successfully repurpose a legacy listed entity into a high-growth commercial real estate and managed office platform. • Strategic Pivot & Control Fresh ownership by Ekta Global Pte Ltd (holding 63.62% as of Sept 2025) triggered a formal shift from printing to an "asset-light" property management model. Commercial operations officially commenced on 1 October 2025. • Rapid Execution & Scaling The company has transitioned from a single-property narrative to a multi-regional platform with a footprint in Nawam Mawatha, Kew Road, Mount Lavinia, and Kandy. Revenue Growth: Secured four major management agreements by January 2026, boosting estimated annual management fees to Rs. 60.1 Mn. Geographic Expansion: The Katukale, Kandy agreement marked the first significant move outside Colombo, signaling a broader national strategy. • Market Performance The stock has seen exponential growth following its repositioning: Sept 2025: Rs. 425.00 Jan 2026: Rs. 648.25 April 2026: Peaked at Rs. 4,138.75 (2 April) before settling at Rs. 3,883.25 (6 April). Corporate Action: A 1-for-70 share subdivision was recently proposed to manage the high share price. • Economic Context This transformation highlights the role of foreign capital in modernizing Sri Lankan listed entities, moving beyond passive investment into active business model resets that drive sector diversification and market value. _Note: Based on company filings and market data as of April 2026._
RDB Records 86% Profit Surge in Milestone 40th Year 📈
The Regional Development Bank (RDB) reported a landmark financial performance for the year ended 31 December 2025, significantly boosting its role in inclusive economic progress. • Financial Highlights: - Profit After Tax (PAT): Rs. 2.37 Bn (+86% YoY). - Total Income: Rs. 42.81 Bn. - Net Interest Income (NII): Rs. 24.23 Bn (+23.89% YoY). - Efficiency: ROA improved to 1.7% and ROE rose to 11.77%. • Lending & Sector Impact: - Total Loans & Receivables: Rs. 302.54 Bn (+23.59% YoY). - Key Focus: Direct support for agriculture, SMEs, manufacturing, and rural enterprises. - Asset Quality: Significant improvement in the Stage 3 impaired loans ratio, dropping to 4.06% from 6.25%. • Deposit Growth & Reach: - Total Deposits: Rs. 283.72 Bn (+11.85% YoY). - Footprint: Operates via 272 branches serving over 6 million customers, primarily in underserved regions. The bank’s 2025 results reflect a resilient model balancing financial stability with national development mandates, focusing on financial inclusion and digital transformation for 2026.
Siyapatha Finance PLC Reports Robust 29% Profit Growth for FY25 📈
Siyapatha Finance PLC has posted exceptional financial results for the year ended 31 December 2025, driven by strategic expansion and efficient asset management. • Core Financials Profit Before Tax (PBT): Rs. 2,660 Mn (+26% YoY) Profit After Tax (PAT): Rs. 1,556 Mn (+29% YoY) Net Interest Income: Rs. 5,561 Mn (up from Rs. 4,533 Mn in 2024) Net Fee & Commission Income: Rs. 499 Mn (+44% YoY) • Balance Sheet & Assets Total Assets: Increased to Rs. 84.74 Bn (from Rs. 59.71 Bn) Leasing & Hire Purchase: Grew by 23% Gold Loans: Surged by 63% Total Equity: Rs. 10.04 Bn (up from Rs. 8.45 Bn) Net Asset Value per Share: Rs. 99.79 (vs. Rs. 84.18 in 2024) • Operational Highlights SME Financing: Strong demand fueled by rapid branch network expansion. Operating Efficiency: Operating profit before taxes rose 26% to Rs. 3,662 Mn due to cost optimization. Banking & Financial Services: Solidified position in the non-banking sector through digital service enhancements and workforce upskilling. The results underscore Siyapatha’s resilience and its critical role in supporting SME and micro-finance segments during volatile economic conditions.
NSB Submits 2025 Annual Report to Treasury 📈
The National Savings Bank (NSB) officially presented its Annual Report for the 2025 financial year to Treasury Secretary Dr. Harshana Suriyapperuma at the Ministry of Finance. • Institutional Governance: The presentation by Chairman Dr. Harsha Cabral PC and Actg. CEO Rohana Bandara Weerakoon underscores the bank's commitment to transparency and financial accountability. • Economic Role: As a state-owned entity, the bank remains a cornerstone for national savings and a key contributor to the government's fiscal framework. • Strategic Milestone: The report serves as a formal account of the bank’s performance and its alignment with national financial governance standards. _Note: Financial specifics and year-on-year growth rates were not included in the initial report announcement._
PLC Bolsters Capital with Rs. 10 Bn Tier 2 Debt Issuance 📈
Financial Services Sector Update: People’s Leasing and Finance PLC (PLC) has successfully concluded a Rs. 10 billion private placement of trust certificates. Capital Strengthening: The funds were raised via an unlisted, unrated, and unsecured subordinated five-year term loan facility, specifically designed to reinforce the company’s Tier 2 capital base. Regulatory Approval: The Central Bank of Sri Lanka (CBSL) Governing Board officially approved the inclusion of this facility under Tier 2 capital on March 18, 2026, ensuring compliance with Capital Adequacy Requirements. Strategic Impact: This capital boost is intended to support future lending growth and maintain stability within the leasing and non-bank financial institution (NBFI) landscape, aligning with national regulatory thresholds. _Note: Based on official company disclosures as of April 3, 2026._
📈 Chevron Lanka Hits Record Rs. 4 Bn Earnings in 2025
Chevron Lubricants Lanka PLC achieved its highest-ever earnings in its 32-year history for the 2025 financial year, driven by robust volume growth and market leadership. • Financial Performance: Surpassed the Rs. 4 Billion milestone in earnings for the first time, on a total revenue of Rs. 24.39 Billion. • Shareholder Returns: Declared a 9-year high dividend of Rs. 16 per share. The dividend payout ratio reached a 5-year high of 95%. • Growth Drivers: Performance was underpinned by strong double-digit year-on-year volume growth within the oil and gas sector. • Market Position: Maintained its position as the market leader in lubricants since 1992, successfully competing against 35 other market players. • Regional Footprint: Operations supported by a local blending plant, catering to domestic demand and export markets in Bangladesh and the Maldives. • Corporate Recognition: Ranked among the top 15 in the Best Employer Awards 2025 and consistently featured in top tier listings for Return on Equity and Asset Utilisation. _Note: Data based on Q4 2025 interim financial statements._
NDB Bank Detects Rs. 380 Mn Employee-Linked Fraud 📈
• Overview: National Development Bank PLC (NDB) has disclosed an internal fraud involving specific employees acting in collusion with third parties. Preliminary findings estimate the loss at approximately Rs. 380 million, though the bank warns the final amount could be "substantially greater" as investigations continue. • Status of Operations: The bank explicitly stated there is no impact on customer deposits, account balances, or day-to-day operations. Business remains "as usual" across all branches. • Regulatory & Legal Action: • The matter has been referred to law enforcement authorities and the Central Bank of Sri Lanka (CBSL). • Internal inquiries and criminal investigations are currently underway to determine the exact scale of the incident. • NDB is taking immediate steps to further strengthen internal controls within the banking & financial services sector to prevent future occurrences. • Next Steps: The bank has committed to full transparency and will provide updated disclosures to the Colombo Stock Exchange (CSE) once final reports are available.
Lanka Milk Foods (CWE) PLC Recovers Rs. 309.3 Mn in Legal Claim 📈
Lanka Milk Foods has successfully secured over Rs. 309.3 million following the settlement of a long-standing legal claim related to a breach of contract. • Financial Impact: The recovered amount will be recorded as other income and is expected to have a material impact on the financial statements for the period ending 31 March 2026. • Cash Flow: The company confirmed that this recovery will result in a significant positive cash inflow, strengthening its liquidity position. • Market Reaction: Despite the positive financial recovery, the share price of Lanka Milk Foods closed down by Rs. 1.00 at Rs. 81.10. • Sector Relevance: This recovery bolsters the financial standing of a key player in the food and beverage sector, contributing to corporate stability within the broader manufacturing landscape. _Note: Financial impact is based on provisional projections for the 2025/2026 fiscal year end._
Headline: Unilever & McCormick to Create $20 Bn Global Flavour Powerhouse 📈
Unilever and McCormick have agreed to combine Unilever’s Foods business with McCormick, creating a scaled global leader in the consumer goods and food processing sectors. • Transaction Details • Enterprise Value: US$ 44.8 Bn for Unilever Foods (3.6x EV/Sales). • Unilever Receives: US$ 15.7 Bn in cash and 65% total equity in the combined entity. • Ownership: Unilever shareholders (55.1%), McCormick shareholders (35%), and Unilever PLC (9.9%). • Timeline: Completion expected by mid-2027. • Strategic Impact for Unilever • Transforms Unilever into a pureplay Home and Personal Care (HPC) company with €39 Bn in revenue. • Focuses on high-growth sectors: Beauty, Wellbeing, Personal Care, and Home Care. • Plans for €6 Bn in share buy-backs between 2026 and 2029. • Increases exposure to emerging markets like India, which (with the US) will contribute 38% of turnover. • The New Flavour Entity • Will house iconic brands including McCormick, Knorr, Hellmann’s, and Maille. • Pro forma FY2025 revenues of US$ 20 Bn. • Projected annual cost synergies of US$ 600 Mn by the end of year three. • Economic Context This move reflects a global trend of portfolio sharpening to focus on science-led innovation and digital commerce. For markets like Sri Lanka, where Unilever has a massive footprint in Home and Personal Care, this reinforces a shift toward premiumisation and high-growth "pureplay" operations. _Note: Based on official transaction data; subject to regulatory approvals._
LLD Consolidates Entertainment Portfolio with Full Acquisition of Scope Cinemas 📈
Liberty Lands & Developments (LLD) has acquired the remaining shares of Scope Cinemas, moving to 100% ownership as part of a strategic group restructuring to strengthen its entertainment and hospitality portfolio. • Strategic Consolidation: The move aims to enhance operational alignment across LLD’s diversified interests, which include real estate, food and beverage (Food Studio), and strategic stakes in Alhambra Hotels. • Leadership Transition: Mr. Thushan Rangana Meenanage has stepped down as CEO and Director effective March 31, 2026. Executive Chairman Mr. Naveed Cader has been appointed as Interim CEO to ensure continuity. • Market Impact: This acquisition reinforces LLD’s commitment to the leisure and cinema sector, positioning the brand for future growth and a more integrated business model within Sri Lanka’s evolving service economy. • Sector Focus: The transition reflects a broader trend of corporate restructuring in the service and retail sectors to build resilient, future-ready organizations.
📈 Sunshine Holdings Secures 75% Stake in Agri-Export Venture for Rs. 2.7 Bn
• The Transaction: Sunshine Holdings PLC has officially finalized the acquisition of a majority stake in Joint Agri Products Ceylon Ltd (JAPC). The deal involved purchasing 577,320 shares for a total consideration of Rs. 2.7 Bn. • Sector Focus: The acquisition significantly boosts Sunshine's presence in the export agriculture segment. JAPC specializes in the processing and export of spices, coconut products, and tea. • Market Reach: JAPC, along with its subsidiary Sancan Exports Lanka Ltd, maintains a strong export footprint in high-value markets, specifically the EU and the US. • Strategic Impact: This move is designed to diversify Sunshine Holdings' consumer sector portfolio, shifting focus toward foreign exchange-earning, export-oriented markets to drive long-term growth. • Market Reaction: Following the announcement, Sunshine Holdings PLC shares closed at Rs. 29, down Rs. 1 for the day.
Court Finds Former Co-operative Insurance Chairman Guilty of Contempt ⚖️
The Commercial High Court of Colombo has found the former Chairman of Co-operative Insurance Company PLC, Susil Shantha Weerasekera, guilty of Contempt of Court. The ruling follows an inquiry into the submission of a falsified affidavit in a case alleging corporate mismanagement. • Legal Breach: Weerasekera initiated legal action in 2022 claiming to be a shareholder of the company. However, evidence including annual reports—previously signed by Weerasekera himself—confirmed he did not hold shares, a mandatory requirement under the Companies Act No. 7 of 2007. • Judicial Findings: High Court Judge Chamath Madanayake ruled that the former Chairman committed an offense under Section 183B of the Civil Procedure Code by filing an affidavit containing falsehoods to obtain ex-parte interim relief. • Corporate Governance: While found guilty of providing false information, the court did not find the accused guilty of violating specific interim orders. The original case filed by the former Chairman was dismissed in May 2023 due to the jurisdictional failure. • Next Steps: Sentencing is scheduled for April 2, 2026. This case highlights critical oversight regarding director accountability and legal compliance within Sri Lanka’s insurance and financial services sectors.
📈 Ambeon Makes Voluntary Rs. 3.34 Bn Bid for Harischandra Mills
Ambeon Essentials Ltd, a subsidiary of Ambeon Capital PLC, has launched a voluntary offer to acquire a controlling stake in the iconic food & consumer goods firm, Harischandra Mills PLC. • Offer Details: Ambeon is offering Rs. 3,400 per share to acquire 981,118 shares (51.11% stake). This values the total equity of the company at approximately US$ 21.6 Mn (Rs. 6.5 Bn). • Valuation & Market Gap: The offer price represents a 3.5x multiple to the net asset value of Rs. 964.6 per share (as of Dec 2025). Notably, the offer is significantly below the last traded price of Rs. 5,068.75 and the post-deal peak of Rs. 6,982. • Strategic Context: Ambeon’s bid is Rs. 100 higher per share than the price paid by Hayleys PLC (Rs. 3,300) to acquire its 40.58% stake in October 2025. If Hayleys chooses to exit, they stand to realize a profit of ~Rs. 77.9 Mn. • Regulatory Status: The offer follows a January Share Sale and Purchase Agreement (SPA) with a consortium of family shareholders. Upon acceptance of the 51.11% stake, it will convert into a Mandatory Offer for all remaining shares under the Takeovers and Mergers Code. _Note: Based on official disclosure data as of March 30, 2026._
SLT-MOBITEL Drives National Digital Transformation with Record Resilience 📈
Sri Lanka’s national ICT provider, SLT-MOBITEL, has announced a strategic shift toward a 24/7 operational model following a decisive turnaround in profitability for FY 2025. • Financial & Strategic Foundation: Building on strong FY 2025 results, the group achieved a return to profitability through disciplined cost management and steady growth in fixed and mobile segments, enabling increased investment in national ICT/BPM infrastructure. • Industry Firsts: Launched a pioneering 24/7 operational model via 14 Outside Plant Maintenance Centres (OPMCs) in key regions including Colombo, Kandy, and Jaffna to ensure uninterrupted connectivity for enterprise and home users. • Infrastructure & Connectivity: • Publicly rolled out 5G technology, positioning Sri Lanka as a regional innovation leader. • Upgraded government and enterprise entities with a state-of-the-art optical fiber network. • Provided unlimited fiber internet to secondary schools to drive digital inclusion in education. • Sector Diversification: • SMEs: Introduced 'SmartChat Mega,' an AI-driven solution for small businesses. • FinTech: Launched 'Ceylon Remit' to streamline inward foreign exchange. • Cloud & Security: Secured global certifications in Cloud Security and Privacy, bolstering the reliability of the national digital backbone. • Recognition: Named Sri Lanka’s Best Mobile Network by Ookla® (H2 2025) and recipient of over 25 awards for ESG and innovation.
IPL Valuations Hit Record $3.4 Bn as US Investors Acquire Top Franchises 📈
• The Headlines: Two iconic IPL franchises, Royal Challengers Bengaluru (RCB) and Rajasthan Royals, were sold within hours in record-breaking deals totaling US$ 3.41 Bn. • Deal Breakdown: - RCB: Acquired for US$ 1.78 Bn by a consortium including Aditya Birla Group, Blackstone, and Bolt Ventures. This marks a massive leap from its 2008 valuation of US$ 111.6 Mn. - Rajasthan Royals: Sold for US$ 1.63 Bn to a group backed by US businessmen Kal Somani and former Walmart Chairman Rob Walton. • Market Context: - The valuations reflect the IPL's evolution into a global powerhouse, drawing comparisons to the NBA. - Growth is fueled by massive media rights deals (US$ 6.4 Bn for 2023-27) and increasing private equity interest in sports. • Strategic Links: - The acquisitions highlight deepening ties between Indian sports and US capital, following the 2024 T20 World Cup in the US and cricket's inclusion in the 2028 LA Olympics. - Investors like Walmart (via Flipkart/PhonePe) and Blackstone are leveraging the IPL to tap into India's massive consumer base. • Regional Impact: While focused on India, the scale of these deals underscores the rising commercial value of cricket across South Asia, impacting regional sponsorship, broadcasting, and sports tourism ecosystems.
📈 Mahindra Ideal Finance Debenture Issue Oversubscribed on Day 1
Mahindra Ideal Finance Ltd (MIFL) successfully concluded its debut listed debenture issue, raising Rs. 1 Billion after being oversubscribed on its first day of opening. The capital raise marks a significant milestone for the non-banking financial institution (NBFI) sector. • Issue Details: The offering comprised 10 million Tier 2, listed, rated, unsecured, subordinated, redeemable debentures at a par value of Rs. 100 each, featuring a five-year tenure maturing in 2031. • Dual Structures: Investors were offered two options: - Type A: Fixed rate of 12.00% p.a. (payable annually). - Type B: Floating rate of 364-day T-Bill + 3.50% (payable semi-annually). • Strategic Impact: Proceeds will be deployed to strengthen lending capacity in SME loans, vehicle leasing, gold loans, and business loans, directly supporting credit accessibility for local communities. • Regulatory & Rating: The move strengthens MIFL’s Tier 2 capital base in line with Central Bank of Sri Lanka adequacy requirements. The issue carried an A (lka) rating from Fitch Ratings, while the entity maintains an AA- (lka) rating with a Stable Outlook. • Partners: The issue was managed by NDB Investment Bank Ltd, with Bank of Ceylon acting as Joint Placement Agent.
📈 Asia Capital settles Rs. 790.75m debt via River House share transfer
• Debt Settlement: Asia Capital PLC has finalized a deal to settle an outstanding liability of Rs. 790.75 million due to CC Trust Ltd. The settlement was executed by acquiring 9,000,001 shares of River House Ltd. and transferring them to the creditor's nominee, W S Trust Ltd. • Leisure Sector Consolidation: The company significantly increased its footprint in the hospitality and tourism sector through two major equity acquisitions: • Asia Leisure Holdings: Acquired additional stakes from Tamao Watanabe (Rs. 8.9m) and Aoba Pte Ltd (Rs. 192.6m). Asia Capital now holds a 99.98% controlling interest. • Wadduwa Resorts: Entered a Sale and Purchase Agreement to acquire a 22.13% stake for Rs. 75 million from Japan Capital Ltd. • Strategic Outlook: Upon the expected completion of the Wadduwa transaction in September 2026, Asia Capital and its subsidiary will achieve 100% ownership of Wadduwa Resorts Ltd, signaling a move toward total vertical integration within its leisure portfolio. • Financial Position: These transactions streamline the balance sheet by neutralizing a significant long-term liability while consolidating high-value tourism assets, essential for the company's long-term stability and employment capacity within the sector.
📈 Lee Hedges PLC to Acquire 100% Stake in Lanka Realty Developments for Rs. 3.16 Bn
• Transaction Overview: Lee Hedges PLC has announced a two-part acquisition to take full ownership of Lanka Realty Developments Ltd (LRD) for a total consideration exceeding Rs. 3.16 Bn. • Stake Breakdown: Majority Stake: 51% (57.2 Mn shares) to be purchased from Lanka Realty Investments PLC (LRI) for Rs. 1.61 Bn. Remaining Stake: 49% to be acquired from Eighth Wonder for Rs. 1.55 Bn. • Regulatory Status: The deal is classified as a Related-Party Transaction. It has received approval from the Related Party Transactions Review Committee but remains subject to shareholder approval via a Special Resolution. • Strategic Impact: Upon completion, LRD will become a fully owned subsidiary of Lee Hedges PLC, consolidating its position within the real estate and property development sector. _Note: Based on official disclosure dated 24 March 2026; final completion pending shareholder approval._
📈 People’s Insurance PLC Reports 34% GWP Growth in 2025
People’s Insurance PLC demonstrated strong financial resilience for the year ended 31 December 2025, driven by disciplined underwriting and robust expansion in key segments despite catastrophic claims from Cyclone Ditwah. • Key Financial Indicators • Gross Written Premium (GWP): Rs. 8,367.39 Mn (up 34% YoY from Rs. 6,249.30 Mn). • Total Assets: Rs. 15.67 Bn (up 23% YoY). • Shareholders’ Equity: Rs. 5,970.13 Mn (up 6% YoY). • Profit After Tax (PAT): Rs. 355.25 Mn. • Sector Breakdowns • Motor: Remained the primary growth engine, accounting for 79% of total GWP with a 42% increase. • Fire: Contributed 9% to total GWP, recording a steady 15% growth. • Investment Income: Amounted to Rs. 1,106.60 Mn, a marginal 9% decline due to market volatility. • Strategic Context The company maintained stability through its connection with People’s Bank and People’s Leasing & Finance. The results highlight the growing role of general insurance in protecting assets amid climate-related risks. The firm received multiple accolades in 2025, including "Best General Insurer" by The Global Economics and recognition for sustainability and integrated reporting. _Note: Based on audited financial results for the period ending Dec 31, 2025._
People’s Bank Sets Record with Sri Lanka’s Largest Rs. 25 Bn Debenture 📈
• Overall Figures People’s Bank has successfully mobilized Rs. 25 Billion, marking the largest debenture issuance in Sri Lanka's history. The capital was raised via Basel III compliant, Tier 2, unlisted, subordinated, and redeemable debentures with 5-year and 8-year tenors. • Strategic Impact The issuance strengthens the bank’s capital base and balance sheet resilience. This record-breaking transaction, executed by the People’s Bank Investment Banking Unit (PBIBU), highlights strong investor confidence in state-owned financial institutions despite the typical market challenges faced by unlisted debt instruments. • Sector Milestones Banking & Finance: People’s Bank became the first state-owned bank to receive a Corporate Finance Advisor Licence from the SEC. Capital Markets: PBIBU has now mobilized over Rs. 225 Billion across 33 debenture listings and one IPO since its inception. Future Outlook: Two additional debt issuances are structured for launch in the first half of 2026 to further develop the local financial services ecosystem. • Recognition Reflecting its leadership in the investment banking sector, the bank was recently awarded "Best Investment Bank Sri Lanka 2026" for the second consecutive year by the Global Banking and Finance Review. _Data based on official bank statement (March 23, 2026)._
📈 Siyapatha Finance Debenture Issue Over-Subscribed
Siyapatha Finance PLC has successfully closed its debenture issue after receiving applications exceeding the maximum target of Rs. 3.75 Billion. The offer was officially closed on March 20, 2026, due to strong investor demand. • Issue Details: The capital raise consisted of listed, rated, subordinated, unsecured redeemable debentures. • Subscription Tiers: The initial tranche of 20 million debentures was expanded via two oversubscription options (10 million and 7.5 million), reaching the full Rs. 3.75 Bn cap. • Market Sentiment: The rapid oversubscription reflects a robust appetite for fixed-income instruments within the financial services sector under current market conditions. • Next Steps: The basis of allotment will be notified to the Colombo Stock Exchange (CSE) shortly. Based on official company filings as of March 23, 2026.
AIA Group Achieves Record Growth in 2025 📈
AIA Group has reported record-breaking financial results for the year ended 31 December 2025, driven by double-digit growth across key metrics and a strategic shift toward less capital-intensive products in the insurance sector. • Core Financial Highlights: Value of New Business (VONB) rose 15% to US$ 5.52 Bn. Operating Profit After Tax (OPAT) increased 12% per share to US$ 7.14 Bn. EV Equity reached US$ 79.7 Bn, up 14% per share. • Profitability & Returns: Operating ROE improved by 70 basis points to 15.5%. Operating ROEV stood at 15.8%, up 90 basis points. Net Free Surplus Generation (net FSG) grew 14% to US$ 4.45 Bn. • Shareholder Returns: Total dividend increased by 10% to 193.08 Hong Kong cents per share. Board approved a new US$ 1.7 Bn share buy-back program. Shareholder capital ratio remained strong at 221%. • Outlook: The Group remains confident in meeting its 2023–2026 OPAT CAGR target of 9% to 11%. Despite macroeconomic uncertainty, AIA highlights Asia as the premier growth hub for life and health insurance due to rising demand for protection and long-term savings.
📈 Ambeon Holdings Proposes 1-for-4 Share Subdivision
The Board of Ambeon Holdings PLC has recommended a share split to enhance market liquidity, significantly increasing the number of shares in circulation without altering the company’s capital base. • The Split Details: Every 1 existing ordinary share will be subdivided into 4 new shares. • Share Volume: Total issued ordinary shares will rise from 356,869,666 to 1,427,478,664. • Capital Structure: The stated capital remains unchanged at Rs. 5,331,775,177. • Next Steps: The move is pending concurrence from the Colombo Stock Exchange (CSE) and final approval from shareholders at an upcoming Extraordinary General Meeting (EGM). _Note: Based on Board resolution dated 16 March 2026._
### 📈 National Savings Bank (NSB) Posts Record Profits for 2025
The state-owned savings giant reported its highest-ever financial performance, driven by a sharp decline in impairment charges and robust growth in core interest income. Overall Financial Figures • Operating Profit: Surged 55% YoY to Rs. 59 Bn. • Profit After Tax (PAT): Group PAT rose 61% to Rs. 28.2 Bn; Bank-only PAT jumped 69%. • Total Assets: Expanded 4% to Rs. 1.83 t, supported by government securities and loans. • Total Contribution to Govt: Reached Rs. 38 Bn (including Rs. 30.1 Bn in taxes), a 77% YoY increase. Key Performance Metrics • Net Interest Income (NII): Grew 17% to Rs. 84.8 Bn, aided by a 14% reduction in interest expenses. • Net Interest Margin (NIM): Strengthened to 4.74% from 4.22%. • Fee & Commission Income: Rose 46% to Rs. 2.56 Bn, fueled by cards, remittances, and loan disbursements. • Efficiency: Cost-to-income ratio improved to 34.3%; Return on Equity (ROE) hit 25.08%. Asset Quality & Capital • Impairment Charges: Dropped 86% to Rs. 1.64 Bn, reflecting improved borrower creditworthiness. • Stage 3 Loan Ratio: Improved significantly to 2.53% (from 5.18% in 2024). • Deposit Base: Grew 3% to Rs. 1.6 t, backed by the bank's explicit Government guarantee. • Capital Adequacy: Total Capital Ratio stood at 26.83%, well above the 12.5% regulatory requirement. _Summary based on 2025 audited financial highlights._ ---
📈 SriLankan Airlines $175 Mn Bond Restructuring Secured
Deputy Minister of Finance Dr. Anil Jayantha Fernando announced a major breakthrough in restructuring the aviation sector debt during a Parliamentary session today. • Approval Thresholds: The restructuring of the US$ 175 Mn bond, guaranteed by the Treasury, received consent from 98% of lenders, representing 99% of the total bond value. • Economic Impact: This move is framed as a critical step to move beyond stabilization. Successful sovereign debt restructuring has already contributed to an improved credit rating of CCC+ as of 2025. • Key Challenges: Unlike other sovereign debts, this specific bond was handled separately due to its Treasury guarantee, posing unique negotiation hurdles. • Next Steps: An official announcement detailing the specific terms of the restructuring is expected later today.
Hayleys PLC Debenture Issue Over-Subscribed 📈
• Overall Figures: The initial public offer of listed rated unsecured senior redeemable debentures by Hayleys PLC has been oversubscribed, with applications exceeding the initial Rs. 5 Bn mark. • Issue Details: The company initially offered 50 million debentures at a par value of Rs. 100 each. Due to strong investor demand, the issue closed at 4:30 p.m. yesterday. • Expansion Option: To accommodate the high volume of applications, Hayleys may exercise its option to issue a further 20 million debentures (Rs. 2 Bn), potentially bringing the total issue size to Rs. 7 Bn. • Market Impact: This successful capital raising highlights robust investor confidence in one of Sri Lanka’s largest diversified conglomerates, with significant footprints in manufacturing, agriculture, and transportation & logistics. • Next Steps: The basis of allotment will be notified to the Colombo Stock Exchange (CSE) in due course.
⚠️ SriLankan Airlines Issues Scam Alert for Social Media
SriLankan Airlines has officially warned customers regarding fraudulent activities circulating on platforms like Facebook and WhatsApp. Scammers are misusing the airline's brand name, logo, and identity to promote fake offers and phish for sensitive information. • Modus Operandi: Fraudulent messages, often shared via known or unknown contacts, use fake links with unusual characters or spellings to impersonate the airline. • Security Protocol: The national carrier clarified it will never request payments, OTPs, credit card details, or bank information through social media channels. • Verification: Customers are urged to verify all promotional offers via the official website ([www.srilankan.com](https://www.srilankan.com)) or the airline's verified social media accounts. • Risk Mitigation: The alert serves as a critical reminder for travelers and the public to maintain digital vigilance against increasing cyber-impersonation within the travel & aviation sector.
📈 YouTube Surpasses Hollywood Giants in 2025 Ad Revenue
YouTube has officially overtaken the combined advertising power of major Hollywood studios, marking a historic shift in the digital media landscape. • Global Revenue Figures: YouTube generated US$ 40.4 Bn in ad revenue in 2025, surpassing the US$ 37.8 Bn combined total of Disney, NBCUniversal, Paramount, and Warner Bros. Discovery. • Growth Trend: This represents a significant YoY reversal from 2024, where Hollywood led with US$ 41.8 Bn against YouTube’s US$ 36.1 Bn. • Total Ecosystem: Alphabet reported YouTube’s total revenue reached US$ 60 Bn, bolstered by subscriptions such as YouTube Premium and Music. For context, this matches Disney’s entire media business (US$ 60.9 Bn) and exceeds Netflix (US$ 45.2 Bn). • Market Context: Despite this lead over traditional media, YouTube remains behind tech giants like Meta, which recorded US$ 196.2 Bn in 2025 ad revenue. • Strategic Focus: The platform is aggressively integrating AI/ICT tools, specifically deploying deepfake detection technology to manage content integrity for officials and journalists. _Data based on reports from Moffett Nathanson and Alphabet (Provisional)._
Sanasa Life Completes Rs. 522.7 Mn Rights Issue to Boost Solvency 📈
• Sanasa Life Insurance Company PLC has successfully raised Rs. 522.7 million through a rights issue of 52.26 million shares at Rs. 10 each, concluded on March 13, 2026. • Capital Allocation: Unsubscribed shares were reallocated to existing shareholders, followed by company employees, and finally approved third parties to ensure full subscription. • Solvency Recovery: The equity infusion is a critical step to address the long-term insurance business suspension by the IRCSL (effective until May 5, 2026) due to non-compliance with solvency rules. • Capital Adequacy Ratio (CAR) Impact: Pre-Issue: 49.51% (as of Dec 2025/post-asset disposal). Post-Issue: Projected to rise by 51.13% to reach 100.64%. Target: Aided by a proposed Rs. 500 million debenture, the company aims for a 164% CAR to meet regulatory thresholds. • Context: This capital plan is vital for the financial services sector firm to lift its current regulatory suspension and avoid the appointment of an external administrator by the IRCSL.
CWIT Hits 1M TEU Milestone in Record First Year 📈
The Colombo West International Terminal (CWIT) has become the fastest terminal in the Port of Colombo to handle 1 million TEUs, reaching the mark within its inaugural year of operations. • Key Achievement Volume: 1 million TEUs handled since launch. Performance: Fastest inaugural-year growth in the port’s history, outpacing typical global industry timelines for new terminals. • Infrastructure & Capacity Investment: Approx. US$ 800 million in a strategic partnership between Adani Ports, John Keells Holdings, and the Sri Lanka Ports Authority. Specifications: 1,400-meter quay and 20-meter depth, designed to accommodate the world’s largest mega-container vessels. Total Capacity: Estimated annual handling of 3.2 million TEUs. • Economic Impact Strategic Role: Strengthening Sri Lanka’s position as a primary transshipment hub for Asia-Europe-Middle East routes. Technology: Operates as a fully automated deep-water terminal, utilizing ICT and electrified systems to improve efficiency and reduce turnaround times. Foreign Investment: The project underscores investor confidence in Sri Lanka's logistics and infrastructure sectors, highlighting regional cooperation with India. _Data based on official company statements as of March 18, 2026._
Asia Asset Finance Surpasses Rs. 50 Bn Asset Milestone 📈
• Overall Growth: Asia Asset Finance PLC (subsidiary of India’s Muthoot Group) officially exceeded Rs. 50 billion in total assets as of February 2026. This follows a strong performance through December 2025, where assets stood at Rs. 45.8 billion. • Key Financial Indicators (as of end-December 2025): • Loan Book: Expanded significantly by 37.5% to reach Rs. 40.1 billion. • Deposit Base: Grew to Rs. 21.2 billion, a 6.2% increase from March 2025 levels. • Borrowings: Saw a sharp rise of 69%, totaling Rs. 15.7 billion. • Net Assets: Reported at Rs. 35.62 per share. • Strategic Context: The growth is attributed to the expansion of the company’s lending portfolio and a broader customer base within the regulated finance sector. Management emphasized that this trajectory was supported by strict financial discipline, governance, and risk management practices. • Economic Impact: The milestone highlights the scaling of financial services platforms in Sri Lanka, reflecting increased stakeholder confidence and credit expansion within the NBFI (Non-Bank Financial Institution) sector. _Note: Figures based on company-reported data as of March 2026._
### MAS Holdings Relocates Thurulie Operations Following Cyclone Damage 📈
MAS Holdings has announced the permanent relocation of manufacturing operations from its iconic Thurulie facility in Thulhiriya. The decision follows severe damage to plant and machinery caused by Cyclone Ditwah in late 2025. Key Operational Details: • Strategic Shift: Operations and orders are being moved to nearby MAS facilities to ensure business continuity and mitigate high risks of future climate-related disruptions. • Facility History: Thurulie was the world’s first purpose-built green apparel factory (LEED Platinum), representing a landmark in Sri Lanka’s sustainable textile manufacturing. • Risk Assessment: Repeated flooding and the low-lying nature of the property rendered long-term manufacturing unsustainable due to safety and operational risks. Impact on Workforce: • Employee Retention: MAS is seeking to retain its experienced team of 2,100 employees. • Transfer Incentives: Over 500 staff have already moved; the remaining 1,600 are offered transfer options with a 3-month salary incentive for relocation. • Compensation: For those unable to relocate, MAS will provide a compensation package exceeding legal requirements, inclusive of all statutory dues. Business Outlook: Manufacturing across all other MAS facilities remains unaffected. The group remains focused on operational stability and delivering to global customers within the apparel & textiles sector, a critical pillar of Sri Lanka’s export economy. _Note: Based on official management announcement dated 16th March 2026._
Milford Exports Ceylon Increases Stake in Melstacorp PLC to 42.97% 📈
Ultimate parent entity Milford Exports Ceylon (Ltd) has further consolidated its position in the diversified conglomerate Melstacorp PLC through a significant share acquisition. • Transaction Details: Milford Exports purchased 1,000,000 shares on March 12, 2026, at a price of Rs. 165.00 per share, totaling an investment of Rs. 165 million. • Shareholding Shift: This acquisition increases the parent's total holding from 499,819,000 shares (42.89%) to 500,819,000 shares (42.97%). • Market Context: Despite the purchase, Melstacorp shares ended the week down Rs. 1.75 at Rs. 165.00. The purchase price aligns exactly with the latest closing market price, though it remains at a premium compared to the end-2025 Net Asset Value (NAV) of Rs. 131.99. • Major Shareholders: Following the transaction, other top holders include Lanka Milk Foods (13.03%), M.A. Yaseen (12.77%), and L.E.M. Yaseen (6.89%). • Economic Impact: Melstacorp remains a vital pillar of the Sri Lankan economy with diversified interests in beverages, plantations, leisure, and financial services, sectors critical for export revenue and national employment. _Note: Figures based on company disclosures as of March 16, 2026._
Roar Global Spins Off Creative Arm into Independent Studio 'Obsidian' 📈
• Roar Global has officially transitioned its creative division, formerly Roar Media, into an independent creative studio branded as Obsidian. • The move reflects a strategic pivot for Roar Global to focus on its core mandate as a venture builder in the platform-led, AI-driven mar-tech space. • Obsidian will operate as a separate entity with its own leadership and team, focusing on brand building, storytelling, and high-quality film production across traditional and digital media. • Industry veteran Aman Ashraff has been appointed as Chief Creative Officer, emphasizing a shift toward "commercial accountability" and measurable impact within the creative and marketing sectors. • This restructuring highlights the maturing of Sri Lanka’s ICT/BPM and creative services landscape, moving toward specialized, niche operations rather than generalized agency models.
Nation Lanka Finance Issues Call for EOIs Under Resolution Process 📈
Nation Lanka Finance PLC has officially invited Expressions of Interest (EOI) from potential investors or consortia to invest in the company as part of a formal resolution framework. • Regulatory Context: The invitation aligns with the resolution process for licensed finance companies under the Finance Business Act, No. 42 of 2011. • Submission Deadline: Interested parties must submit their EOIs by 20 March 2026 at 4:00 p.m. • Submission Channels: Applications can be delivered via a sealed envelope to the Administrator in Colombo 03 or submitted digitally in PDF format. • Sector Impact: This move is a critical step in maintaining financial system stability and restructuring within the non-bank financial institutions (NBFI) sector.
🚢 Mazagon Dock Secures 51% Majority Stake in Colombo Dockyard
Indian state-owned giant Mazagon Dock Shipbuilders Ltd. has officially gained majority control of Colombo Dockyard PLC, marking a significant shift in Sri Lanka's shipbuilding and ship repair landscape. • The Transaction: Mazagon Dock acquired an additional 36.65 million shares (approx. 9.27%) through a mandatory offer that concluded on 12 March 2026. • Final Ownership: Combined with its previous 41.73% holding, Mazagon Dock now controls 201.57 million shares, representing 51% of the total issued share capital. • Economic Context: This acquisition integrates a key player in Sri Lanka's maritime and engineering sector with a major Indian defense shipbuilder, potentially boosting regional maritime synergy and technical expertise. • Market Reaction: Following the announcement, Colombo Dockyard’s share price closed at Rs. 127.75, down Rs. 2.25 for the day.
### 📉 AI Efficacy Rankings: Roadmap to Revive State Institutions
A new AI-driven assessment using 2026 data has ranked the efficacy of Sri Lanka’s public sector, highlighting a stark contrast between high-performing regulators and struggling state-owned enterprises (SOEs). • Top Performers by Sector: Judiciary/Governance: The Supreme Court of Sri Lanka emerged as the most efficacious body, outperforming Parliament and the Election Commission. Finance/Regulation: The Central Bank of Sri Lanka (CBSL) leads the regulatory sector, ahead of the SEC and TRC. SOEs: The Sri Lanka Ports Authority (SLPA) ranks highest in efficacy, followed by Bank of Ceylon and People’s Bank. • Critical Concerns: SriLankan Airlines and Lanka Sathosa remain at the bottom of the spectrum. The national carrier is identified as a persistent financial drain, with the report noting that leadership changes alone are insufficient to fix deep-seated structural fragmentation. • Strategic Recommendations: Shift to Ecosystems: High-performing global airlines operate as integrated technology ecosystems; SriLankan Airlines must move away from its current hierarchical, siloed model. Data-Driven Reform: The government is urged to implement joint planning across divisions, route rationalisation, and evidence-based decision-making. Economic Impact: Modernizing these structures is essential to transition loss-making entities from "perpetual burdens" to productive contributors to the national economy.
Hayleys PLC to Raise Rs. 7 Bn via CSE Debenture Issue 📈
The Colombo Stock Exchange (CSE) has granted in-principle approval for Hayleys PLC to raise up to Rs. 7 billion through a listed debt issuance. This move by the diversified conglomerate supports corporate financing and capital market depth. • Issue Structure: Initial offer of Rs. 5 billion (50 million debentures), with an option to issue an additional Rs. 2 billion in the event of oversubscription. • Debenture Types: • 5-Year Fixed: 10.6% p.a. (10.88% effective annual rate). • 5-Year Floating: 1-year T-Bill rate + 2% (Floor: 9.5% / Cap: 11.5%). • 7-Year Fixed: 11.15% p.a. (11.46% effective annual rate). • Key Dates: Subscription list opens on March 17, 2026. Prospectus was made available to trading participants on March 11. • Instrument Details: Listed, rated, unsecured, senior, redeemable debentures with a par value of Rs. 100 each. Interest to be paid semi-annually. • Management: Commercial Bank of Ceylon PLC serves as the Joint Manager, with SSP Corporate Services Ltd as Registrar. This issuance reflects continued activity in the diversified holdings sector, providing investors with fixed-income opportunities across medium to long-term tenors.
Melstacorp Trims Stake in DCSL via Rs. 118M Share Sale 📈
• Overall Transaction: Melstacorp PLC divested 2 million shares of its flagship subsidiary, Distilleries Company of Sri Lanka (DCSL), on March 11, 2026. • Financials: The shares were sold at a price of Rs. 59 per share, totaling a transaction value of approximately Rs. 118 million. • Shareholding Impact: • Previous Holding: 4,250,264,664 shares (92.40%) • New Holding: 92.35% • Context: Despite this marginal reduction, Melstacorp retains overwhelming control of the beverage and spirits giant, which remains a core pillar of the group's investment portfolio and a significant contributor to the national manufacturing sector.
📈 President Meets CEB Unions to Discuss Power Sector Restructuring
President Anura Kumara Dissanayake met with Ceylon Electricity Board (CEB) engineers’ trade unions yesterday at the Presidential Secretariat to outline the government's strategy for restructuring the state-owned utility. • Core Objectives: The restructuring aims to enhance efficiency, ensure energy security, and provide an uninterrupted electricity supply at fair prices. • Ownership & Rights: The President confirmed that the government will maintain ownership of the new entities established under the framework. He further assured that current employee rights and benefits will be protected. • Operational Reforms: The transition will address longstanding institutional issues. A formal mechanism was proposed to maintain dialogue between employees and management during the long-term reform process. • Stakeholder Alignment: Trade union representatives acknowledged the necessity of reforms and expressed a willingness to collaborate constructively with the government. • Key Participants: The meeting included Energy Minister Kumara Jayakody and Deputy Minister Arkam Ilyas, emphasizing a unified approach to transforming the power & energy sector. Based on official presidential communications (provisional reports).
📈 John Keells Hotels to Divest Cinnamon Citadel for Rs. 2.78 Bn
John Keells Hotels PLC has entered into a binding agreement to sell its 98.39% majority stake in Kandy Walk Inn Ltd (KWIL), the owning entity of the Cinnamon Citadel hotel in Kandy, to Lavendish Leisure (part of the Dedigama Group). • Transaction Value: The deal is valued at Rs. 2.777 billion and is expected to be finalized by 31 March 2026. • Strategic Shift: The divestment aligns with the group’s asset-light strategy for its hospitality sector. • Brand Management: Cinnamon Citadel will remain under the Cinnamon Hotels & Resorts brand for a minimum of 12 months before a planned review. • Reinvestment: Proceeds will be utilized to upgrade the existing tourism portfolio, following the recent launch of Kandy Myst by Cinnamon, where the group retains a 40% stake. • Sector Impact: This move reflects ongoing consolidation and capital reallocation within Sri Lanka’s leisure and travel industry to optimize property positioning.
Ex-SriLankan Airlines CEO Arrested Over $2 Mn Airbus Bribe ⚖️
The Commission to Investigate Allegations of Bribery or Corruption (CIABOC) has arrested former SriLankan Airlines CEO Kapila Chandrasena following a lengthy statement recorded yesterday. • Core Allegation: The arrest is tied to a controversial deal involving Airbus aircraft, where Chandrasena is alleged to have accepted a bribe totaling US$ 2 million. • Context: The investigation centers on procurement irregularities that have long been a focal point of transparency concerns within the aviation sector and state-owned enterprises. • Legal Action: The suspect was taken into custody after appearing before CIABOC to provide testimony regarding the financial transactions linked to the fleet acquisition. This development marks a significant step in addressing historical corruption allegations within the transportation and tourism infrastructure of Sri Lanka.
Link4 Acquires Unifiedpost to Solidify Asia-Pacific e-Invoicing Leadership 📈
• Transaction Overview: Link4 has announced the 100% share acquisition of Singapore-based Unifiedpost Pte Ltd from Banqup Group SA, integrating all assets and customer relationships. • Strategic Impact: The move strengthens Link4’s position within Singapore’s InvoiceNow network and the broader APAC region. It enhances the company’s recurring revenue base and regional footprint as governments accelerate digital mandate programs. • Transition Details: • Unifiedpost’s IMDA accreditations (Access Point and IRSP) will terminate on 31 March 2026. • Existing customers will migrate to Link4’s established accreditation to ensure service continuity. • GST-registered businesses continue to access services free of charge under IMDA support. • Market Context: Founded in 2016, Link4 provides ICT/BPM solutions via the Peppol framework, integrating with major ERP systems to automate accounts payable and receivable. This acquisition scales their capacity to support digital trade and regulatory compliance across Asian jurisdictions. • Outlook: CEO Robin Sands highlighted Singapore as a "strategic digital trade hub," with the firm focusing on sustainable ARR growth driven by expanding e-invoicing mandates across the Asia-Pacific.
Kerner Haus Global Solutions Proposes 1-for-70 Share Subdivision 📈
The Board of Kerner Haus Global Solutions PLC has recommended a major subdivision of ordinary voting shares to enhance market liquidity, as disclosed to the Colombo Stock Exchange. • Subdivision Ratio: Each existing ordinary voting share will be subdivided into 70 shares. • Share Count: Total issued shares will increase from 600,170 to 42,011,900 shares post-exercise. • Capital Position: The stated capital remains unchanged at Rs. 30.36 Mn. • Market Context: Shares recently traded at Rs. 2,381.50 (down Rs. 74). The company reported net liabilities of Rs. 76 per share as of Dec-2025. • Ownership Structure: Ekta Global Ltd remains the majority shareholder (63.62%), with a public float of 27.40%. The move is subject to CSE concurrence and shareholder approval at an upcoming EGM. Based on provisional CSE disclosures.
### Ceylon Chamber Archives Entrusted to National Archives 📈
The Ceylon Chamber of Commerce (CCC) has formally handed over its historical records spanning 1839 to 1973 to the National Archives Department, preserving over a century of Sri Lanka’s commercial and trade evolution. • Historical Scope The collection includes correspondence, meeting minutes, and ledgers from the Chamber’s founding in 1839 (one of Asia’s earliest) through 1973. It chronicles the growth of the export economy, specifically in tea, rubber, coffee, and coconut oil. • Economic Milestones The archives document the Chamber’s pivotal role in: Establishing the island's renowned tea and rubber auctions. Advocating for the Colombo Port development over Galle, citing navigational and hinterland advantages. Influencing infrastructure, including the Colombo–Kandy railway and the first telegraphic link to India (1858). • Institutional Legacy The records highlight the formation of key bodies that shaped the modern business environment, such as the Employers’ Federation of Ceylon, the Mercantile Service Provident Society, and early alternative dispute resolution (arbitration) frameworks. • Significance This move ensures public and researcher access to the "commercial heartbeat" of the nation, documenting the ingenuity and ethical standards that built Sri Lanka’s trade and industry foundations. _Source: CCC Official Release (Provisional)_
📈 AIA Group Chairman Meets Foreign Minister to Discuss Expansion
Key Engagement: AIA Group Independent Non-Executive Chairman Sir Mark Tucker met with Foreign Affairs, Tourism, and Foreign Employment Minister Vijitha Herath during a two-day official visit (March 9–10, 2026). Operational Briefing: Sir Tucker provided an update on the progress of insurance operations within Sri Lanka, highlighting the group's current stability and performance. Strategic Expansion: Minister Herath formally invited AIA Group to further expand its footprint in the country, emphasizing growth in the financial services and insurance sectors. Economic Context: The discussion underscores the government's push for increased foreign direct investment (FDI) and the strengthening of the banking and finance landscape to support national recovery. _Note: Based on official government meeting briefings dated March 10, 2026._
📈 Maharaja Foods Rights Issue Oversubscribed by 197%
Maharaja Foods PLC has successfully concluded its Rights Issue, raising Rs. 112.5 Mn after receiving overwhelming demand from shareholders. The issue was significantly oversubscribed, with total applications reaching 24.72 million shares against the 12.5 million shares offered. • Key Figures Issue Price: Rs. 9.00 per share (1-for-10 basis). Current Market Price: Rs. 13.30 (as of March 6, 2026). Total Subscriptions: 24,723,629 shares (Entitlements: 12.33 Mn; Additional: 12.39 Mn). • Strategic Fund Allocation Retail Expansion: Rs. 47.5 Mn to establish a SPAR–Maharaja SaveMore outlet in Kotahena (setup and inventory). Debt Reduction: Rs. 50.0 Mn to settle loans and overdrafts with HNB, aimed at lowering finance costs. Product Innovation: Rs. 15.0 Mn to launch a new range of ready-made rice and curry mixes, targeting the growing ready-to-eat and instant food market. The successful capital raise supports the company’s push into high-growth food processing and retail segments while strengthening its balance sheet. _Note: Based on company disclosures as of March 9, 2026._
CEB Restructuring: Six Successor Companies to be Established from March 9 📈
The Minister of Energy has issued a Gazette Extraordinary to officially restructure the Ceylon Electricity Board (CEB), effective March 09, 2026. This move transitions the state utility into a new era of power sector management under the Sri Lanka Electricity Act, No. 36 of 2024. • New Structure: The CEB’s functions will be unbundled into six successor companies. These entities will independently manage electricity generation, transmission, distribution, and system operations. • Regulatory Milestones: The transition follows the completion of the Preliminary Transfer Plan (Jan 2026) and Cabinet approval of the National Electricity and Tariff Policies (March 2026). • Operational Planning: Key technical frameworks, including the Long Term Generation Expansion Plan and the Annual Power Procurement Plan, were finalized in February 2026 to ensure a smooth handover. • Economic Impact: This restructuring aims to modernize Sri Lanka's energy infrastructure, improve operational efficiency, and create a more transparent framework for utility management and tariff setting. The move marks the formal commencement of transferring assets and duties from the legacy CEB to the new corporate entities.
HNB General Insurance Hits Record Rs. 11 Bn GWP in 10 Years 📈
HNB General Insurance (HNBGI) has become the fastest Sri Lankan general insurer to reach the Rs. 11 billion Gross Written Premium (GWP) milestone within a decade of operations, surpassing industry growth rates. • Overall Performance: Recorded a GWP of Rs. 11.0 Bn for 2025, reflecting a robust 21% growth YoY, significantly outpacing the industry average of 15%. The company moved up to 6th place in the national market rankings. • Sector Breakdowns: • Motor: Grew by 25% to Rs. 6 Bn. • Fire: Surged by 27% to reach Rs. 2.4 Bn. • Miscellaneous: Contributed Rs. 2.2 Bn. • Marine: Increased by 16% to Rs. 378 Mn. • Claims & Resilience: Demonstrated strong financial reliability by committing Rs. 2.5 Bn for Ditwah cyclone-related claims and paying an additional Rs. 4.7 Bn across other segments. • Financial Position: Total Assets grew by 31% to Rs. 13.38 Bn. The Capital Adequacy Ratio stands at 190%, well above regulatory requirements. Fitch Ratings recently upgraded the company’s insurer financial strength rating from A-(lka) to A (lka). • Strategic Milestone: The firm maintained a 5-year Compound Annual Growth Rate (CAGR) of 17.1% and is currently preparing for full SLFRS 17 adoption in 2026.
📈 Hardy Jamaldeen Acquires 7% Stake in Softlogic Finance; Stock Moves to Main Board
Investor Hardy Jamaldeen has acquired a ~7% stake in Softlogic Finance PLC for over Rs. 325 million, signaling renewed market interest as the company transitions back to the CSE Main Board today. • Transaction Highlights: Hardy purchased 65.38 million shares (6.79%) at Rs. 5.00 per share from Softlogic Capital PLC. The parent group's total holding subsequently reduced from 92.41% to 84.10%. • Market Reaction: The trade triggered significant retail interest, driving the share price to a high of Rs. 7.10 before closing at Rs. 6.50. The transaction accounted for 9% (Rs. 654 million) of the day's total market turnover. • Regulatory & Board Move: The company moved from the Diri Savi Board to the Main Board today after meeting minimum public holding requirements. This follows a capital restructuring to offset retained losses against stated capital. • Financial Performance: - Profitability: Reported a 3Q FY26 profit of Rs. 5 million (up from Rs. 4.2 million YoY), though 9-month profits dipped to Rs. 12.4 million from Rs. 42 million. - Solvency: Core capital remains above the Rs. 2.5 Bn regulatory threshold. The Capital Adequacy Ratio stands strong at 51.69%, significantly above the 12.5% requirement. - Credit Rating: Obtained a ‘B’ rating from Lanka Rating Agency, its first in three years. • Outlook: With CBSL lifting all lending and deposit caps in late 2025, analysts expect improved performance for the financial services provider in FY27.
CEB Reports Rs. 29.15 Bn Loss in 2025 Q4 📈
The Ceylon Electricity Board (CEB) has posted a significant financial downturn for the final quarter of 2025, reflecting a sharp shift in the state utility's profitability. • Quarterly Performance (Q4 2025): Recorded a net loss of Rs. 29.15 Bn for the quarter ended 31 December 2025. This represents a 4,929% decline compared to the Rs. 603 Mn profit reported in Q4 2024. • Annual Results (Full Year 2025): The total annual loss reached Rs. 38.73 Bn. This follows a highly profitable 2024, where the utility recorded a surplus of Rs. 141.60 Bn. • Economic Context: The reversal highlights ongoing volatility in the energy sector, impacting national fiscal stability and the broader power & infrastructure landscape. _Note: Based on latest financial statements as of March 2026._
📈 Fintrex Finance Reports Massive 352% Surge in 9-Month PAT
Fintrex Finance PLC has announced exceptional results for the nine months ending December 31, 2025, driven by strong operational momentum and successful income diversification. • Overall Profitability: Year-to-date Profit After Tax (PAT) soared to Rs. 478 Mn, a 352% YoY increase. Earnings Per Share (EPS) jumped to Rs. 2.02 from Rs. 0.45. • Revenue Performance: Gross income rose 79% to Rs. 4.80 Bn. Net Interest Income (NII) surged 91% to Rs. 2.38 Bn, supported by a 61% growth in interest income and effective asset-liability management. • Income Diversification: Net fee and commission income saw a remarkable 422% YoY growth to Rs. 667.6 Mn, highlighting a shift toward non-interest-based revenue. • Balance Sheet & Assets: Total assets grew 37% to Rs. 29.8 Bn. Loans and advances expanded by 68%, while customer deposits increased 19% to Rs. 11.6 Bn. • Strategic Growth: The company is advancing its digital footprint with a new mobile banking app and targeted financing for SMEs and students. Capital was bolstered via a Rs. 500 Mn Tier II certificate issuance and a rights issue. • Stability: Impairment provisions increased in line with loan growth using conservative IFRS 9 overlays to ensure long-term resilience.
JXG Reports Strong 9-Month Growth with Rs. 3.2 Bn Profit 📈
Janashakthi Group (JXG) delivered a resilient performance for the nine months ended 31 December 2025 (Q3 FY26), driven by its integrated financial services portfolio. • Overall Group Performance: Consolidated Revenue: Rs. 21.9 Bn (up 19.2% YoY). Net Profit After Tax (PAT): Rs. 3.2 Bn, surpassing the Rs. 2.9 Bn recorded in the previous year. Total Assets: Stood at Rs. 163 Bn, reflecting a strengthened balance sheet. • Sector & Subsidiary Breakdown: Investment Banking (First Capital): Contributed Rs. 11.4 Bn to revenue. While mark-to-market gains moderated, the stockbroking arm saw PAT surge to Rs. 166 Mn from Rs. 39 Mn YoY. Insurance (Janashakthi Insurance): Reported a PAT of Rs. 3.4 Bn for the full year. Gross Written Premiums rose 31% to Rs. 8.7 Bn, with a significant 67% growth in New Business Premiums. Finance (Janashakthi Finance): PAT reached Rs. 240 Mn. The lending portfolio showed high traction with 49% YoY growth, pushing Net Operating Income up by 35% to Rs. 2.2 Bn. • Strategic Outlook: The Group attributes its success to a disciplined "portfolio approach" and scalable platforms. Management remains confident for the final quarter of FY26, focusing on capital allocation and risk management to sustain momentum across its banking, insurance, and leasing interests.
📈 Ceylinco Life Secures 22nd Year of Market Leadership with Rs. 44.18 Bn Premium
Ceylinco Life has maintained its dominant position in Sri Lanka’s life insurance sector for the 2025 financial year, posting strong growth across all key financial metrics and crossing the Rs. 200 Bn Life Fund milestone. • Core Financial Performance • Gross Written Premium (GWP): Rs. 44.18 Bn (↑ 18.96% YoY) • Total Consolidated Income: Rs. 72.43 Bn (↑ 10.51% YoY) • Net Profit After Tax: Rs. 7.85 Bn (↑ 10.97% YoY) • Profit Before Tax: Rs. 11.21 Bn (↑ 11.5% YoY) • Asset Base & Stability • Total Assets: Rs. 287.02 Bn (↑ 14.15%), growing at an average of Rs. 2.9 Bn per month. • Life Fund: Milestone reached at Rs. 201.81 Bn (↑ 11.56%). • Investment Portfolio: Expanded to Rs. 253.43 Bn (↑ 13.9%). • Policyholder & Shareholder Value • Benefits Paid: Rs. 31.07 Bn in net claims and benefits (↑ 24.06% YoY). • Shareholder Equity: Increased to Rs. 67.8 Bn. • Earnings Per Share (EPS): Rs. 156.94. The results underscore the resilience of the financial services industry and Ceylinco Life’s ability to maintain high trust levels, reflected in its 19th consecutive "People’s Life Insurance Service Provider" award. The company continues to play a vital role in national risk mitigation and long-term capital formation.
Fitch Assigns 'AAA(lka)' Rating to Hayleys Rs. 7 Bn Debentures 📈
Fitch Ratings has assigned a National Long-Term Rating of 'AAA(lka)' to Hayleys PLC’s proposed Rs. 7 billion unsecured senior redeemable debentures, reflecting the group's dominant market position and diversified revenue streams. • Financial Performance & Outlook Revenue Growth: Projected to rise by 19% in FY26, driven by consumer and retail, hand protection, and purification sectors. Margins: EBITDA margin expected at 10% for FY26 (slight dip from 11% in FY25) due to textiles export softening and US tariff pressures, with recovery to 11% forecast for FY27. Leverage: Net leverage (EBITDAR) expected to steady at 3.0x–3.5x for FY26-FY28. • Sector & Market Highlights Export Strength: Direct and indirect exports accounted for 53% of FY25 revenue; 15% stems from US/EU markets. Purification: Global leader in coconut shell-based activated carbon; 45% of capacity is located in Thailand and Indonesia. Hand Protection: Manufacturing operations in Thailand leverage the world’s largest natural rubber source. Agriculture & Tea: Holds a leading supplier position in Sri Lanka’s tea export and plantation industries. • Strategic Liquidity Capex: Planned annual investment of ~Rs. 20 billion for capacity expansion. Rights Issue: Rs. 9 billion expected in FY26 to finance new investments and debt repayment. Liquidity: Supported by Rs. 55 billion in unrestricted cash and strong access to domestic banking capital.
📈 Sierra Cables Reports Robust Growth and Global Expansion
Sierra Cables PLC has demonstrated a strong financial resurgence for the nine months ended 2025, driven by strategic oversight under Browns Investments and a focus on high-standard manufacturing. • Overall Financial Performance Revenue: Rs. 12 Bn (↑ 68% YoY from Rs. 7 Bn) Operating Profit: Rs. 2.5 Bn (↑ 70% YoY) Net Profit: Rs. 2.1 Bn (↑ 105% YoY) Earnings Per Share: Increased to Rs. 3.88 from Rs. 1.89 • Sector & Market Highlights Export Leadership: Named "Best Sri Lankan Brand Exporter" in the Electronic and Electrical Products sector. US Market Access: Remains the only Sri Lankan cable manufacturer certified to the UL 44 standard, enabling supply to the highly regulated United States market. International Footprint: Expanding reach through operations in Zambia (Browns Manufacturing Ltd) and Fiji (Cables PTE Ltd). Infrastructure Impact: Primary supplier for major local projects including Cinnamon Life at City of Dreams and the Thambuttegama Water Supply Project. • Strategic Factors Financial Discipline: Net finance costs fell 29% to Rs. 101 Mn, aided by exchange gains from export growth. Credit Rating: Maintained an A+ (lka) national rating with a stable outlook from Fitch Ratings. Innovation: Investing in specialized solutions for renewable energy and fire-resistant cables for critical infrastructure. The company’s performance reflects a structural shift toward global competitiveness, balancing domestic market depth with a diversified international presence.
### Amana Bank Records Best-Ever Performance in 2025 📈
Amana Bank achieved its highest profitability since inception in 2025, driven by robust growth in the SME sector and core financing activities. Financial Highlights • Profitability: Profit Before Tax (PBT) surged 47% YoY to Rs. 4.1 Bn, while Profit After Tax (PAT) rose 40% to Rs. 2.4 Bn. • Efficiency: Return on Equity (ROE) reached double digits for the first time at 10.4% (vs. 8.0% in 2024). The Cost-to-Income ratio improved to 51.8%. • Income: Total Operating Income grew 16% to Rs. 10.1 Bn, supported by a 21% rise in Net Financing Income. Lending & Asset Quality • Advances: Customer advances grew by 36% (Rs. 39.6 Bn) to reach Rs. 150.9 Bn, focusing heavily on SMEs to support the national economy. • Asset Quality: Maintained an industry-leading Stage 3 Impaired financing ratio of just 1.2%. • Assets & Deposits: Total Assets grew 12% to Rs. 204.3 Bn, while deposits rose to Rs. 172 Bn with a strong CASA ratio of 45%. Stability & Shareholder Value • Capital Position: Total Capital Ratio stood at 14.7%, comfortably above the 12.5% regulatory requirement. • Dividends: Declared its 8th consecutive interim dividend of Rs. 1.30 per share (4.3% yield). • Global Standing: Recognized among the Top 50 Strongest Islamic Banks globally by The Asian Banker. New Appointment • Board Expansion: Appointed Dr. Aishath Muneeza, a global expert in Islamic finance and former Maldives Deputy Minister, as an Independent Non-Executive Director. _Note: Based on audited FY 2025 financial data._
📈 Pan Asia Bank to Raise Rs. 5 Bn via Debenture Issue
• Pan Asia Banking Corporation PLC has received Board approval to raise up to Rs. 5 billion through a listed, rated, unsecured, senior, redeemable debenture issue. • Issue Details: The bank plans to issue up to 50 million debentures at a face value of Rs. 100 each. • Tenor & Listing: The proposed instruments will carry tenors of up to five years and are intended to be quoted on the Colombo Stock Exchange (CSE). • Status: The move is subject to necessary regulatory approvals following the Board's decision on 26 February 2026. • Context: This capital raising initiative supports the banking & financial services sector's liquidity and long-term funding structures within the Sri Lankan economy. _Note: Based on official bank disclosure dated 03 March 2026._
📈 Union Bank to Raise Rs. 3 Bn via Basel III Debenture Issue
Union Bank of Colombo PLC has announced a strategic debenture issue scheduled to open on 10 March 2026, aiming to raise up to Rs. 3 Billion to strengthen its Tier II capital base. • Issue Details The offering consists of Basel III compliant, listed, rated, unsecured, and subordinated redeemable debentures with a 5-year tenure (2026–2031). The instrument is rated BB (lka) by Fitch Ratings. • Investment Structure Investors can choose from three distinct types priced at Rs. 100 per unit: Type A: 13% fixed rate p.a. (paid annually). Type B: 12.5% fixed rate p.a. (paid semi-annually; 12.89% AER). Type C: Floating rate of 182-day T-Bill rate + 400 bps (paid semi-annually). • Capital Allocation The initial issue is for 20 million debentures (Rs. 2 Bn), with an option to issue an additional 10 million (Rs. 1 Bn) at the bank's discretion. Funds are earmarked to bolster capital adequacy and fuel long-term growth initiatives within the banking and financial services sector. • Key Parties The issue is managed by First Capital Advisory Services Ltd as the Managers and Placement Agents.
📉 LB Finance Withdraws Proposed Rs. 10 Bn Debenture Issue
• LB Finance PLC has officially decided not to proceed with its previously announced listed debenture issue, which aimed to raise up to Rs. 10 billion. • The decision follows an internal assessment by the Board of Directors, effectively cancelling the plans communicated in October and December 2025. • The proposed issuance consisted of listed, rated, unsecured, senior, redeemable debentures, a move typically intended to strengthen capital bases or fund lending growth in the non-banking financial institution (NBFI) sector. • This withdrawal reflects a shift in the company's capital mobilization strategy, though specific reasons for the board's decision were not disclosed in the statement.
SLT Group Reports Surge in FY 2025 Profitability Amid Cost Efficiency 📈
The SLT Group has recorded a massive turnaround for the financial year ended 31 December 2025, driven by disciplined expense management and a significant reduction in finance costs. • Overall Group Figures • Profit After Tax (PAT): Rs. 10.0 Bn (+221% YoY) • Revenue: Rs. 114.2 Bn (+3% YoY) • Operating Profit: Rs. 14.2 Bn (+27% YoY) • Finance Costs: Reduced by 21% to Rs. 7.05 Bn due to debt settlement and lower interest rates. • Sector Breakdowns • SLT PLC (Fixed): Revenue grew 2% to Rs. 73 Bn. PAT surged 196% to Rs. 6.2 Bn, bolstered by FTTH (Fiber-to-the-Home) adoption and strong demand in the SME and government sectors. • Mobitel (Mobile): Reported a stellar 2,123% increase in PAT to Rs. 3.1 Bn. Growth was fueled by data consumption and a transition to a profit-based tax regime. • Strategic Highlights • ICT/BPM & Digital Infra: Expansion of fiber networks supported key national projects like the Lanka Government Network. • 5G Leadership: Strategic spectrum acquisition positions Mobitel as the leader in high-speed connectivity. • National Resilience: Successfully restored 98% of network sites within one week following Cyclone Ditwah. • Q4 Momentum • Group PAT for the final quarter rose 51% YoY to Rs. 3.5 Bn, maintaining strong momentum heading into 2026.
📈 SalamAir Suspends International Operations Amid Regional Developments
Oman’s budget carrier, SalamAir, has announced a temporary 24-hour suspension of all international flights and its Masirah service, effective 28 February 2026. • Current Status: All international routes are halted for a minimum of 24 hours. • Reasoning: The airline cited the "evolving situation in the region" as a precautionary measure, prioritizing the safety of passengers and crew. • Impact: The suspension affects regional connectivity, including routes vital for labor migration and tourism sectors linked to the Middle East. • Next Steps: Operations are under constant monitoring; affected passengers are being contacted directly for rebooking or travel arrangements. _Note: This summary is based on provisional operational updates released on 28 February 2026._ ---
Janashakthi Life Surges in 2025 with Rs 3.42 Bn Net Profit 📈
Janashakthi Life (JXG) reported robust financial results for the year ended December 2025, driven by aggressive expansion in the insurance sector and digitized distribution. • Financial Performance: Recorded a Net Profit after Tax of Rs 3.42 Bn and a Profit Before Tax of Rs 3.95 Bn, reflecting strong underwriting and operational re-engineering. • Premium Growth: Total Gross Written Premiums (GWP) rose by 31% to Rs 8.65 Bn. Notably, New Business saw a significant 67% growth. • Asset Base & Stability: Total assets grew by 6% to Rs 40.3 Bn. The company maintained its commitment to policyholders, settling Rs 3.6 Bn in claims and benefits during the year. • Strategic Outlook: The company remains focused on capital efficiency and market reach, leveraging the strength of the Janashakthi Group to scale its financial services footprint.
Union Bank Doubles PAT in Milestone FY2025 Performance 📈
Union Bank of Colombo PLC has reported a standout financial year, driven by strategic transformation and aggressive growth in its loan portfolio. • Overall Profitability: Group Profit Before Tax (PBT) reached LKR 2.2 Bn, while Profit After Tax (PAT) doubled to LKR 660 Mn. Total Assets grew 19% to LKR 184.8 Bn. • Revenue Streams: Gross Income surged to LKR 18.2 Bn. This was supported by a Net Interest Income (NII) of LKR 5,638 Mn and a Net Fee and Commission Income of LKR 1,545 Mn. • Lending & Deposits: The Net loan portfolio climbed 36% YoY to LKR 110.8 Bn, significantly outpacing industry averages. The deposit base saw a 15% increase, reaching LKR 118.8 Bn. • Sector Focus: The bank emphasized its role in the SME sector as a catalyst for economic growth, alongside a "digital-first" philosophy to expand accessibility. • Stability: Maintained a healthy Total Capital Ratio of 13.2%, remaining well above regulatory requirements. The Group's performance, including subsidiaries UB Finance PLC and National Asset Management Ltd, reflects structural improvements following the entry of new investment.
📈 HNB Assurance Reports Record 42% GWP Growth in 2025
HNB Assurance PLC has posted a standout financial performance for the year ended 31 December 2025, driven by the industry's highest growth in Life Insurance premiums and renewals amid stabilizing macroeconomic conditions. • Overall Revenue & Profit Gross Written Premium (GWP): Rs. 19.49 Bn (+42% YoY) Net Written Premium: Rs. 18.44 Bn (+43% YoY) Profit After Tax (PAT): Rs. 2.12 Bn (+28% YoY) Profit Before Tax (PBT): Rs. 3.03 Bn (+28% YoY) • Asset Management & Investments Total Assets: Rs. 68.44 Bn (+28% YoY) Financial Investments: Rs. 62.49 Bn (+29% YoY) Life Insurance Fund: Rs. 48.87 Bn (+27% YoY) Investment Income: Rs. 7.49 Bn (+10% YoY) • Shareholder Value & Market Performance Earnings Per Share (EPS): Rs. 14.15 (+28% YoY) Return on Equity (ROE): Increased to 18.5% (up from 16.9% in 2024) Proposed Dividend: Rs. 5.00 per share (+28% YoY) Market Capitalization: Rs. 17.21 Bn (+43% YoY) The company’s growth, fueled by strong New Business generation and Renewals, underscores its resilience as the insurance sector continues to benefit from renewed financial confidence and a more predictable policy environment. _Note: Data based on reported financial results for the year ended 31 December 2025._
## ✈️ Cabinet Approves € 9.63 Mn Ground Handling Contracts for SriLankan Airlines
The Cabinet of Ministers has greenlit two major international service contracts for SriLankan Airlines operations at Paris Charles de Gaulle Airport (CDG), France, totaling € 9.63 million over a three-year period. • Passenger & Ramp Handling: A € 7.73 million contract awarded to Groupe Europe Handling. The service agreement is set to commence on 1 April 2026. • Cargo & Warehouse Handling: A € 1.90 million contract awarded to France Handling Cargo. Operations under this contract are scheduled to begin on 1 February 2026. • Strategic Context: These awards, recommended by the Standing High-Level Procurement Committee, ensure the national carrier’s operational continuity in a key European hub, supporting tourism and logistics connectivity. • Contract Duration: Both agreements are fixed for a duration of three years.
Bank of Ceylon (BOC) Hits Record Rs. 120.8 Bn PBT in 2025 📈
The banking giant concluded FY2025 with landmark growth, driven by digital innovation and a historic shift toward sustainable finance. • Core Financial Highlights Profit After Tax (PAT): Rs. 76.0 Bn (+18% YoY). Profit Before Tax (PBT): Rs. 120.8 Bn. Total Assets: Rs. 5.5 Tn (+10% YoY). Total Deposits: Rs. 4.4 Tn. Gross Loans: Rs. 2.6 Tn. • Revenue & Efficiency Total Operating Income: Rs. 246.8 Bn (+36% YoY). Net Interest Income (NII): Rs. 206.9 Bn (+24% YoY). Net Interest Margin (NIM): Improved to 3.96% from 3.57%. Stage 3 Loan Ratio: Improved significantly to 5.59% (vs 7.17% in 2024). • Key Milestones & Impact Sustainability: Issued Sri Lanka’s largest Sustainability Bond (Rs. 20 Bn) to fund renewable energy, SMEs, and sustainable agriculture. National Contribution: Total tax contribution to the Govt. reached Rs. 76.7 Bn; donated Rs. 500 Mn to the "Rebuilding Sri Lanka" Fund following Cyclone Ditwah. Innovation: Launched a dedicated ICT subsidiary and the country's first biodegradable corn-based banking card. • Stability & Ratings Capital Adequacy: Tier 1 ratio at 11.44%; Total Capital Ratio at 16.89%. Fitch Rating: Affirmed National Long-Term Rating at 'AA-(lka)'. BOC remains Sri Lanka's No. 1 Brand with a valuation of Rs. 57.4 Bn, focusing 2026 strategies on digital transformation and green growth.
📈 People’s Bank Achieves Historic Rs. 40.2 Bn Profit
People’s Bank has reported its strongest financial performance to date for the year ended 31 December 2025, marked by record-breaking profit and asset growth despite external challenges such as Cyclone Ditwah. • Overall Figures: Standalone Profit After Tax (PAT) reached an all-time high of Rs. 40.2 Bn. Consolidated Group PAT stood at Rs. 43.5 Bn. Group total assets surpassed a historic Rs. 4 Tn milestone. Total loans and advances for the Group reached Rs. 2 Tn. • Key Financial Indicators: Operating income rose by 32.5% to Rs. 165.8 Bn. Net Interest Income (NII) grew 32.8% to Rs. 142.4 Bn. Net Interest Margin (NIM) improved to 4.1% (from 3.4% in 2024). Rupee Liquidity Coverage Ratio maintained at a robust 263.3%. • Sector & Strategic Highlights: Shift in operating model to expand private-sector business alongside traditional roles. Significant progress in ICT/Digital Banking with over 4 million subscribers on digital platforms. Continued focus on MSMEs and grassroots entrepreneurship to drive financial inclusion and national economic progress. Maintained strong capital buffers with a Total Capital Adequacy Ratio of 16.5%, well above regulatory requirements.
Commercial Bank Makes History: First Private Lender to Cross Rs. 2 Tn Loan Mark 📈
Commercial Bank of Ceylon (ComBank) achieved a historic milestone in 2025, recording the highest annual loan growth in its history to spearhead Sri Lanka’s private sector banking and finance recovery. • Overall Performance Gross loans and advances surged by 36.37% (Rs. 541 Bn) to reach Rs. 2.028 Tn. Total assets climbed to Rs. 3.258 Tn, reflecting a 16.78% increase YoY. Net profit for the Bank stood at Rs. 58.49 Bn, a 44.05% growth over 2024's normalized figures. • Deposit & Liquidity Trends Total deposits grew by 16.65% to Rs. 2.6 Tn, averaging over Rs. 30 Bn in monthly inflows. The CASA ratio—a key indicator of low-cost funding—improved to 39.65%. Net Interest Income (NII) rose by 18.97% to Rs. 136.29 Bn. • Asset Quality & Operations Net impaired loans (Stage 3) ratio improved significantly to 1.54% from 2.76% YoY. The Bank remains a top lender to the SME sector and a major foreign income generator via operations in Bangladesh and the Maldives. Tier 1 and Total Capital Ratios remained robust at 13.04% and 16.70% respectively, well above regulatory requirements. • Efficiency Cost-to-income ratio (excluding taxes) improved to 29.66% from 33.94%. Net assets value per share increased to Rs. 198.30. I can provide a more detailed breakdown of the Bank's digital banking growth or its SME lending impact if you'd like.
Seylan Bank Achieves Record LKR 12.1 Bn Profit in 2025 📈
Seylan Bank has reported its highest-ever annual performance for the financial year ended 31 December 2025, driven by strong growth in lending and significant improvements in asset quality. • Overall Financial Performance • Profit After Tax (PAT): LKR 12.1 Bn (↑ 20.5% YoY) • Profit Before Tax (PBT): LKR 19.6 Bn (↑ 22.3% YoY) • Total Assets: LKR 921 Bn (↑ 18% YoY) • Earnings Per Share (EPS): LKR 19.05 (vs LKR 15.81 in 2024) • Revenue & Operations • Net Interest Income: LKR 38.3 Bn (↑ 4.21%) amid a moderated Net Interest Margin of 4.50%. • Net Fee-Based Income: LKR 8.3 Bn (↑ 16.34%), bolstered by cards, remittances, and trade services. • Total Operating Income: LKR 48.1 Bn (↑ 13.0%). • Operating Expenses: LKR 21.4 Bn (↑ 8.53%), primarily due to personnel costs. • Stability & Asset Quality • Impaired Loans (Stage 3) Ratio: Improved significantly to 1.03% (from 2.10% in 2024). • Stage 3 Provision Cover: 86.33%, among the highest in the banking sector. • Total Capital Adequacy Ratio: 17.89%, well above regulatory requirements. • Return on Equity (ROE): 15.89%. • Growth Drivers • Loans and Advances grew by LKR 137 Bn to reach LKR 600 Bn. • Customer Deposits increased by LKR 86 Bn to LKR 733 Bn. • Successfully raised LKR 15 Bn via Basel III compliant debentures in July 2025. _Note: Ratings upgraded by Fitch to 'A+(lka)' with a Stable Outlook during the year._
📈 HNB Reports Record Growth and Rs 49.8 Bn Group PAT in 2025
HNB Group demonstrated strong financial resilience in 2025, driven by record credit expansion and improved asset quality despite the impact of Cyclone Ditwah. • Financial Performance Summary: • Group Profit After Tax (PAT): Rs 49.8 Bn. • Bank PAT: Rs 45.4 Bn. • Total Tax Contribution: Rs 48.4 Bn. • Proposed Dividend: Rs 20.00 per share. • Balance Sheet Highlights: • Gross Loans & Advances: Crossed Rs 1.5 Tn (+Rs 354 Bn), the largest annual increase in HNB’s history. • Total Deposits: Reached Rs 1.96 Tn (+Rs 246 Bn), supported by strong CASA mobilization. • Total Assets: Expanded 15% YoY to Rs 2.39 Tn. • Sector & Operational Insights: • Digital Banking: Net Fee and Commission Income surged 28.9% YoY, fueled by card usage and digital transactions (HNB Solo, TradeX). • Trade Finance: Emerged as a key contributor following the reopening of vehicle imports and increased trade activity. • Net Interest Income: Declined marginally by 0.6% due to lower market rates and an accommodative monetary policy. • Exchange Income: Recovered to Rs 6.3 Bn (from a loss of Rs 2.9 Bn in 2024). • Asset Quality & Capital: • Net Stage 3 Ratio: Improved significantly to 1.09% (vs 1.88% in 2024). • Provisioning: Includes Rs 2.2 Bn in post-model adjustments for climate risk related to Cyclone Ditwah. • Capital Adequacy: Total CAR stood robust at 19.95%, well above regulatory requirements.
NDB Reports All-Time High Earnings with 2x Growth in Normalised PAT 📈
The National Development Bank PLC (NDB) announced record performance for 2025, driven by a surge in core banking operations and significant improvements in asset quality. • Overall Profitability Normalised Profit After Tax (PAT): Rs. 11.0 Bn, representing a nearly two-fold (100%) growth on a comparable basis (excluding 2024’s one-off ISB debt restructure impact). Net Banking Revenue: Increased by 45.2% on a comparable basis. Return on Equity (ROE): Improved to 13.5% for the full year, peaking at 16.4% in 2H 2025. • Lending & Deposits Net Loans: Expanded by 26.7% to Rs. 593.6 Bn (normalised basis). Total Deposits: Grew by 10.4% to Rs. 707.2 Bn (normalised basis). CASA Ratio: Improved to 23.9% from 22.5% in 2024. • Sector Highlights & Operations SME Sector: Credit to Small and Medium Enterprises expanded by over 25.0%, supporting national economic revival. Fee Income: Rose 14.3% to Rs. 8.1 Bn, led by digital banking, trade finance, and cards. Credit Costs: Declined by 57% to Rs. 5.7 Bn due to better recoveries; Stage 3 loan ratio improved to 10.8% (from 14.0%). • Stability & Shareholder Value Statutory Ratios: Total CAR at 15.9% and Liquidity Coverage Ratio (LKR) at 257.3%, well above regulatory minimums. Earnings Per Share (EPS): Rs. 25.90 (up from a normalised Rs. 13.30 in 2024). Net Asset Value: Increased to Rs. 201.51 per share. _Note: Comparisons exclude one-off impacts from the 2024 ISB debt restructuring for a normalised view of core performance._
📈 Hayleys PLC to Raise Rs. 7 Billion via Debenture Issue
Hayleys PLC has announced plans to raise up to Rs. 7 billion through a listed, rated, unsecured, senior, redeemable debenture issue on the Colombo Stock Exchange (CSE). • Issue Details: Initial offer of 50 million debentures at Rs. 100 each, with an option to issue an additional 20 million debentures at the discretion of the company. • Total Capital: The company aims to raise a maximum of Rs. 7 billion to strengthen its capital position or address corporate requirements (based on provisional board approval). • Regulatory Status: The issue is currently subject to necessary regulatory approvals; details regarding tenure and interest rates are to be announced in due course. • Market Reaction: Hayleys PLC shares remained stable, ending at Rs. 239 prior to the announcement.
CEB Engineers Launch Token Strike Over Restructuring ⚡
The Ceylon Electricity Board (CEB) Technical Engineers and Superintendents Association, supported by 24 trade unions, will stage a six-hour token strike today (Feb 26) from 12:00 PM to 6:00 PM. • Core Grievances: Unions allege authorities failed to meet eight key demands regarding the energy sector restructuring process. They specifically oppose the gazetting of the CEB's dissolution into six new subsidiary entities without fulfilling prior employee assurances. • Operational Impact: • No routine maintenance or repair work will be conducted during the strike window. • Union leaders warned that system safety requirements could necessitate shutting down sections of the national power grid. • Essential services including Parliament, the National Hospital, the Ministry of Defence, and the ongoing international cricket tournament are exempted from disruptions. • Economic Context: Treasury Secretary Dr. Harshana Suriyapperuma recently labeled the CEB restructuring as the government's "flagship reform" during talks with ISB bondholders. • Future Outlook: Unions have signaled an escalation to further industrial action without notice if the Government proceeds with the restructuring gazette without addressing outstanding concerns.
Gapstars Group Launches Scale Up 2026 Marking 10 Years of Tech & Finance Growth 📈
• Scale Up 2026 Summit: The 10th-anniversary event in Colombo brought together over 50 global partners, including leading European technology and finance organizations, to focus on AI workshops and agile collaboration. • Strategic Expansion: Formally launched the Gapstars Group, integrating its established technology vertical with a newly expanded finance capability. This embeds Sri Lankan professionals into European firms for reporting, compliance, and forecasting. • Sector Impact: • ICT/BPM: The event transitioned from proving the distributed engineering model to scaling it, highlighting Sri Lanka’s technical depth and communication maturity. • Finance & Accounting: Formalized a vertical where Sri Lankan teams operate at the "heart" of international partner organizations rather than as simple support functions. • Key Recognition: UK-based brand Brompton was named Partner of the Year, emphasizing the high level of ownership and architectural contribution provided by its Sri Lankan engineering team. • Economic Outlook: The milestone marks a shift toward deeper AI integration and high-performance global collaboration, positioning Sri Lanka as a strategic hub for permanent hybrid work models and international enterprise systems.
Record Performance and Strategic Expansion: DFCC Bank Delivers Landmark 2025 📈
DFCC Bank reported record-breaking financial results for the year ended 31 December 2025, driven by aggressive loan growth and a transformative acquisition. • Profitability & Growth • Bank Profit After Tax (PAT) reached LKR 16 Bn (including a gain from the disposal of Acuity Partners). • Group PAT from continuing operations rose 32% YoY to LKR 11.23 Bn. • Total Assets grew by 22% to LKR 857 Bn, while the loan portfolio surged 31% to LKR 516 Bn. • Strategic Milestones • Signed a binding agreement to acquire the Wealth and Retail Banking operations of Standard Chartered Bank Sri Lanka for LKR 3.7 Bn, significantly scaling its retail franchise. • Issued Sri Lanka’s first listed Blue Bond (LKR 3 Bn), which was oversubscribed, targeting sustainable marine and water-related projects. • Sector & Operational Highlights • Net Fee and Commission Income jumped 48% to LKR 7.3 Bn, fueled by remittances, trade, and credit cards. • Asset quality improved with the Stage 3 impaired loan ratio dropping to 4.55% (from 5.63%). • Strong liquidity maintained with a Total Capital Adequacy Ratio of 15.93% and a 20% growth in the CASA portfolio. • Shareholder Returns • Final dividend of LKR 7.50 per share approved (LKR 2.50 cash and LKR 5.00 scrip), representing a 32% payout ratio.
Amana Takaful Life’s Gold Fund Surges 32.4% in 2025 📈
Amana Takaful Life PLC announced exceptional 2025 performance for its unit-linked investment funds, led by its unique gold-backed offering amid market volatility. • Overall Fund Performance: The flagship Gold Investment Fund (GIF) recorded a standout 32.4% annual return. Amana Takaful Life remains Sri Lanka's only life insurer providing a dedicated fund for gold-backed investments, combining wealth growth with life protection. • Sector & Fund Breakdown: Equity-linked options also showed strong momentum, supporting national financial inclusion through diverse risk-profile products: Growth Multiple Fund (GMF): 23.5% return. Volatile Multiple Fund (VMF): 23.6% return. Stable & Protected Funds: Continued to provide steady, low-risk growth for conservative policyholders. • Strategic Flexibility: Policyholders benefited from the ability to switch between funds as market outlooks changed, enhancing personal wealth management. CEO Gehan Rajapaksha noted the results reflect a customer-centric design that prioritizes long-term value in a dynamic economic environment. • Industry Context: The performance highlights the rising demand for alternative asset classes like gold as a hedge against inflation and economic shifts.
## 📈 Commercial Bank Signals Stability Through Prudent Risk Philosophy
Commercial Bank of Ceylon PLC has reaffirmed its commitment to a conservative yet adaptive risk management framework, positioning it as a cornerstone for long-term resilience amid economic volatility. • Core Strategy The bank operates on a "prudent risk profile," which emphasizes disciplined underwriting and forward-looking assessments rather than risk avoidance. This approach integrates risk management into active decision-making rather than treating it as a back-end function. • Credit Risk & Asset Quality • Credit Risk Management: Central to stability, the bank uses a "Michelin-starred" approach—blending quantitative science with qualitative judgment. • Early Warning Signals: Employs predictive analytics to detect borrower stress early, preventing a rise in non-performing exposures. • Portfolio Growth: Achieved growth exceeding industry averages while simultaneously improving asset quality through transparent, objective underwriting. • Modernization & Innovation • Data-Driven Lending: Leverages advanced analytics and internal risk models while maintaining "Human in the Loop" governance. • Stress Testing: Regular assessments of interest rates, exchange rates, and GDP fluctuations inform strategic capital allocation. • Cybersecurity: Proactively strengthens data governance and incident-response protocols to match the rapid digitalization of banking services. • Sustainability & Ethics The bank has embedded Environmental, Social, and Governance (ESG) factors and conduct risk frameworks into its operations, treating ethical integrity as a fundamental obligation to maintain stakeholder trust.
📈 Capital Alliance PLC Upgraded to ‘A+’ for Financial Resilience
Lanka Rating Agency (LRA) has upgraded the Entity Rating of Capital Alliance PLC (CALT) to ‘A+’ from ‘A’ with a Stable Outlook. The upgrade underscores the company’s dominant position as a leading non-bank Primary Dealer and its consistent profitability within Sri Lanka's capital markets. • Financial Performance & Capital • Total equity reached approximately LKR 15.0 Bn as of 30 September 2025. • Sustained profit growth recorded across FY2024, FY2025, and H1 FY2026. • Capital Adequacy Ratio remains comfortably above regulatory thresholds, ensuring strong buffers against market volatility. • Market Leadership & Strategy • Recognized as one of Sri Lanka’s largest non-bank Primary Dealers in government securities. • Strength derived from its established franchise and strategic backing by Capital Alliance Holdings PLC. • Business stability supported by diversification and disciplined risk management in a stabilizing interest rate environment. • Strategic Outlook • The 'Stable' outlook reflects expectations of maintained market leadership and capital discipline. • Focus remains on treasury operations and supporting the broader financial system through resilient balance sheet architecture.
NTB Records Strong 2025 Performance: PAT Up 15% to Rs. 19.3 Bn 📈
Nations Trust Bank PLC (NTB) reported robust financial results for the year ending 31 December 2025, driven by aggressive credit expansion and stable margins. • Overall Financials: • Profit After Tax (PAT): Rs. 19.3 Bn (up 15% YoY). • Earnings Per Share (EPS): Increased to Rs. 57.76 from Rs. 50.39. • Return on Equity (ROE): 21.86%. • Banking Operations & Growth: • Loan Book: Recorded a significant 50% growth, supporting SMEs, corporates, and consumer sectors. • Net Interest Margin (NIM): Maintained at 6.05% through efficient asset-liability management. • Asset Quality: Net Stage 3 Ratio held at a healthy 0.91%, reflecting disciplined risk management. • Strategic Expansion: • Acquisition: Received CBSL approval to acquire HSBC Sri Lanka’s retail operations, set to conclude in Q2 2026. • Impact: Will integrate ~200,000 accounts, strengthening NTB's position in the premium retail and credit cards segments. • Capital & Liquidity: • Tier 1 Capital Ratio: 19.61% (Regulatory req: 8.5%). • Total Capital Adequacy: 20.72% (Regulatory req: 12.5%). The bank remains a leader in the digital banking and premium card markets as the sole acquirer for American Express in Sri Lanka.
📈 MAS Holdings Pivots Methliya Plant to Fabric Manufacturing
MAS Holdings has announced a strategic restructuring at its Thulhiriya facility to counter a prolonged contraction in global demand for apparel & textiles. • Core Operation Shift: Garment manufacturing will cease at the Methliya plant, which will be repurposed for upstream textile production, specifically knitting, dyeing, and finishing. This leverages existing wet-processing infrastructure within the MAS Fabric Park. • Global Market Context: The decision follows sustained weakness in key export markets (US, EU, and UK) driven by inflation, economic slowdowns, and shifting trade policies. This aligns with MAS's global rationalization, including recent exits from Haiti and the Dominican Republic. • Workforce Impact: • Approximately 2,200 employees are affected. • Staff have been offered transfers to other local facilities or operations in Jordan with a three-month relocation incentive. • Those opting out will receive compensation exceeding statutory requirements, including full dues and wages through April 2026. • Operational Stability: Existing garment production capacity will be redistributed across other MAS apparel plants in Sri Lanka. All other MAS facilities currently remain unaffected. _Source: Based on provisional company announcement dated Feb 19, 2026._
📈 Melstacorp Divests 0.04% Stake in DCSL for Rs. 119 Million
• Transaction Details: Melstacorp PLC sold 2 million shares of Distilleries Company of Sri Lanka PLC (DCSL) on February 19. The divestment was executed at a price of Rs. 59.50 per share, totaling a cash inflow of Rs. 119 million. • Ownership Impact: Melstacorp’s controlling interest in DCSL saw a marginal reduction, moving from 92.44% to 92.40%. The group retains a dominant position with over 4 billion shares remaining in the subsidiary. • Market Movement: Following the announcement, DCSL shares closed at Rs. 59 (down Rs. 0.30), while Melstacorp PLC shares ended at Rs. 181.25 (down Rs. 1.75). • Asset Position: As of December 2025, Melstacorp reported net assets of Rs. 131.99 per share, compared to DCSL’s net asset value of Rs. 4.14 per share.
Sampath Group Surpasses Rs 2 Tn Asset Milestone in 2025 📈
The Sampath Group achieved record-breaking financial results for the year ended 31st December 2025, driven by aggressive loan book expansion and strategic asset reallocation. • Overall Financial Performance • Group PAT: Rs 32.6 Bn (↑ 13% YoY) • Group PBT: Rs 53.0 Bn (↑ 8% YoY) • Total Asset Base: Surpassed Rs 2.0 Tn (↑ 12% YoY) • Dividend: Recommended final cash dividend of Rs 10.30 per share. • Bank Highlights & Lending • Gross Loans: Reached Rs 1.2 Tn, expanding by Rs 259 Bn (↑ 27% YoY). • Net Fee Income: Rs 21.2 Bn (↑ 21% YoY), fueled by higher card usage and economic activity. • Asset Quality: Stage 3 loans improved significantly to 9.6% from 13.7% in 2024. • Capital Adequacy: Total Capital Ratio stood at 17.65%, well above regulatory norms. • Strategic Shifts & Operations • Interest Income: Totaled Rs 181.1 Bn (↓ 1% YoY) as the bank shifted focus from government securities to high-growth lending in the SME and corporate sectors. • Profitability (ROE): Improved to 17.93% (2024: 17.74%). • New Initiatives: Established a new wealth management company in early 2026 and launched the country’s first Green Fixed Deposit framework.
High Court Acquits Former FCCISL Secretary General in Breach of Trust Case ⚖️
• Legal Outcome: The High Court of Colombo has acquitted Samantha Abeywickrama, former Secretary General of the Federation of Chambers of Commerce and Industry of Sri Lanka (FCCISL), of all criminal charges. • Case Background: The proceedings, filed under the Penal Code, involved allegations of misappropriating approximately Rs. 2.46 million in funds allocated for an ADB workshop in Bangkok back in 2007. • Court Ruling: • The prosecution failed to prove "criminal breach of trust" or "dishonest misappropriation." • No evidence was found regarding fraudulent intent or personal conversion of funds. • The judge emphasized that criminal liability requires proof beyond reasonable doubt, which was not met in this instance. • Significance: This acquittal concludes a legal battle spanning nearly two decades. Abeywickrama, who also served as CEO of the FCCISL, maintained that all financial actions followed institutional approvals and audit processes. This decision restores his legal standing within the private sector and chamber community. _Note: Based on High Court judgment delivered February 2026._
Renuka Holdings Streamlines Operations via Subsidiary Amalgamation 📈
Renuka Holdings PLC has announced a strategic internal restructuring to consolidate its agribusiness operations. The move involves the merger of two key entities within its extensive group portfolio. • Amalgamation Details: Renuka Enterprises Ltd will absorb its own subsidiary, Renuka Agro Exports Ltd. The Boards of both companies approved the resolution on 12 February, with the amalgamation set to officially take effect on 20 March 2026. • Sector Impact: The consolidation focuses on the Agri Food Exports sector. Renuka Agro Exports is a pioneer in value-added coconut products and ethnic foods (spices and ready-to-eat mixes), playing a significant role in Sri Lanka’s export economy and rural outgrower networks. • Market Performance: Following the announcement, Renuka Holdings (RHL.N0000) saw its share price rise by Rs. 0.50, closing at Rs. 43.50. • Financial Position: As of 31 December 2025, the Group reported: • Total Assets: Rs. 23.88 Bn (based on provisional data). • Net Assets per Share: Rs. 57.26. The restructuring is expected to enhance operational efficiency within the group’s manufacturing and global marketing arms. _
📈 HVA Foods Parent Divests 18% Stake for Rs. 189.7M
George Steuart & Co., the majority shareholder of HVA Foods PLC, has divested a significant portion of its holding in the company, known for the global Heladiv tea brand. • Transaction Details: A total of 44 million shares (17.99% stake) were sold in the market for Rs. 189.7 million. The trades occurred in four tranches at prices ranging between Rs. 4.30 and Rs. 4.60 per share. • Shareholder Structure: As of December 2025, George Steuart & Co. held a 72.39% stake. Post-divestment, its majority remains, followed by HVA Lanka Exports Ltd. at 4.75%. • Market & Financial Position: • The share price gained 20 cents on Wednesday, closing at Rs. 4.40. • Based on provisional data, the company reported net liabilities of 26 cents per share. • Sector Context: HVA Foods is a key player in the tea and value-added beverages sector, specializing in Ceylon tea exports and innovative products like ready-to-drink infusions. This divestment follows a trend of restructuring within large conglomerates involved in Sri Lanka's agriculture & exports landscape.
📈 Pan Asia Bank Surpasses Rs. 300 Bn Asset Milestone in 2025
Pan Asia Bank reported its strongest underlying performance in its 30-year history for the financial year 2025, driven by massive balance sheet expansion and improved credit quality. • Overall Financials • Total Assets: Rs. 308.02 Bn (↑ 17% YoY) • Profit After Tax (PAT): Rs. 4.01 Bn (Normalised PAT ↑ 35% YoY) • Earnings Per Share (EPS): Rs. 9.05 • Total Operating Income: Rs. 16.00 Bn • Lending & Deposits • Gross Loan Book: Rs. 217.12 Bn (↑ 35% YoY), led by retail, SME, and corporate demand. • Customer Deposits: Rs. 231.04 Bn (↑ 21% YoY). • Net Fee Income: Expanded by 37% due to trade flows and remittance-related business. • Asset Quality & Efficiency • Stage 3 Loan Ratio: Improved significantly to 1.73% (from 3.10%). • Cost to Income Ratio: Reduced to 48.94% (from 52.68%) via digital automation. • Capital Adequacy: Total Capital Ratio at 18.27%, well above regulatory norms. The bank successfully navigated declining interest rates by optimizing its deposit mix and retiring high-cost borrowings, reinforcing its role in financial services and Sri Lanka’s broader economic recovery.
HNB Finance 9M PAT Surpasses Rs. 1 Bn for First Time 📈
HNB Finance PLC has achieved a historic milestone, reporting a Profit After Tax (PAT) of Rs. 1.15 Bn for the nine months ended 31 December 2025, a massive 152% YoY increase. • Overall Performance The company's Profit Before Tax (PBT) surged by 209% YoY to reach Rs. 1.88 Bn. This growth was driven by a 35% increase in gross income (Rs. 12.93 Bn) and a 52% rise in net interest income (Rs. 6.03 Bn), reflecting strong earnings traction across its portfolio. • Sector & Portfolio Growth The company saw significant expansion in its lending activities compared to March 2025: • Leasing portfolio: Increased by 81% to Rs. 48.5 Bn. • Gold Loans book: Grew by 52% to Rs. 13.6 Bn. • Gross Loan Portfolio: Expanded by 53% to Rs. 77.2 Bn, effectively capturing market share from competitors. • Assets and Funding The total asset base grew by 46% to Rs. 85.6 Bn. This growth was primarily funded by a 45% increase in deposits, which rose to Rs. 61.0 Bn, underscoring a robust deposit franchise and public trust in the NBFI sector. The leadership noted that the company is scaling to become a systemically important non-bank financial institution, focusing on prudent risk management and operational discipline to support the wider Sri Lankan economy.
📈 Strategic Vigilance: Strengthening State-Owned Banks
Sri Lanka's economic recovery hinge on reinforcing state-owned banks, identified as "systemic anchors" deeply intertwined with sovereign health. While fiscal metrics improve, institutional governance must now move beyond "cosmetic" reforms to ensure long-term stability. • Overall Financial Health Current stability is anchored by the IMF program, with inflation at 2.3% (Jan 2026) and reserves at US$ 6.8 Bn. However, legacy risks in state banks—such as high exposure to Government securities and SOE debt—remain critical focal points. • Asset Quality & Governance • Transparency: Urgent need to distinguish restructured loans from performing assets to avoid "quietly accumulating" distress. • Provisioning: Calls for conservative discipline to prevent shifting current risks into future years. • Autonomy: Shift from "nominal" public ownership to structured strategic accountability, linking bank boards to senior financial leadership. • Sector Breakdown & Mandate • Developmental Banking: Reaffirming the role of state banks in supporting Agriculture and SMEs without compromising commercial prudence. • Oversight: Strengthening follow-through on COPE recommendations to ensure accountability is "demonstrably strengthened" rather than episodic. • Key Highlights The summary emphasizes that banking sector discipline must match fiscal consolidation. As Sri Lanka emerges from a severe contraction, the credibility of state institutions is vital for rebuilding public trust.
## 📈 Kapruka Reports 138% Surge in Operating Performance
Kapruka Holdings PLC (KPHL) has announced a significant operational turnaround for the quarter ended 31 December 2025, driven by its transition toward a platform-led, asset-light business model. • Financial Highlights: The Group recorded a 21% YoY revenue increase and a 44% growth in gross profit. Most notably, operating performance improved by 138% YoY, marking three consecutive quarters of growth. • Market Performance: Reflecting renewed investor confidence, KPHL shares on the Colombo Stock Exchange (CSE) have rallied by over 130% over the past year. • Strategic Drivers: Partner Central: This marketplace model allows the onboarding of third-party sellers, reducing capital tied up in inventory and boosting margins. Services Platform: Expansion into ICT/BPM and everyday service sectors, connecting customers with verified providers to monetize the existing user base. Cross Border: Operates as a mature US$-generating engine, assisting local brands in becoming global exporters via international marketplaces, strengthening national hard-currency inflows. • Outlook: Entering 2026, the Group reports a stronger balance sheet and a diversified revenue mix. The focus remains on scaling the e-commerce ecosystem through its capital-efficient "Partner Central" and "Cross Border" verticals.
Hayleys PLC Reports Strong 9M Performance with Rs. 14.02 Bn PAT 📈
The Hayleys Group demonstrated resilience amidst global volatility and local weather disruptions, posting a 16% YoY increase in revenue for the nine months ending December 2025. • Overall Financials (9M 2025/26): - Consolidated Revenue: Rs. 421.40 Bn (+16% YoY) - Profit After Tax (PAT): Rs. 14.02 Bn - EBITDA: Rs. 42.90 Bn (+4% YoY) - Dividend: Interim payment of Rs. 6 per share (Rs. 4.5 Bn total) • Sector Performance: - Consumer & Retail: Primary driver of revenue growth, benefiting from recovering domestic demand. - Hand Protection & Purification: Led the export-oriented sectors with an 11% revenue increase. - New Ventures: Strategic entry into the mobility and supermarket sectors to diversify growth. • Strategic & Credit Highlights: - Rights Issue: A Rs. 9 Bn issue is planned to strengthen the balance sheet and fund strategic investments. - Credit Rating: Fitch Ratings reaffirmed the Group’s National Long-Term Rating at 'AAA (lka)' with a Stable Outlook. - Reporting Excellence: Won the Gold Award for Overall Excellence in Corporate Reporting at the CA Sri Lanka TAGS Awards for the fourth consecutive year. • Sustainability & ESG: - Achieved a 10% reduction in emission intensity. - Limited Scope 1 & 2 GHG emission increases to 3% despite business expansion. The Group remains optimistic for the final quarter, supported by improving macroeconomic stability and the integration of new business segments.
📈 Softlogic Life Surpasses Rs. 40 Bn GWP in FY25
Softlogic Life has delivered a landmark performance for the fiscal year ended December 31, 2025, doubling key financial metrics over a four-year period and solidifying its position as a market leader. • Overall Financials: • Gross Written Premium (GWP): Rs. 40.1 Bn (up 27% YoY). • Profit After Tax (PAT): Rs. 4.7 Bn. • Return on Equity (ROE): 39% (10-year average: 32.4%). • Earnings Per Share (EPS): Rs. 14.79. • Market Position & Growth: • Market Share: Now stands at 18.4% following the acquisition of Allianz Life Insurance Lanka. • GWP Growth: Surged from Rs. 20 Bn in 2021 to Rs. 40 Bn in 2025. • 10-Year CAGR: 26%, significantly outperforming the industry average of 16%. • Operational Highlights: • Health Insurance: Reinforced as the nation’s largest health insurer, covering 1.3 million lives via 840,000 policies. • Claims Paid: Totaled Rs. 19.4 Bn, with 90% of claims settled within one day via an AI-driven platform. • Capital Strength: Capital Adequacy Ratio (CAR) remains robust at 245%, well above the 120% regulatory requirement. • Strategic Developments: • Secured a US$ 15 Mn long-term investment from Norfund and OP Finnfund to support microinsurance and inclusive protection. • Successfully integrated Allianz Life Insurance Lanka, enhancing scale and customer reach.
📈 United Motors Group Reports Record Rs. 2.4 Bn Profit
United Motors Lanka PLC (UML) has announced an exceptional financial turnaround for the nine months ended 31 December 2025, driven by the lifting of vehicle import bans and strong demand for new models. • Overall Financials: Group Profit after Tax (PAT) skyrocketed by 5,315% YoY to reach Rs. 2.4 Bn. Total Group revenue surged 323% to Rs. 33.3 Bn, up from Rs. 7.9 Bn in the previous year. • Sector & Subsidiary Performance: Automotive: Strong demand recorded for Mitsubishi SUVs and FUSO commercial vehicles. The newly launched Mitsubishi Destinator (1.5L turbo) and Perodua Ativa (1,000cc SUV) are key growth drivers. Entry-Level Segment: Unimo Enterprises expanded its Perodua lineup from 3 to 6 models; the Ativa sold over 300 units in its debut month. Exports & Logistics: Dutch Lanka Trailers (DLT) contributed significantly through international demand for port trailers, strengthening the group's global footprint. After-Sales: Workshop performance reached its highest level in recent years across nine island-wide locations. • Future Outlook: The Group is diversifying into the Electric Vehicle (EV) and Range Extended Electric Vehicle (REEV) space, with new launches expected in the coming months to bolster the portfolio.
📈 Aitken Spence 9M PBT Surges 30% to Rs. 5.6 Bn
Aitken Spence PLC reported a strong performance for the nine months ending 31 December 2025, with revenue reaching Rs. 67 billion. Profit Before Tax (PBT) grew 30% YoY, while Profit After Tax (PAT) saw a 42% increase to Rs. 3.4 billion. • Overall Financials (9M 2025) • Revenue: Rs. 67 Bn (Q3 up 3.8%) • PBT: Rs. 5.6 Bn (+30% YoY) • PAT: Rs. 3.4 Bn (+42% YoY) • Sector Performance • Maritime & Freight Logistics: Remained the top PBT contributor at Rs. 3.3 Bn, despite margin pressures in overseas freight. • Tourism: Contributed 68% of Group revenue with a PBT of Rs. 2 Bn. Growth was driven by recovery in Sri Lanka and strong results from resorts in the Maldives, India, and Oman. • Services: PBT jumped to Rs. 843 Mn (from Rs. 114 Mn), fueled by the expansion of Port City BPO and the elevators segment. • Strategic Investments: Strong results in Printing and Plantations were offset by a Rs. 652 Mn loss in Apparel Manufacturing. Power Generation remained steady via waste-to-energy projects. • Strategic Milestones • First Sri Lankan diversified holding to have climate targets validated by SBTi. • Partnered with Sri Lanka Air Force for the ‘Clean Today – Green Tomorrow’ sustainability initiative.
📈 Mercantile Investments to Raise Rs. 1.1 Bn via Rights Issue
Mercantile Investments and Finance PLC has announced plans to raise Rs. 1.1 billion through a Rights Issue to bolster its capital base and support future expansion. • Issue Details: The company will issue 33.4 million new ordinary voting shares at Rs. 33 each. This is offered on a 1-for-18 basis (one new share for every 18 existing shares). • Financial Position: As of 31 December 2025, the company’s stated capital stood at Rs. 36 Bn. Notably, net assets per share were recorded at Rs. 5,141 as of September 2025. • Strategic Intent: Proceeds are earmarked to enhance regulatory capital adequacy ratios, ensuring compliance with Central Bank of Sri Lanka (CBSL) requirements while facilitating projected business growth. • Approvals & Compliance: The CBSL granted approval on 11 February. The issue remains subject to Colombo Stock Exchange (CSE) listing approval and shareholder clearance at an upcoming EGM. • Market Context: The share closed at Rs. 34 prior to the announcement. The company maintains a public float of 16.09%, with major stakes held by the Ondaatjie family and associated entities.
Sanasa Life to Raise Over Rs. 1 Bn for Capital Restoration 📈
• Sanasa Life Insurance Company PLC is set to raise approximately Rs. 522.67 million via a Rights Issue, following a previously proposed Rs. 500 million debenture issue, to address critical solvency requirements. • Rights Issue Details: • Basis: 1 new ordinary share for every 2 existing shares. • Price: Rs. 10 per share (52.2 million new shares). • Timeline: EGM on 25 February; acceptance period from 26–28 February 2026. • Capital Impact: Stated capital will increase from Rs. 1.04 Bn to nearly Rs. 1.57 Bn upon full subscription. • Solvency & Regulatory Status: • The Insurance Regulatory Commission of Sri Lanka (IRCSL) has suspended the firm's long-term insurance license until 3 March 2026 due to non-compliance with Risk Based Capital Rules. • Current CAR: 49.51% (following asset disposals). • Projected CAR: The Rights Issue is expected to lift the Capital Adequacy Ratio (CAR) to 100.64%, with further initiatives and the debenture issue projected to reach 164%. • Strategic Goal: The infusion aims to restore the company’s solvency margin and prevent the potential appointment of an administrator by the IRCSL. • Top Shareholders: Senthilverl Holdings (19.10%) and Sanasa Federation (10.50%) as of late 2025.
Cargills Group Defies Cyclone Disruptions with Strong 3Q Growth 📈
The Cargills Group reported a resilient financial performance for 3Q 2025/26 (ending Dec 2025), maintaining growth momentum despite the severe impact of Cyclone Ditwah on nationwide operations. • Financial Performance (3Q YoY): - Revenue: Rs. 70.8 Bn (+14.5%) - EBITDA: Rs. 7.3 Bn (+29.0%) - Profit After Tax (PAT): Rs. 2.9 Bn (+79.3%) • Cumulative 9-Month Results: - Total PAT: Rs. 7.9 Bn (+53.8% YoY) • Sector & Operational Highlights: - Retail, FMCG, & Restaurants: Recorded steady growth driven by resilient consumer demand and distribution strength. - Restaurants: Strategy shifted to focus on the KFC franchise; the TGI Fridays arrangement was discontinued as of 31 Jan 2026. - Supply Chain: Performance was achieved despite temporary closures of outlets and manufacturing plants due to the cyclone. • Economic & Social Impact: - Agriculture & Dairy: The Group channels over Rs. 20 Bn annually to the rural economy by purchasing produce and fresh milk from smallholder farmers. - Tax Contribution: Contributes over Rs. 46 Bn annually to national tax revenue. - Disaster Relief: Contributed Rs. 100 Mn to the National Disaster Relief Fund plus Rs. 45 Mn in essential food aid. • Outlook: While near-term spending may moderate due to cyclone-related economic effects, management remains confident in Sri Lanka’s macroeconomic stability and long-term growth.
Headline: Kotagala Plantations Divests 31% Stake in Imperial Hotels for Rs. 219.2 M 📈
• Overall Transaction Kotagala Plantations PLC has sold its entire 31.15% stake in Imperial Hotels Ltd. to Consolidated Tea Plantations Ltd. (CTPL) for Rs. 219.195 million. The deal involves the transfer of 4.5 million shares as part of an internal restructuring within the ultimate parent group, The Colombo Fort Land & Building Group. • Key Terms & Sector Impact • Restructuring: The move aims to streamline the hospitality and plantation holdings within the parent group. • Settlement: Consideration is to be settled within one year from the execution date (6 Feb 2026). • Related Party Deal: Classified as a Related Party Transaction under CSE rules; the aggregate value of dealings between Kotagala and CTPL for FY26 now stands at approximately Rs. 397 million (unaudited). • Financial Performance (Provisional) • Profitability: Kotagala recorded a Profit Before Tax (PBT) of Rs. 173 million for the first half of FY26, a 21% YoY decrease primarily due to tea price fluctuations and increased plantation sector wages. • Revenue: Company revenue rose 21% to Rs. 2.9 billion, supported by growth in rubber and oil palm production. • Net Assets: Net asset per share improved to Rs. 7.51 from Rs. 7.00. Based on provisional and unaudited company data.
First Capital Holdings Records Rs. 3.23 Bn Comprehensive Income for 9M 📈
First Capital Holdings PLC reported a Total Comprehensive Income of Rs. 3.23 Bn for the nine months ended 31 December 2025, down from Rs. 4.53 Bn in the prior year. The 3Q performance was impacted by a dividend tax expense of Rs. 0.41 Bn, leading to a quarterly loss of Rs. 0.17 Bn. • Overall Financials Net Income before operating expenses reached Rs. 6.33 Bn (YoY: Rs. 7.69 Bn). Despite the dip, the group maintained a strong presence in fixed income and equity market segments. • Sector Breakdowns (Profit after Tax) • Primary Dealer: Recorded Rs. 1.64 Bn (YoY: Rs. 2.45 Bn), with trading gains of Rs. 1.66 Bn on Government securities. • Corporate Finance & Dealing: Reported Rs. 1.86 Bn, supported by Rs. 2.33 Bn in equity trading gains. • Stock Brokering: Saw a significant surge to Rs. 166.3 Mn, compared to just Rs. 39.5 Mn last year, driven by increased market activity. • Wealth Management: Posted Rs. 78.1 Mn; Assets under Management (AUM) stood at Rs. 96.4 Bn. • Strategic Outlook The results reflect the group’s resilience in an environment shaped by shifting interest rates and fiscal adjustments. Leadership remains focused on managing liquidity and risk while leveraging opportunities in the capital markets to ensure long-term stability.
## Corporate Governance Forum Highlights Compliance & Regulatory Updates 📈
The Sri Lanka Institute of Directors (SLID) and ICCS Sri Lanka recently concluded a high-demand forum focused on strengthening the national framework for corporate governance and transparency. • Core Focus: Targeted at board secretaries and directors, the session addressed critical compliance challenges, specifically the implementation of Beneficial Ownership requirements under the Companies Act. • Key Discussion Areas: Regulatory Compliance: Guidance on identifying, maintaining, and reporting beneficial ownership data. Risk Mitigation: Identifying safeguards for directors and secretaries through clearly defined roles. Governance Frameworks: Enhancing accountability and transparency to align with evolving best practices. • Expert Panel: Featured high-level representation from the Colombo Stock Exchange (CSE), the Department of Registrar of Companies, and leading legal and banking sector professionals. • Repeat Session: Due to oversubscription, a repeat program is scheduled for 17 February (7:30 a.m. – 10:00 a.m.) to accommodate unmet demand from the professional community. Note: Based on reported event outcomes as of February 2026. ---
Sunshine Holdings Records LKR 48.9 Bn Revenue in 9MFY26 📈
Diversified conglomerate Sunshine Holdings PLC reported a resilient performance for the nine months ended 31 December 2025, maintaining growth despite sector-specific pressures and margin contraction in healthcare. • Group Financial Highlights (YoY) • Consolidated Revenue: LKR 48.9 Bn (up 8.1%) • Group EBIT: LKR 7.5 Bn (up 1.2%) • Profit After Tax (PAT): LKR 4.3 Bn (down 8.8%) • EBIT Margin: 15.3% • Sector Performance Breakdown • Healthcare: Remained the largest contributor (55.4% of revenue). Revenue rose 9.3% to LKR 27.1 Bn, driven by pharmaceutical distribution and retail. However, profitability was pressured by a new pricing mechanism and lower government orders in manufacturing. • Consumer Brands: Revenue reached LKR 14.5 Bn (up 0.9%). Growth in branded tea and confectionery (up 7.4%) offset a 4.7% decline in exports. The group recently announced a stake in Joint Agri Products Ceylon to boost value-added exports. • Agribusiness: The standout performer via Watawala Plantations. Revenue surged 20.6% to LKR 7.3 Bn, fueled by a 25.8% jump in palm oil revenue. EBIT margins in this sector expanded significantly to 45.6%. • Strategic Outlook The Group continues to focus on export-oriented growth and value-added products (spices and coconut-based) to diversify revenue streams and mitigate domestic margin pressures.
📈 Fitch Assigns AA+(lka) Rating to Aitken Spence Hotel Holdings
Fitch Ratings has assigned a first-time National Long-Term Rating of AA+(lka) with a Stable Outlook to Aitken Spence Hotel Holdings PLC, supported by strong parent backing. • Parental Support: The rating reflects high strategic and operational incentives from parent Aitken Spence PLC. The subsidiary contributes ~65% of the parent group's EBITDA and over 50% of its assets. • Portfolio & Financials: • Manages 15 owned and 4 managed properties (2,600+ rooms) across Sri Lanka, Maldives, India, and Oman. • Expected EBITDA growth of 10% CAGR (FY26–FY29) with margins averaging 25%. • Proposed senior unsecured debentures of Rs. 5 Bn rated at AA(lka). • Regional Drivers: • The Maldives remains the primary driver, accounting for 70% of company EBITDA. • Growth is fueled by recovering tourism demand from China and Russia. • Risk Factors: • High exposure to Maldivian economic risks and potential currency regulation tightening. • Mismatch between Maldivian earnings and Sri Lankan bank debt. • Liquidity: Strong cash position with Rs. 10 Bn at the subsidiary level and Rs. 43 Bn at the group level as of FY25. Leverage remains moderate with EBITDAR net leverage forecast at 2.5x by FY26.
Headline: MrBeast Enters Fintech with Acquisition of Youth-Banking App Step 📈
Beast Industries, the holding company of world-renowned YouTuber Jimmy Donaldson (MrBeast), has acquired the financial services platform Step. The move marks a significant expansion of the creator's business empire into the regulated fintech sector, targeting Gen Z and young adult demographics. • Strategic Acquisition & Scale Target: Step, an all-in-one money app for teens and young adults focused on financial literacy. User Base: Over 7 million existing users. Funding Context: Beast Industries recently secured a US$ 200 Mn investment from Bitmine Immersion Technologies to fuel such expansions. Valuation: While the acquisition price remains undisclosed, Beast Industries was valued at approximately US$ 5.2 Bn in 2024. • Product & Operations Services: Provides no-fee banking, Visa cards, credit-building tools, and investing features. Partnership: Step remains a non-bank, utilizing Evolve Bank & Trust for FDIC-insured banking services. Leadership: Will operate under Beast Industries, led by CEO Jeff Housenbold, integrating with existing ventures like Feastables and ICT/BPM digital services. • Economic Impact & Diversification Audience Reach: Leverages Donaldson’s 466 million+ subscribers to scale financial literacy tools. Market Shift: Signals a maturation of the creator economy where top influencers transition from simple endorsements to acquiring and operating complex fintech and consumer goods infrastructure. _Note: Financial terms of the deal were not disclosed._
### Tokyo Cement 3Q Results: Volume Growth Signals Industry Upswing 📈
Tokyo Cement Group reported a resilient 3Q ending December 31, 2025, balancing significant volume growth against temporary profitability pressures. • Overall Financials (3Q 2025) Turnover: Rs. 14,523 Mn (up 25% YoY from Rs. 11,639 Mn) Profit After Tax (PAT): Rs. 332 Mn (down from Rs. 1,006 Mn YoY) Profit impact attributed to reduced selling prices, higher raw material costs, currency depreciation, and capitalisation of Trincomalee expansion projects. • Market Dynamics & Drivers Demand was driven by the hospitality, housing, and condominium sectors. Construction activity peaked in Sept/Oct 2025, supported by stable pricing and regional infrastructure. Cyclone Ditwah caused a temporary slowdown in late Q3, with total national damage estimated at US$ 4.1 Bn. • National Economic Context Export earnings (Jan-Sept) reached US$ 12.99 Bn (+7% YoY). Workers’ remittances surged 20.7% YoY to US$ 7.19 Bn (Jan-Nov). The Rupee depreciated by ~6%, yet macroeconomic stability remains via twin surpluses in primary fiscal and current accounts. • Future Outlook & Infrastructure Positive 4Q forecast linked to post-cyclone reconstruction and a Rs. 1.38 Tn capital expenditure budget for 2026. Key projects: Central Expressway (Kadawatha-Meerigama), BIA Airport Phase II, and Kandy Multimodal Transport Terminal. A Rs. 500 Bn supplementary allocation for rebuilding is expected to further stimulate cement demand.
Dialog Finance PLC Reports 107% Operating Income Surge in FY2025 📈
• Financial Performance: The company achieved a strong turnaround with Operating Income reaching Rs. 2.3 Bn (+107% YoY). Operating Profit surged by 277% to Rs. 834 Mn, resulting in a Profit After Tax of Rs. 159.7 Mn (recovering from a Rs. 41.1 Mn loss in 2024). • Key Metrics: • Net Interest Income: Rs. 1.3 Bn (+72% YoY). • Total Assets: Rs. 11.9 Bn (+62% YoY). • Net Loan Book: Rs. 9.1 Bn (+77% YoY). • Deposits: Rs. 5.8 Bn (+46% YoY). • Growth Drivers: Growth was propelled by embedded lending, digital payments, and structured fee income. The fintech model utilized data-driven credit decisioning to scale services for MSMEs and individual consumers. • Strategic Highlights: The company expanded its ICT/BPM capabilities through doorstep fulfillment and a partnership with UnionPay for global payment solutions. Dialog Finance maintains a Fitch Rating of AA (lka), signaling high creditworthiness within Sri Lanka’s financial services sector.
📈 Roar Global Evolves into Venture Builder Model
Sri Lankan mar-tech group Roar Global has officially transitioned from a digital media startup to a mature, self-sustaining holding company. This evolution is highlighted by a strategic landmark share buyback from early institutional investor BOV Capital, signaling a rare "full-circle" success story for the local startup ecosystem. • Overall Performance • Group revenue now exceeds US$ 30 Mn. • Workforce has scaled to over 150 specialists. • The portfolio has grown to 6 specialized businesses (including Roar AdX, 3P Media, and Apex AI). • Sector & Strategy Highlights • Venture Builder Model: Focuses on building specialized marketing & technology companies from scratch, partnering with entrepreneurs, and selective acquisitions. • AI & Automation: Heavy investment in ICT/BPM capabilities through Apex AI, positioning Sri Lanka as a hub for global automation and AI-driven brand visibility. • Diversification: Shift from generalist models to platform-native execution across performance marketing, creator ecosystems, and creative production. • Growth Outlook • Expansion goal to grow the portfolio from 6 to 20 companies. • Strategy aligned with a 2030 roadmap focused on global market expansion and AI-led platform growth. • Aims to leverage the "aggregate value engine" where shared infrastructure (talent, governance, and tech) supports independent, niche businesses.
### hSenidBiz Hits USD 5M ARR & Returns to Profitability 📈
Sri Lankan ICT/BPM leader hSenid Business Solutions PLC (hSenidBiz) reported a transformative Q3 FY2026, surpassing a major recurring revenue milestone while achieving bottom-line profitability. • Overall Financial Performance • Total Revenue: LKR 547.6 Mn (+27% YoY in LKR; +23% in USD constant currency). • Net Profit: LKR 35 Mn for the quarter. • Normalized EBITDA Margin: 17%, driven by operational discipline. • Free Cash Flow (FCFF) Margin: 9%. • Recurring Revenue & SaaS Growth • Exit Annualized Recurring Revenue (ARR): USD 5.2 Mn, a defining milestone for the company. • Recurring Revenue Contribution: 73% of total company revenue. • New Deal Closures: USD 330,046 (+29% YoY), with 97% of new business coming from the cloud segment. • Sector & Product Highlights • PeoplesHR Cloud: The primary growth engine, recording 48% YoY growth in LKR terms. • Subscription revenue now accounts for 86% of this segment. • Innovation: Focus on AI capabilities (conversational analytics) and localization for the Indonesian market. • Market Footprint • The software suite now supports 1,700+ HR departments across 40 countries, strengthening Sri Lanka's position as a hub for global HR technology solutions.
## Amana Takaful to Raise Rs. 1 Bn via Rights Issue 📈
Amana Takaful PLC (ATL) has announced a Rights Issue to raise Rs. 1.004 Bn, aimed at strengthening its equity base and meeting the Capital Adequacy Ratio (CAR) requirements set by the Insurance Regulatory Commission of Sri Lanka (IRCSL). • Issue Details: • Shareholders are offered 3 new shares for every 14 existing shares held. • Issue Price: Rs. 19.00 per share (a discount to the recent market price of Rs. 25.30). • Total Shares to be Issued: Over 52.8 million ordinary voting shares. • Financial Impact & Rationale: • The move aligns with the Risk-Based Capital (RBC) framework to ensure long-term solvency. • The company's current stated capital is Rs. 2.16 Bn. • As of end-September 2025, ATL reported Net Assets of Rs. 23.45 per share. • Shareholding Structure: • Senthilverl Holdings remains the largest shareholder with 27.11%. • Other major stakes are held by Osman Kassim (21.85%) and Amana Bank PLC (13.26%). • Public shareholding stands high at 75.61%. _The proposal, approved by the Board on 5 February 2026, awaits final approval from the Colombo Stock Exchange (CSE) and shareholders at an upcoming General Meeting._
📈 Milford Exports Increases Stake in Melstacorp PLC
Ultimate parent Milford Exports Ceylon Ltd. has strengthened its position in Melstacorp PLC through a fresh share acquisition. • Transaction Details: Acquisition of 1.0 million shares at a price of Rs. 179.00 per share. • Shareholding Shift: Total stake increased from 42.80% to 42.88% (totaling 499,819,000 shares). • Strategic Impact: This move consolidates control over one of Sri Lanka’s largest conglomerates, which serves as the holding company for vital sectors including beverages (Distilleries Company of Sri Lanka), tourism & logistics (Aitken Spence PLC), and plantations (Madulsima and Balangoda Plantations). • Portfolio Breadth: The group maintains a diversified footprint across insurance, healthcare (Melsta Hospitals), and ICT (Melsta Technologies), reflecting its significant role in national employment and economic diversification. _Note: Summary based on transaction data as of February 9, 2026._ ---
## LCB Finance Surges: 9-Month PBT Jumps 100% to Rs. 443 Mn 📈
Lanka Credit and Business Finance PLC (LCB Finance) reported a stellar performance for the nine months ended December 31, 2025, doubling its profitability as the non-banking financial institution (NBFI) sector capitalizes on a domestic credit rebound. • Profitability Highlights • Profit Before Tax (PBT): Rs. 443.4 Mn, a precise 100% YoY increase compared to the previous period. • Profit After Tax (PAT): Significant growth supported by a sharp rise in net interest income, which surged over 82% to Rs. 3.28 Bn. • Earnings Per Share (EPS): Increased to Rs. 5.48, up from Rs. 4.03 YoY. • Balance Sheet & Assets • Total Assets: Expanded to Rs. 10.38 Bn, reflecting a 12.2% growth since March 2025. • Loan Portfolio: Strong momentum in gold loans and leasing, key drivers for rural credit penetration and MSME support. • Net Asset Value (NAV): Rose to Rs. 4.02 per share, signaling enhanced shareholder stability. • Operational Efficiency • Cost-to-Income Ratio: Maintained at a lean 49%, underscoring disciplined expense management during a high-growth phase. • Expansion: The company is on track to expand its reach to 25 branches, focusing on the co-operative sector and rural diversification.
📈 Dialog Axiata FY 2025: Strong Growth & National Contribution
Dialog Axiata PLC announced robust financial results for FY 2025, driven by core business expansion and cost rescaling. The Board recommended a dividend of Rs 1.50 per share, reflecting a 5.0% yield. • Overall Financial Performance • Headline Revenue: Rs 179.6 Bn (+5% YTD) • Core Revenue: Up 16% YTD, fueled by Mobile, Fixed Line, and Digital Pay TV • EBITDA: Rs 86.0 Bn (+30% YTD); margins improved to 47.9% • Net Profit (NPAT): Rs 20.8 Bn (+67% YTD); Normalized NPAT up >100% • Operating Free Cash Flow: Rs 49.3 Bn (up >100% YTD) • Sector & Subsidiary Highlights • ICT/Broadband: Group invested Rs 20.2 Bn in high-speed infrastructure; Dialog 5G Ultra now has 220+ sites and 1.5 Mn subscribers. • Fixed & International (DBN): Revenue fell 28% to Rs 35.5 Bn due to scaling down low-margin wholesale, but NPAT surged >100% to Rs 6.1 Bn. • Television (DTV): Maintained 1.6 Mn subscribers; Revenue grew 4% to Rs 12.9 Bn. • Connectivity: Company-level revenue (76% of Group) rose 18% to Rs 135.8 Bn. • National Impact & Future Outlook • Tax Contribution: Remitted Rs 54.7 Bn to GoSL (Rs 11.1 Bn direct; Rs 43.6 Bn indirect). • Disaster Recovery: Committed Rs 420 Mn for Cyclone Ditwah relief (hospital and school ICT restoration). • Future Investment: Plans to invest US$ 100 Mn over two years to expand 5G nationwide.
📈 Amazon AI Blitz: US$ 200 Bn Capex Surge Triggers Share Tumble
Amazon has projected a massive 50% increase in capital expenditures for 2026, driven by a global race to build out artificial intelligence infrastructure. Despite record revenues, shares dropped 11.5% in after-hours trading as investors weighed the immense costs against near-term returns. • Core Financials & AWS Growth • Amazon Web Services (AWS) revenue reached US$ 35.6 Bn in Q4, growing 24% YoY. • While AWS growth is the highest in 13 quarters, it trails competitors Google Cloud (+48%) and Microsoft Azure (+39%). • Total Q4 revenue hit US$ 213.4 Bn (+14% YoY), with advertising sales jumping 22% to US$ 21.3 Bn. • AI Infrastructure & Tech Investments • Projected 2026 Capex: US$ 200 Bn, significantly exceeding analyst estimates of US$ 146.6 Bn. • Spending focuses on AI chips (Trainium/Graviton), data centers, and the Leo satellite internet project. • Total spending by the "Big Four" hyperscalers is expected to exceed US$ 630 Bn this year. • Retail Pivot & Logistics • Amazon is retreating from physical retail, closing all 72 Amazon Fresh and Go stores. • Strategy shift: Doubling down on Whole Foods with 100+ new stores and a 225,000-sq-ft mega-store. • Cost-cutting: 30,000 corporate layoffs implemented since late 2025 to drive AI-led efficiencies. _Summary based on provisional Q4 2025 financial data._
📈 India’s Mazagon Dock Launches Mandatory Offer for Colombo Dockyard
India’s state-controlled Mazagon Dock Shipbuilders Ltd (Mazagon) has announced a Mandatory Offer (MO) to acquire all remaining shares of Colombo Dockyard PLC at Rs. 40 per share. This follows Mazagon’s recent acquisition of a 41.73% stake (164.9 million shares) for Rs. 6.6 Bn via unsubscribed rights. • Transaction Details: The MO targets the remaining 58.27% (230.3 million shares) of the company. While the offer price is Rs. 40, the market price closed significantly higher at Rs. 152.25 yesterday. • Strategic Shift: Mazagon, an Indian "Navratna" PSU, aims to increase its holding to at least 51% through a tripartite agreement with Onomichi Dockyard Company Ltd (ODCL). This marks a major entry into the Sri Lankan marine engineering and ship repair sector. • Key Financials: • Offer Price: Rs. 40 per share. • Current Market Price: Rs. 152.25 (as of Feb 5). • Net Assets: Rs. 46.21 per share. • Major Stakeholders: Mazagon (41.73%), Senthilverl Holdings (12.2%), and ODCL. • National Impact: This acquisition by an Indian defense-linked entity strengthens bilateral ties in the maritime and logistics sector, potentially enhancing Sri Lanka’s capacity for naval vessel repair and commercial shipbuilding. The MO is unconditional, and a detailed offer document will be dispatched to shareholders within 35 days.
### JAT Holdings Records 7% Revenue Growth Amid Cyclone Challenges 📈
JAT Holdings PLC demonstrated resilience in Q3 FY 2025/26, overcoming disruptions from cyclone Ditwah while marking a significant milestone in its global expansion strategy. • Overall Financials • Revenue: Up 7% YoY to Rs. 8.1 Bn. • Gross Profit: Increased 14% YoY to Rs. 2.95 Bn. • GP Margin: Strengthened to 36% (from 34%) due to vertical integration and pricing discipline. • Profit After Tax (PAT): Fell 23% YoY to Rs. 774 Mn, impacted by storm-related sales losses and tax adjustments. • Sector & Market Performance • Local Revenue: Grew 9% YoY, led by wood coatings, decorative paints, and EV charger manufacturing. • Export Revenue: Remained stable at Rs. 2.01 Bn (+0.5% YoY). • Bangladesh: Faced a 16% YoY decline but showed a 9% recovery QoQ, indicating a stabilization trend. • Strategic Global Expansion • Mirotone Acquisition: Acquired New Zealand’s leading industrial wood coatings firm (established 1935). • Australasia Entry: The move provides immediate access to the Australian market with a relaunch planned within 6 months. • Vertical Integration: Efficiency gains from internal production of acrylic binders and alkyd resins continue to support margin expansion. _Note: Results reflect a recovery trajectory for Q4 based on pent-up domestic demand._
📈 Hemas Holdings: Resilient 9M Growth Led by Healthcare
Hemas Holdings PLC (HHL) reported a steady performance for the nine months (9M) ended December 2025, with earnings rising 7.5% YoY to Rs. 5.9 Bn. Performance was bolstered by a 9.4% revenue increase to Rs. 96 Bn and reduced finance costs, despite a softer Q3 impacted by Cyclone Ditwah. • Market Performance: HHL shares surged 68% YoY, significantly outperforming the ASPI (+41.9%) and S&P SL20 (+26.6%), reflecting strong investor confidence. • Sector Breakdowns: • Healthcare: The primary driver, with revenue up 14.6% to Rs. 57.6 Bn and earnings growing 17% to Rs. 3.2 Bn. Strong demand in pharmaceutical distribution and hospitals (inpatient/outpatient) offset cyclone disruptions. • Consumer Brands: Revenue grew marginally to Rs. 36.5 Bn with earnings at Rs. 4.2 Bn. Seasonal shifts in the learning segment (Atlas) and cyclone-led distribution issues dampened quarterly results. • Mobility: Revenue up 18.5% to Rs. 1.7 Bn, driven by maritime volume growth and the new China–India Express service. • Strategic Moves: • Established Hemas AI Labs and initiated group-wide digital transformation. • Leadership transition: Ajith Fernando assumed the role of Chairman on 1 Jan 2026, succeeding Husein Esufally. • Committed Rs. 230 Mn for post-cyclone humanitarian relief and SME support. • Outlook: Recovery trends are evident in early 2026 as demand stabilizes and operating conditions improve nationwide.
📈 CIC Holdings Reports Rs. 70.3 Bn Revenue in 9MFY26
Agriculture-heavy conglomerate CIC Holdings demonstrated resilience during the nine months ending December 2025, overcoming climate disruptions to post steady growth. • Overall Performance: Consolidated revenue reached Rs. 70.28 Bn, up 8.69% YoY. Profit After Tax (PAT) grew to Rs. 5.97 Bn (vs. Rs. 5.7 Bn last year), while Operating Profit (EBIT) rose to Rs. 9.67 Bn. Gross profit margins improved to 26%. • Sector Breakdowns: • Crop Solutions: Remained the primary driver with Rs. 32.32 Bn revenue (44.7% of total), growing from Rs. 28.06 Bn despite Cyclone Ditwah impacting Maha season cultivation. • Livestock Solutions: Revenue rose to Rs. 14.6 Bn, supported by steady growth in poultry and veterinary care. • Health & Personal Care: Earned Rs. 14.46 Bn, bolstered by herbal health product exports and resilient domestic demand for pharmaceuticals. • Industrial Solutions & Agri Produce: Contributed Rs. 6.28 Bn and Rs. 4.64 Bn respectively. • Strategic Context: The Group’s diversified portfolio mitigated losses in agri-operations caused by cyclone-related cultivation disruptions. The focus remains on food security and healthcare access through export-driven growth and disciplined cost management.
Court Dismisses Case Against Asia Capital 📈
The Fort Magistrate’s Court has summarily dismissed a criminal case filed against Asia Capital PLC and several of its former employees, clearing the company of all charges. • Case Overview: The action was initiated by CC Trust Ltd, a Japanese-owned investor based in Singapore, alleging a criminal breach of trust. • Financial Scope: The dispute involved a sum of approximately US$ 6 million linked to a Shareholders’ Agreement dated 1 September 2017. • Court Ruling: The court dismissed the case, concluding that the allegations were baseless. Asia Capital PLC maintained that the matter was a commercial transaction rather than a criminal one. • Impact: The discharge absolves the company’s directors and staff of criminal liability, resolving a significant legal hurdle that had affected the firm's reputation in the investment banking and leisure sectors.
📈 MILCO Returns to Profit: Dividends for Dairy Farmers After 21 Years
Prime Minister Dr. Harini Amarasuriya announced a historic turnaround for the State-Owned Enterprise (SOE) MILCO, marking the first time in over two decades that profits have been shared directly with the farming community. • Financial Performance: MILCO recorded its highest-ever sales turnover in 2025, achieving a historic net profit within a 16-month turnaround period. • Farmer Incentives: A total of 22,000 dairy farmers are set to receive incentives. Dividend payments were symbolically presented to 2,000 farmers, covering all provinces. • Social Security: The program introduced the Farm/Farm Family Insurance and awarded pension membership certificates under the Dairy Farmer Retirement Scheme in partnership with the Social Security Fund. • Sector Impact: The government emphasized transforming livestock and dairy sectors through "economic democracy," focusing on minimizing fraud and corruption to make SOEs efficient and people-oriented. The move signals a shift toward inclusive growth, integrating local producers into the national production process while ensuring high standards and proper industry procedures.
⚖️ Arrest Warrant Issued for Shamindra Rajapaksa in Airbus Fraud Case
The Colombo Fort Magistrate’s Court has ordered the Criminal Investigation Department (CID) to arrest and produce Shamindra Rajapaksa, the youngest son of former Speaker Chamal Rajapaksa, in connection with the long-standing SriLankan Airlines Airbus scandal. • Case Context: The inquiry focuses on alleged financial fraud and bribery during the 2013 purchase of 14 Airbus aircraft for the national carrier. • Suspect Status: Shamindra Rajapaksa has been named the 3rd suspect. The court also directed the CID to seek an INTERPOL Red Notice, as the suspect is currently reported to be in the US. • Primary Accusations: • Kapila Chandrasena (former CEO) and his wife are the 1st and 2nd suspects. • Allegations involve a US$ 2 Mn bribe accepted from a French Airbus entity, later laundered through international accounts. • Investigations revealed a transfer of US$ 160,000 into an account belonging to Shamindra Rajapaksa in 2013. • Impact: The fraudulent deal and subsequent cancellation of aircraft orders reportedly cost the debt-burdened national carrier approximately US$ 400 Mn in losses and penalties. _Status: Based on ongoing magisterial inquiry and CID submissions (Feb 2026)._
📈 Commercial Bank to Raise Rs. 20 Bn via Debentures & Launch ESOP
Commercial Bank of Ceylon PLC has announced major capital-raising and internal equity plans to strengthen its financial position and align with Basel III requirements. • Debenture Issue Details: The bank aims to raise up to Rs. 20 billion through Basel III-compliant Tier II listed, rated, unsecured, subordinated, redeemable debentures. • Structure: Initial tranche of Rs. 10 billion (100 million debentures), with two optional tranches of Rs. 5 billion each in case of oversubscription. • Maturities: Options of five, seven, and 10 years at a face value of Rs. 100 each. • Key Feature: Includes a non-viability conversion feature as per regulatory standards. • Employee Share Option Plan (ESOP): A new ESOP will be established for the 2026-2028 period to drive employee engagement within the banking & financial services sector. • Equity Dilution: Capped at 3% of ordinary voting shares (up to 46,195,156 shares). • Current Capital: As of Jan 29, 2026, stated capital is ~Rs. 91.65 billion, represented by over 1.5 billion voting shares. • Regulatory Status: Both the debenture issue and ESOP are subject to approvals from the Colombo Stock Exchange (CSE) and shareholders. _Note: Based on official bank disclosure as of February 3, 2026._
Galle Face Capital Partners Announces 1:4 Share Split 📈
Galle Face Capital Partners PLC (WAPO) has approved a subdivision of its ordinary shares to enhance market liquidity. The decision, finalized by the Board on 31 January 2026, follows a period of significant share price appreciation. • Share Subdivision Details • Existing shares: 29,582,029 units. • New total shares: 118,328,116 units. • Split ratio: 1 share split into 4. • Stated capital: Remains unchanged at approx. Rs. 650 Mn. • Market Performance • Market Reaction: Share price rose by Rs. 22 (+20.7%) to close at Rs. 128. • Trading Volume: Over 1 million shares traded with a turnover exceeding Rs. 138.8 Mn. • Net Assets: Reported at Rs. 97.68 per share as of Dec-2025. • Ownership & Governance • Major Shareholders: Ceylon Land & Equity PLC (27.76%) and Shaw Wallace & Hedges (23.88%). • Public Float: 29.99% held by over 500 shareholders, meeting CSE compliance. This move by the investment & capital markets firm is intended to make shares more accessible to retail investors without altering the company's underlying value. The effective date for the split will be announced via the Colombo Stock Exchange (CSE) shortly. _Note: Based on provisional corporate disclosures._
📈 Ceylon Land & Equity to Raise Rs. 4.3 Bn via Rights Issue
Ceylon Land & Equity PLC has announced a major 2-for-1 Rights Issue to raise approximately Rs. 4.3 Billion, aimed at debt settlement and expanding its property development and portfolio management segments. • Issue Details • Proportion: Two (2) new ordinary voting shares for every one (1) existing share held. • Price: Issued at Rs. 7.00 per share (614.1 Mn new shares). • Total Capital: Expected infusion of ~Rs. 4.3 Bn. • Strategic Utilization of Funds • Settle short-term bank loans and inter-company borrowings. • Finance a Rs. 1.7 Bn investment in Shaw Wallace & Hedges Ltd to increase shareholding to 49.2%. • Fund future real estate and investment portfolio growth. • Market & Financial Context • Market Reaction: Share price closed at Rs. 15.20 (+Rs. 2.80), significantly above the issue price. • Net Assets: Reported at Rs. 14.95 per share as of Dec 2025. • Ownership: Major stakes held by Galle Face Properties (33.4%) and Almas Holdings (22.4%). _Note: Subject to CSE in-principle approval and shareholder vote at an EGM._
📈 PMF Finance Reports 140% Surge in Nine-Month Profit
PMF Finance PLC has showcased strong growth momentum for the nine months ended 31 December 2025, driven by a significant expansion in its loan book and improved margins within the financial services sector. • Financial Performance Highlights • Gross Income: Rs. 3.84 Bn (up 24.2% YoY). • Net Interest Income: Rs. 2.17 Bn (up 46.5% YoY). • Profit Before Tax (PBT): Rs. 456.7 Mn (up 139.5% YoY). • Net Profit: Rs. 266.1 Mn (up 39.4% YoY). • Earnings Per Share (EPS): Increased to Rs. 0.66 from Rs. 0.47. • Balance Sheet & Solvency • Total Assets: Rs. 23.08 Bn (up 6.8% since March 2025). • Loans and Advances: Rose by 13.4% to Rs. 19.47 Bn. • Equity: Strengthened by 8.7% to Rs. 3.31 Bn. • Debt-to-Equity: Improved to 5.74x from 5.93x, reflecting prudent leverage. • Market & Investor Outlook • Share Price: Closed at Rs. 14.00, nearly doubling from Rs. 7.90 YoY. • Ownership: Sterling Capital Investments Ltd. remains the dominant shareholder (81.6%), followed by Peoples Bank (8.3%). • Strategy: The results reflect resilient growth in core lending and improved asset quality, positioning the firm for further 2026 expansion. _Note: Based on provisional nine-month financial data._
LB Finance Secured A+ Entity Rating with Stable Outlook 📈
Lanka Rating Agency has assigned an initial A+ rating to LB Finance PLC, highlighting its dominant position in the leasing and finance sector and superior asset quality. • Market Position: As of September 2025, the company holds a significant 12.3% share of the sector's total assets and 12.4% of total deposits. It operates a nationwide network of 221 branches. • Portfolio Breakdown: The lending book is diversified across gold loans (38%) and leasing and vehicle loans (42%), with the balance in mortgage and term loans. • Financial Performance: • Net Interest Income: Reached Rs. 14.2 Bn in 1H FY2026. • Profitability: Reported Rs. 5.8 Bn for 1H FY2026, a 23.7% YoY increase. • Asset Quality: Maintained exceptional standards with a Gross NPL ratio of 1.55%, significantly below industry averages. • Capital Strength: The Capital Adequacy Ratio stands at 23.66%, far exceeding the Central Bank’s 14% requirement for large finance companies. The outlook remains stable, backed by strong controls and its status as a subsidiary of the Vallibel One Group (51.75% stake).
LB Finance Secures US$ 45 Mn Swiss Funding for MSME Growth 📈
• Overall Funding: Secured US$ 45 million in long-term senior debt facilities from two premier Swiss impact investors. • Investor Breakdown: The facility includes US$ 25 million from BlueOrchard Finance Ltd. (Schroders Group) and US$ 20 million from responsAbility Investments AG. • Strategic Focus: Funds are dedicated to expanding credit access for Sri Lanka’s micro, small, and medium-sized enterprise (MSME) sector, a critical driver of national employment and economic recovery. • Economic Impact: The capital injection strengthens LB Finance’s balance sheet and liquidity, specifically targeting underserved businesses to stimulate job creation and support export growth. • Context: The deal was formalized at AFIFORUM 2026 in Bangkok, reflecting international confidence in the company’s A-(lka) Stable Outlook (Fitch) despite the global financial environment.
### 📈 Ceylon Land to Invest Rs. 1.7 Bn in Shaw Wallace & Hedges
Ceylon Land & Equity PLC has approved a major capital infusion into Shaw Wallace & Hedges Ltd, an unlisted entity, through a strategic Rights Issue. • Investment Details Total Investment: Rs. 1.7 Billion. Voting Shares: 86.32 million shares at Rs. 17 each (Rs. 1.47 Bn). Non-Voting Shares: 21.5 million shares at Rs. 11 each (Rs. 236.5 Mn). • Ownership Impact The investment increases Ceylon Land’s total stake to 49.2% of issued ordinary shares. Post-transaction, it will hold 43.6% of voting power and 100% of all non-voting shares. Funding will be secured via internal cash reserves, temporary bank financing, and group borrowings. • Corporate & Market Context Ceylon Land & Equity focuses on property, equity, and debt investments, operating under the Renuka Group umbrella. Financial Health: As of Sept 2025, the company reported a Rs. 4.1 Bn balance sheet with Rs. 2 Bn in retained earnings and zero reported borrowings. Stock Performance: Shares closed at Rs. 12 (down Rs. 0.10) with 567,854 shares traded; net asset value stands at Rs. 13.44 per share.
📈 JKH 3Q Earnings: Group EBITDA Surges 68%
Top blue-chip John Keells Holdings PLC (JKH) reported a robust performance for 3Q FY2025/26, driven by strong momentum across its diverse portfolio. • Financial Performance: - Group Revenue: Up 54% YoY to Rs. 125.05 Bn. - Group EBITDA: Grew 68% YoY to Rs. 23.76 Bn. - Profit Before Tax (PBT): Increased by 113% to Rs. 12.89 Bn. - 9-Month Cumulative PBT: Rose 193% to Rs. 23.79 Bn. • Sector Highlights: - Leisure & Retail: Primary drivers of PBT growth. Sri Lankan Leisure saw high occupancy via increased tourist arrivals. - City of Dreams Sri Lanka: Recorded its first positive EBITDA of Rs. 1.43 Bn since launch. - Ports & Logistics: The West Container Terminal (WCT-1) recorded steady throughput growth and hit profitability ahead of expectations. - Automotive: John Keells CG Auto maintains a strong pipeline with over 3,900 vehicle deliveries pending. • Dividends & Outlook: - Declared a second interim dividend of Rs. 0.10 per share (Rs. 1.77 Bn outlay). - Management expects performance momentum to sustain, noting minimal impact from recent weather disruptions (Cyclone Ditwah).
📈 LVL Energy Fund to Raise Rs. 507 Mn via Rights Issue
LVL Energy Fund PLC (LVEF) has announced a Rights Issue to strengthen its balance sheet and manage liquidity. The move follows recent challenges with dividend remittances from foreign investments in Bangladesh and Nepal. • Issue Details: • Amount to be Raised: Up to Rs. 507.15 Mn. • Ratio: 3 new ordinary voting shares for every 31 existing shares. • Price: Rs. 7.50 per share (a discount to the recent market close of Rs. 9.70). • New Shares: Up to 67,619,394 shares to be issued. • Objective: • Proceeds will be used exclusively to settle outstanding debt already recognized as due. • As of Sept 2025, the company held long-term borrowings of Rs. 2.2 Bn and short-term debt of Rs. 466 Mn. • Market & Financial Context: • Stated Capital: Currently stands at Rs. 3.37 Bn. • Net Assets: Reported at Rs. 8.79 per share (as of Sept 2025). • Major Shareholder: Lanka Venture PLC remains the parent with a 52.48% stake. • Next Steps: • The issue is subject to in-principle approval from the Colombo Stock Exchange (CSE) and shareholder approval at an upcoming Extraordinary General Meeting (EGM).
📈 PickMe Achieves Record 9-Month Growth
Digital Mobility Solutions Lanka PLC (PickMe) reported a resilient performance for the first nine months of FY25/26, driven by record user engagement and expansion across its service verticals. • Overall Financials: Revenue: Rs. 6.2 Bn (↑ 50% YoY) Operating Profit: Rs. 2.1 Bn (↑ 93% YoY) Net Profit: Rs. 1.5 Bn (↑ 89% YoY) • Platform Performance: Gross Transaction Value (GTV): Rs. 59.5 Bn (↑ 46% YoY) Total Platform Activity: ↑ 47% YoY Average Driver Earnings: ↑ 14% YoY, highlighting the platform’s role in local employment and income generation. • Sector & Regional Insights: 3QFY26 revenue reached Rs. 2.3 Bn (↑ 48% YoY), despite disruptions from Cyclone Ditwah in late 2025. Growth in the ride-hailing and logistics sectors was supported by strong seasonal demand in the Western Province, which offset weather-related declines in the Central Province. • Strategic Outlook: The company’s platform-led strategy in the ICT/BPM and digital mobility space continues to scale efficiently through disciplined cost management and a growing supply base of third-party earners. _Source: Based on 3QFY26 provisional financial disclosures._
📈 Virtusa’s $5 Billion AI & Expansion Strategy
Virtusa CEO Nitesh Banga has detailed a strategic roadmap to scale the company into a US$ 5 billion enterprise, positioning the firm as a leader in domain-driven engineering for the AI era. • Strategic Growth Pillars: The plan balances organic growth with aggressive inorganic expansion. Recent acquisitions like Valentia Partners (regulatory/advisory), Maverick (Salesforce/Cloud), and SmartSoC (Semiconductors) are designed to broaden the technology stack and market reach. • The "Chip-to-App" Advantage: Through the SmartSoC acquisition, Virtusa is pivoting toward "chip-to-app" engineering. This end-to-end capability integrates foundational silicon engineering with cloud and enterprise applications, essential for complex AI infrastructure. • Sri Lanka’s Strategic Role: Sri Lanka remains a cornerstone of Virtusa’s global delivery network. • A new innovation hub in Colombo, partnered with British insurer CFC, underscores the country's shift from a delivery center to a hub for AI-powered insurance solutions. • The Virtusa Thrive Academy is actively upskilling local talent to meet global AI and ICT/BPM demands. • AI Transformation: The Virtusa Helio suite is the primary vehicle for embedding AI into core business processes. The focus is on "human plus agent" workflows, emphasizing desirability, feasibility, and ROI-driven viability. _Note: Growth targets and regional impacts are based on executive strategy outlines as of January 2026._
📈 Janashakthi Finance Records 39% PBT Growth in Q3
Janashakthi Finance PLC (formerly Orient Finance) reported a strong performance for the nine months ending 31 December 2025, driven by portfolio expansion and operational efficiency. • Financial Performance: Profit Before Tax (PBT) rose 39% YoY to Rs. 389 million. Net Operating Income saw a 35% YoY increase, reaching Rs. 2.2 billion, while Net Profit After Tax (NPAT) stood at Rs. 240 million. • Lending & Portfolio: The Loans and Receivables portfolio grew significantly by 49% YoY to Rs. 29 billion, reflecting high demand across key financial services segments. • Funding & Deposits: Customer deposits increased by 14% YoY to Rs. 17 billion, strengthening the company’s funding diversity and reflecting sustained stakeholder confidence. • Strategic Outlook: The growth is attributed to disciplined execution in non-banking financial institution (NBFI) operations, with a focus on responsible loan book expansion and prudent risk management to support Sri Lanka's evolving financial needs.
Tess Agro to Raise Rs. 250 Mn via Debentures & Warrants 📈
• Capital Raising: Tess Agro PLC plans to issue 2.5 million unsecured debentures at Rs. 100 each, seeking to raise Rs. 250 million. • Debenture Terms: Features a 6% fixed interest rate per annum (payable annually) with a 5-year tenure and bullet repayment at maturity. • Warrant Component: Includes 100 million warrants (40 per debenture). Each warrant allows the purchase of one ordinary share at Rs. 2.20. • Potential Equity: Full exercise of warrants could infuse up to Rs. 220 million in additional capital, supporting future expansion. • Fund Utilization: Proceeds will be used to settle existing borrowings, meet working capital needs, and fund capital expenditure. • Financial Context: As of Sept 2025, the company reported short-term borrowings of Rs. 50.3 Mn and long-term borrowings of Rs. 378.3 Mn. Net assets stood at 38 cents per share. • Market Status: Shares recently closed at Rs. 2.20. The issue remains subject to shareholder and Colombo Stock Exchange regulatory approvals. Based on provisional company disclosures.
## Hemas Holdings Secures Kenyan Regulatory Approval for Acquisition 📈
Hemas Holdings PLC has received official clearance from the Competition Authority of Kenya to proceed with its acquisition of a majority stake in a Kenyan-based consumer products company. • Transaction Status: The approval follows a Share Sale and Purchase Agreement signed on 25 September 2025. • Next Steps: The acquisition remains subject to further conditions, most notably obtaining necessary approval from the Central Bank of Sri Lanka. • Strategic Impact: This move marks a significant step in the fast-moving consumer goods (FMCG) giant's regional expansion, signaling a push for market diversification beyond Sri Lanka. • Investor Note: Hemas will provide further updates to the Colombo Stock Exchange as the transaction progresses. Based on latest corporate disclosures. ---
Fitch Affirms WindForce PLC at ‘A+(lka)’; Outlook Stable 📈
• Rating Action: Fitch Ratings has affirmed WindForce PLC’s National Long-Term Rating at ‘A+(lka)’ with a Stable Outlook, reflecting its status as a leading renewable energy producer in Sri Lanka and regional markets. • Expansion & Capex: The company plans a massive LKR 40 Bn investment over the next two years for solar and wind projects. This includes Sri Lanka’s largest renewable project (100MW solar with battery storage) in partnership with Lakdhanavi. Total capacity is expected to exceed 200MW by FY28. • Financial Health: • Leverage: EBITDA net leverage is projected to spike to 6.8x in FY27 due to debt-funded capex, before moderating to 4.6x in FY28. • Margins: EBITDA margins are expected to stabilize at ~70% for FY26–FY28. • Receivables: Payment cycles from the CEB have significantly improved, dropping to 40 days from a peak of 350 days in FY23. • Key Constraints: The rating is capped by the credit profile of the Ceylon Electricity Board (CEB), which accounts for over 80% of WindForce’s EBIT. While CEB’s performance has improved, risks remain regarding cost-reflective tariff implementation and sovereign support. • Sector Impact: As a major player in power & energy, WindForce’s growth supports national decarbonization goals and reduces reliance on imported fossil fuels, though it remains highly sensitive to the financial stability of the state utility.
## CEB Trade Unions Threaten Industrial Action Over Restructuring ⚡
Trade unions of the Ceylon Electricity Board (CEB) have warned of imminent industrial action, citing unresolved disputes regarding employee rights and the ongoing transition under the Electricity Act, No. 36 of 2024. • Core Demands: The unions are demanding a formal collective agreement to secure all existing financial and non-financial benefits before restructuring is gazetted. This includes safeguarding loans, interest concessions, and incentives. • Salary & Benefits: Key financial demands include: Integrating the Rs. 10,000 temporary allowance into basic salaries. Implementing a uniform 25% salary increase effective from January 2024. Correcting anomalies from the August 2024 salary revision and paying agreed cost-of-living allowances. • Restructuring Concerns: Unions insist on a comprehensive audit and valuation of CEB assets (land, vehicles, substations) before any transfer to new entities. They also expressed concern over the "informal" preparation of the Employee Handbook and demanded legal protections for pension and provident funds. • Operational Risks: The unions warned against announcing the restructuring effective date without a "practical contingency mechanism." They highlighted that the CEB’s current unified structure was vital for rapid recovery during recent natural disasters. • Impact: Failure to address these demands may lead to nationwide disruptions in the power sector, potentially impacting industrial stability and the broader economy. Based on formal notice sent to the Ministry of Power. 📉 ---
Ambeon Capital to acquire controlling stake in Harischandra Mills 📈
Diversified conglomerate Ambeon Capital PLC has moved to acquire a majority stake in the iconic consumer goods manufacturer, Harischandra Mills PLC, through its subsidiary Ambeon Essentials (Pvt) Ltd. • The Deal: Ambeon signed a Share Sale and Purchase Agreement (SSPA) on 24 January 2026 to acquire 981,118 ordinary voting shares. • Ownership: The acquisition represents a 51.11% controlling interest, purchased from a consortium of investors. • Voluntary Offer: Following regulatory clearance, Ambeon Essentials intends to make a voluntary offer to purchase the remaining voting shares from all other shareholders. • Strategic Context: This move follows significant market activity in late 2025 involving Harischandra Mills, a company deep-rooted in Sri Lanka’s food and beverage and manufacturing sectors. _Status: Subject to regulatory approvals; offer price and terms to be announced._
📈 Darley Butler Increases Stake in York Arcade to 10.6%
Darley Butler & Co. Ltd has significantly boosted its position in York Arcade Holdings PLC through a market acquisition totaling Rs. 198 million. • Transaction Details: Purchased 15 million shares (10% of issued capital) on Friday. The acquisition was executed in two tranches: 10 million shares at Rs. 13.00 and 5 million shares at Rs. 13.60. • Shareholding Shift: Total holding rose from 0.6% (900,000 shares) to 10.6% (15.9 million shares). • Market Context: Shares closed Friday at Rs. 13.30. The current price level reflects a December 2025 1:200 share split, which expanded the share base from 750,000 to 150 million shares. • Corporate Structure: Darley Butler is a subsidiary of E.B. Creasy & Company PLC. This move follows a major ownership change in November 2025, where Lankem Ceylon PLC acquired a 50.15% controlling stake. • Financials: York Arcade reported net assets of Rs. 304.21 per share in the most recent quarter (pre-split basis).
📈 Senthilverl Holdings Crosses 10% Stake in Lee Hedges
Senthilverl Holdings Ltd. has increased its stake in Lee Hedges PLC to 10.10%, crossing the major shareholding threshold following a series of share purchases. This comes amidst a broader takeover move for the real estate company. • Ownership Milestone: Senthilverl Holdings acquired over 100,000 shares on January 19 at prices between Rs. 247.75 and Rs. 255. This raised its total holding to 2,584,777 shares (up from 9.69%). • Takeover Context: A Mandatory Offer has been triggered by Lanka Realty Investments PLC (LRI) to purchase the remaining 28.9% stake (approx. 7.4 Mn shares) at Rs. 216 per share. • Strategic Consolidation: LRI, acting in concert with Mauritius-based Eighth Wonder (which recently bought a 20.1% stake), now controls a combined 71.1% of the company. • Market Position: Lee Hedges PLC, a key player in Colombo's commercial property and real estate sector, has an issued share capital of 25.6 Mn shares. Its stock closed at Rs. 235.50, significantly higher than the mandatory offer price. _Note: Based on recent CSE filings and market disclosures as of Jan 23, 2026._
LB Finance PAT Surges 24% to Rs. 8.93 Bn 📈
• Financial Performance: LB Finance PLC reported a Profit After Tax (PAT) of Rs. 8.93 billion for the nine months ended 31 December 2025, a 24% YoY increase. Total Operating Income rose 24% to Rs. 27.18 billion, supported by a 23% growth in total income to Rs. 42.57 billion. • Balance Sheet & Assets: Total assets grew to Rs. 349.4 billion (Company) and Rs. 369 billion (Group). Loans and receivables expanded to Rs. 282.25 billion, while customer deposits reached Rs. 158.33 billion, reflecting strong public confidence in the financial services sector. • Profitability & Efficiency: • Return on Equity (ROE): 21.82% • Return on Assets (ROA): 4.03% • Cost-to-Income Ratio: 30% • Earnings per Share (EPS): Rs. 16.12 (up from Rs. 12.95) • Asset Quality & Liquidity: The Gross NPL ratio improved to 1.46% with a provision coverage of nearly 190%. Core Capital to Risk-Weighted Assets stood at 19.93%, well above regulatory requirements. • Strategic Moves: The company acquired a controlling stake in Associated Motor Finance Company PLC (AMF), strengthening its leasing and vehicle financing footprint. Expansion into the Philippines and digital growth via the 'LB CIM' platform remain key drivers for future regional scaling. _Note: Data based on nine-month interim financial results._
JPMorgan Chase Acquires WealthOS to Boost Wealth Tech Capabilities 📈
U.S. banking giant JPMorgan Chase has acquired WealthOS, a U.K.-based cloud-native wealth management software provider, to enhance its retirement planning and personal investing services. • Strategic Expansion: The acquisition follows JPMorgan’s significant push into the U.K. retail market, building on its 2021 launch of Chase digital bank and its £ 700 million acquisition of Nutmeg (now J.P. Morgan Personal Investing). • Sri Lankan Impact: WealthOS maintains a specialized product and software engineering center in Sri Lanka. This acquisition highlights the global integration and technical expertise of the local ICT/BPM sector in supporting high-value fintech infrastructure. • Scale and Technology: The move provides JPMorgan access to advanced "cloud-native" technology to service its growing U.K. customer base, which includes approximately 275,000 personal investing clients. • Deal Terms: While the deal was confirmed via internal memo, the acquisition price remains undisclosed. WealthOS was founded in 2019 and chaired by former Google executive John Herlihy.
📈 Union Assurance Launches 'Momentum 2026' Strategy
Sri Lanka's longest-standing private life insurer, Union Assurance, recently hosted "Momentum 2026," a premier conference at Cinnamon Grand Colombo. The event united its top-performing advisers to launch a new strategic roadmap focused on "protecting what matters most" through innovative life insurance solutions. • Strategic Focus & Benchmarking The 2026 strategy is anchored in elevating adviser capabilities to global benchmarks. It aims to deepen customer impact across key protection pillars: health, wealth, family, education, retirement, and legacy. • Financial Standing (as of Sept 2025) Market Capitalisation: Rs. 46.2 Bn Life Fund: Rs. 91.1 Bn Asset Growth: Surpassed Rs. 100 Bn in total assets during 2024, showing strong financial resilience. • Industry Leadership & Human Capital Workforce: Employs over 3,000 personnel (down from 4,300 in 2024 per recent data) with an elite agency distribution force. Expertise: Features a panel of international and local icons, including Sanath Jayasuriya and Peter D’Almeida, to sharpen leadership and technical expertise. Sector Contribution: As a subsidiary of John Keells Holdings (JKH), the company continues to drive diversification and financial security within the financial services sector. • Brand Recognition Recognized among the Top 50 Most Valuable Brands in Sri Lanka for 2025, emphasizing its role in the nation's socio-economic fabric. _Note: Financial figures for late 2025 are based on provisional interim reports._
### Hayleys PLC Unveils Rs. 13.5 Bn "Win-Win" Capital Move 📈
Sri Lankan blue-chip giant Hayleys PLC has announced a historic capital restructuring and payout plan, marking its first rights issue since the 2009 takeover by business leader Dhammika Perera. Capital Raising & Debt Management • Rights Issue: Aims to raise Rs. 9.0 Bn by issuing 45 million new shares. • Ratio & Pricing: Offered at 3 new shares for every 50 held at Rs. 200 per share. • Objective: Proceeds will fund new investments—including an ambitious 100-outlet supermarket chain expansion—and the partial settlement of existing debt to strengthen the balance sheet. Shareholder Returns & Market Impact • FY26 Dividend: Declared an interim dividend of Rs. 6 per share, totaling a Rs. 4.5 Bn payout. • Timeline: Dividend payment is scheduled for 12 February 2026 (Record Date: 02 Feb). • Price Action: Hayleys shares surged by Rs. 30.50 (+14%) to close at Rs. 248.50 ahead of the official announcement. Sector & Financial Context • Diversification: The move supports Hayleys' vast portfolio spanning apparel & textiles, tea exports (Hayleys Plantations), and renewable energy (Hayleys Fentons). • Asset Value: Net assets stood at Rs. 131.67 per share as of Sept 2025. • Ownership: Major stakeholders include Dhammika Perera (51.01%) and the D.S. Jayasundera Trust (11.6%). _Note: The Rights Issue is subject to CSE in-principle approval and shareholder resolution at an upcoming EGM._
Almas Holdings Divests 24.78% Stake in Renuka Holdings 📈
• Transaction Overview: Almas Holdings Ltd. has sold a significant 24.78% stake in Renuka Holdings PLC (non-voting ordinary shares) for a total consideration of Rs. 243 million. • Buyer Breakdown: Capital Alliance Quantitative Equity Fund: Acquired a 5.16% stake (1.25 million shares). Market Divestment: 19.62% stake (4.75 million shares) sold to the public at Rs. 40.50 per share. • Context & Positioning: Prior to this sale (as of end-September 2025), Almas Holdings was the largest non-voting shareholder with a 43.34% stake. This move represents a major portfolio adjustment within the diversified holdings sector. • Market Performance: Renuka Holdings non-voting shares closed yesterday at Rs. 43.50, reflecting a gain of Rs. 1.90 (+4.57%) following the transaction activity.
📈 Blue Diamonds Eyes Strategic Investor to Combat Capital Erosion
Blue Diamonds Jewellery Worldwide PLC has confirmed a serious loss of capital, with net assets plummeting below the 50% statutory threshold required by the Companies Act. The board held an Extraordinary General Meeting (EGM) yesterday to present a recovery roadmap involving new investment and governance reforms. • Financial Position (as at 31 March 2024): • Stated Capital: Rs. 252.04 Mn • Net Assets: Rs. 114.56 Mn (Current value approx. Rs. 0.07 per share) • Annual Net Loss: Rs. 138.68 Mn • Accumulated Losses: Rs. 197.86 Mn • Recovery Strategy: • The company is in active discussions with a strategic investor in the jewellery industry to restore its capital base and provide market access. • A capital-raising exercise is planned, pending due diligence and regulatory approvals from the CSE and SEC. • Efforts are underway to regularize Board composition and address overdue financial statements to lift the trading suspension active since December 2024. • Sector Outlook: Despite "prolonged adverse market conditions" and high operating costs, the Board maintains that the gems and jewellery sector remains a viable industry with long-term strategic value for the listed entity.
📈 Sunshine Holdings to Acquire 75% Stake in Joint Agri Products Ceylon
Diversified conglomerate Sunshine Holdings PLC (SUN) has signed a Share Purchase Agreement (SPA) as of January 21, 2026, to acquire a 75% majority stake in Joint Agri Products Ceylon (Private) Limited (JAPC). This move marks a significant expansion into the premium export-oriented sector. • Strategic Rationale: The acquisition is designed to expand SUN’s global footprint and diversify its Consumer sector by entering high-value international markets through a resilient, export-led platform. • Business Operations: JAPC specializes in the processing and export of organic spices and agricultural products. It operates via two primary channels: • General Exports: Established B2B sales to international clients. • Direct-to-Consumer: An emerging B2C retail segment currently in its infancy. • Sector Impact: This investment strengthens Sri Lanka’s export-oriented agri-business landscape. SUN intends to leverage its expertise in governance and operational excellence to scale JAPC’s existing organic spice platform. • Transition: Operations will continue uninterrupted, with Sunshine Holdings’ management working alongside JAPC’s existing leadership to ensure a seamless integration and long-term value creation for the national economy.
## CBL Group Expands Global Footprint with US$ 25 Mn Acquisition in Indonesia 📈
CBL Group, a leading Sri Lankan food conglomerate, has strategically acquired Indonesian coconut processing facility PT Tri Jaya Tangguh (TJT) for over US$ 25 Mn. This move, supported by the International Finance Corporation (IFC), aims to scale production and mitigate geographic risks. • Strategic Investment: The acquisition of TJT, which employs 800+ staff, positions CBL to leverage Indonesia’s status as the world’s largest coconut producer. The facility will utilize Indonesia’s trade agreements to enhance market access, specifically targeting growth in Europe and the United States. • Sector Significance: Global demand for coconut products is projected to hit US$ 12 Bn by 2030. In Sri Lanka, coconut-based exports crossed the US$ 1 Bn threshold in 2025, underscoring the sector's vital role in the national economy. • Operations & Growth: CBL is simultaneously doubling capacity in Sri Lanka while using Indonesia as a global hub. Focus remains on value-added products like coconut milk to meet rising consumer demand for plant-based and functional ingredients. • Key Outcomes: Enhanced supply-chain resilience and increased export capacity. Strengthening of the group’s end-to-end value chain and product innovation.
📈 Mazagon Dock Acquires 41.7% Stake in Colombo Dockyard
India’s state-owned Mazagon Dock Shipbuilders Ltd (MDL) has officially entered the Sri Lankan maritime sector, acquiring a 41.73% stake in Colombo Dockyard PLC (CDPLC) for approximately Rs. 6.6 Billion. • Transaction Details: MDL acquired 164,916,229 ordinary shares on 19 January 2026 at a price of Rs. 40 per share. • Mechanism: The acquisition was finalized via an allotment of shares from the unsubscribed Rights entitlement of the former parent company, _Onomichi Dockyard Company Ltd_ (Japan). • Ownership Shift: MDL’s shareholding in the flagship shipbuilding & repair entity increased from zero to 41.73% of the total 395.22 million issued shares. ### Strategic Impact • Sector Revival: The capital infusion is critical for Colombo Dockyard, which has faced recent financial challenges and "going concern" warnings. • Maritime Synergies: The deal integrates Sri Lanka’s largest shipyard with India’s premier defense shipbuilder, expected to boost ship repair volumes and technical expertise. • Regional Logistics: This move strengthens bilateral maritime ties and positions the Port of Colombo as a more competitive hub for regional vessel maintenance. _Note: Data based on official corporate disclosures following the allotment on Jan 19, 2026._
### 📈 Hela Apparel Proposes $ 12 Mn Stake Transfer in Hela Brands
Hela Apparel Holdings PLC has announced plans to divest a majority stake in its overseas subsidiary, Hela Brands Ltd., to a strategic investor. • Transaction Details: The proposed deal involves the transfer of up to 65,000 shares, representing a 65% stake in the entity. • Valuation: The total value of the transaction is estimated at US$ 12 million. • Strategic Move: The divestment aims to bring in a strategic partner for its brand-focused subsidiary, potentially aiding in capital infusion or market expansion. • Shareholder Approval: An Extraordinary General Meeting (EGM) is scheduled for 3 February 2026 at 3:30 p.m. via an online platform to finalize the resolution. This move marks a significant restructuring for the apparel & textiles giant as it optimizes its international brand portfolio.
📈 Softlogic Life Secures $ 15 Mn Foreign Funding for Growth
Softlogic Life Insurance PLC has secured a US$ 15 Mn five-year Tier 2 loan from Norfund and OP Finnfund Global Impact Fund I. The investment aims to strengthen the company’s balance sheet and accelerate digital transformation and market reach. • Financial Performance (9M 2025): • Gross Written Premiums (GWP): Rs. 28.2 Bn (up 29% YoY). • Profit Before Tax: Rs. 3.3 Bn. • Total Assets: Rs. 59 Bn | Total Equity: Rs. 11.6 Bn. • Return on Equity (ROE): 24%. • Capital & Resilience: • Capital Adequacy Ratio (CAR): 298% (well above the 120% regulatory minimum). • Demonstrates strong international investor confidence in the insurance sector despite macroeconomic challenges. • Operational Highlights: • Claims Disbursed: Rs. 13.5 Bn (Rs. 9.5 Bn for health & protection). • Efficiency: Over 98% of claims settled within a single day. • Innovation: Recently awarded 'AI Initiative of the Year' at the 2025 Asia Insurance Industry Awards. • Strategic Focus: The funding will drive microinsurance access for low-to-mid income segments and scale AI-enabled underwriting and predictive analytics to enhance the inclusive protection landscape in Sri Lanka.
📈 UST Expands Sri Lanka Presence with Tailwind Acquisition
Global AI and technology transformation firm UST has acquired Texas-based fintech innovator Tailwind Business Ventures. This strategic move is set to bolster UST's digital banking capabilities and significantly expand its operational footprint in Sri Lanka. • Strategic Expansion Tailwind, which established its Sri Lanka operations in 2009, brings a team of over 220 employees globally. The acquisition integrates Tailwind’s Software as a Relationship (SAAR™) model with UST’s expertise in AI and enterprise modernization. • Sector Impact: ICT/BPM & Fintech The deal strengthens Sri Lanka’s position as a hub for high-end ICT/BPM services. Key focus areas include: Digital Banking: Implementation of AI-based solutions for banks and credit unions. Legacy Modernization: Upgrading core financial systems for global clients. Product Customization: Tailored fintech solutions through partnerships with platforms like Temenos and Q2. • Market Outlook The merger positions UST to capture a larger share of the digital banking services market across emerging regions, including APAC, LATAM, and Africa. While the investment value remains undisclosed, the move aligns with Sri Lanka’s goal of reaching US$ 3.00 Bn in ICT export revenue by leveraging specialized fintech talent. _Note: Operational details are based on recent company announcements._
## 🚖 Casons Taxi Rebrands as The Taxi Company for Next Growth Phase
Following 14 years of operations, Casons Taxi has officially rebranded as The Taxi Company (effective 10 January 2026), signaling a strategic shift toward enhanced digital integration and a potential future listing. • Core Operations: The company remains heavily focused on corporate mobility, which accounts for approximately 80% of its total operations. Service delivery, billing processes, and rates remain unchanged during this transition. • Service Diversification: Beyond standard passenger transport, the firm provides specialized solutions including: Corporate staff transport and airport/hotel transfers. Logistics for the hospitality sector (e.g., food delivery for major hotels). Utility vehicle support for the telecommunications, solar energy, and construction sectors. In-house office and household relocation services. • Digital Evolution: A new website (thetaxi.lk) is live, with a driver app currently in beta testing. Development is underway for a dedicated corporate booking portal and a consumer-facing mobile application to streamline ICT-driven transport management. • Growth History: Launched in 2011 with just 10 vehicles, the company has evolved into a diversified transportation & logistics provider, recently earning the Excellence in Collaboration and Service Award at the Huawei South Asia Supplier Convention 2024.
📈 Toyota Motor Sweetens Buyout Bid to $35 Bn Amid Global Production Slump
• Toyota Motor has increased its tender offer price to take the company private, raising the bid by over 15% to 18,800 yen ($118.11) per share. The total deal value now exceeds US$ 35 Bn. • The revised offer follows a request for a higher price from Toyota Industries, the founding entity that produces engines, electronic components, and stamping dies. The original June 2025 offer was 16,300 yen per share. • Global Performance: Toyota reported a 5.5% YoY decline in global production (821,723 units) for November, the first drop in six months. Global sales fell 2.2%, primarily driven by a slowdown in the Chinese market following reduced subsidies. • Trade Headwinds: The automaker projects a significant 1.45 trillion yen (approx. US$ 9 Bn) impact from U.S. tariffs for the current financial year ending March. • Strategic Investment: Despite tariff concerns, Toyota is moving forward with a US$ 912 million investment in U.S. manufacturing facilities, part of a long-term US$ 10 Bn commitment to the U.S. market by 2030. • This privatization move highlights a shift toward consolidating group operations and R&D capabilities to navigate volatile global trade dynamics and shifting demand in the automotive sector.
📈 Hemas Holdings Launches "Project Fusion" for Group-Wide Transformation
Diversified conglomerate Hemas Holdings PLC has announced a major strategic initiative, Project Fusion, to accelerate growth through data-driven execution and operational agility. The drive aims to unify core processes and digitize systems across its diverse portfolio. • Strategic Objectives Project Fusion will create a unified operating backbone to support expanding scale in the consumer, healthcare, and mobility sectors. The initiative focuses on faster decision-making, real-time insights, and standardizing key business processes to improve responsiveness to regional market dynamics. • Sector Impact Consumer Brands: Enabling faster response to market needs and seamless collaboration across the value chain. Healthcare: Strengthening the digital core to scale innovation and improve customer service delivery. ICT/Digital: Establishing a robust digital foundation for future platforms and data-driven capabilities. • Implementation & Governance KPMG: Appointed as the primary implementation partner. EY: Providing independent governance and oversight for disciplined execution. • Corporate Context The project advances Hemas’ people agenda by equipping teams with future-ready skills. According to Group CEO Ashish Chandra, this is a long-term investment in a "digital core" to sustain industry leadership and deliver enhanced value to stakeholders.
Browns Beach Hotels to Delist from CSE with Rs. 30 Exit Offer 📈
• Overall Proposal: Browns Beach Hotels PLC (BBH) has resolved to voluntarily delist from the Colombo Stock Exchange (CSE), offering minority shareholders an exit price of Rs. 30 per share. This represents a premium over its last closing price of Rs. 23.20. • Financial Position: The company reported net liabilities of Rs. 6.10 per share as of September 2025. Sustained losses since 2019—driven by the Easter Sunday attacks, COVID-19, and the economic crisis—have led to a negative net asset position and an "Emphasis of Matter" on its ability to continue as a going concern. • Sector & Compliance Context: Operating in the tourism & leisure sector, BBH cited inadequate revenue projections to resolve its "Going Concern" status or resume dividend payments. The company is also currently non-compliant with minimum public holding requirements and sits on the CSE Watch List. • Ownership & Valuation: • Top Shareholders: Melstacorp PLC (41.88%) and Aitken Spence Hotel Holdings (36.62%) will facilitate the purchase of minority shares. • Fair Value: The Rs. 30 offer exceeds the independent valuation by BDO Partners, which noted an intrinsic value of negative Rs. 19.31 (DCF) and a 1-year volume-weighted average price of Rs. 18.58. • Next Steps: The delisting remains subject to shareholder approval at a General Meeting and final clearance from the Securities and Exchange Commission of Sri Lanka (SEC).
📈 HNB CEO Warns of Liquidity Pressures Amid Credit Surge
Hatton National Bank (HNB) CEO Damith Pallewatte highlights that while the banking sector saw phenomenal loan growth in 2025 (2x-3x higher than average), this expansion is now straining margins and market liquidity. • Market Dynamics & Liquidity Significant shift from low-yield Government securities to private sector loans and advances. Rising deposit rates are increasing funding costs, leading to an upward trend in lending rates. Reopening of vehicle imports has diverted credit toward consumption, further tightening liquidity. • Regulatory & Capital Markets Lower single borrower limits are forcing large conglomerates to shift away from traditional banking and toward capital markets for funding. 2026 is expected to be the transition year where investment banks play a larger role in corporate fundraising. • Economic Outlook & Risks Current 5% growth targets may be insufficient to avoid a potential second debt restructuring post-2028. A critical need for higher Foreign Direct Investment (FDI) persists as current frameworks underperform expectations. Impact of Cyclone Ditwah remains limited; the "business engine" continues to run despite infrastructure costs. • Sector Impact Macro adjustments likely to favor exporters over importers as exchange rates and interest rates firm up. Improvement in asset quality is helping banks attract better funding despite balance sheet pressures.
Vallibel Finance to Raise Rs. 2.12 Bn via Rights Issue 📈
Vallibel Finance PLC has announced a Rights Issue to raise approximately Rs. 2.12 billion, aimed at bolstering its Tier I capital and funding strategic business expansion. • Issue Details: The company will issue 29,431,675 new ordinary voting shares at a price of Rs. 72 per share. • Entitlement Ratio: Shares are offered on a basis of one (1) new share for every eight (8) existing shares held. • Objectives: Proceeds will be utilized to maintain compliance with Central Bank of Sri Lanka (CBSL) capital adequacy requirements and support growth within the financial services sector. • Regulatory Status: The proposal received CBSL approval on January 16, 2026. • Current Financials: The company’s stated capital exceeds Rs. 1.3 billion, with net assets reported at Rs. 68.72 per share (as of Sept 2025). • Ownership: Major stakeholders include Vallibel Investments Ltd (51.44%) and Dhammika Perera (21.43%), with a public float of 21.27%. The move signals a proactive step in strengthening the firm's balance sheet amidst evolving regulatory standards for licensed finance companies.
📈 Soorya Brand Named Silver Sponsor for JITF 2026
Sun Match Company has announced its flagship brand, Soorya, as the Silver Sponsor for the upcoming Jaffna International Trade Fair (JITF) 2026. This 16th edition of the "Gateway to the North" serves as a vital platform for regional economic integration. • Event Schedule & Venue The three-day trade fair is set for January 23–25, 2026, at the Muttraweli Ground in Jaffna. It remains the Northern region's most influential commercial gathering. • Strategic Regional Engagement The 42-year-old heritage firm from the Central Province aims to strengthen ties with Northern consumers. Soorya, a staple in the fast-moving consumer goods (FMCG) sector, will showcase its product range at Stall Nos. 18 and 115. • Economic Significance The JITF 2026 is expected to host over 400+ stalls, facilitating growth across diverse sectors including agriculture, ICT/BPM, apparel, and construction. In 2025, the event drew approximately 78,452 visitors, highlighting its role in post-conflict economic revival and SME development. • Company Focus The sponsorship underscores Sun Match Company's commitment to customer-focused innovation and local community support. The brand continues to position itself as a provider of "everyday convenience" to households across Sri Lanka.
## 📈 Vidullanka & David Pieris Secure 50MW Wind Project
A consortium between Vidullanka PLC and the David Pieris Group has officially received the Letter of Award from the Ceylon Electricity Board (CEB) for the development of Lot 2 of the Mullikulam Wind Power Project. • Project Scope: The development involves a wind power plant with a total capacity of 50 MW. • Operational Terms: The plant will operate on a Build, Own, and Operate (BOO) basis for a period of 20 years. • Execution: A dedicated entity, Mullikulam Wind Power Ltd, has been incorporated for implementation, with ownership split 50:50 between the two partners. • Timeline: The formal award was issued on 14 January 2026, following the initial disclosure in October 2025. • Market Impact: This highlights continued momentum in the renewable energy sector. On the day of the announcement, Vidullanka voting shares held steady at Rs. 23.00, while non-voting shares rose slightly to Rs. 19.50.
📈 MTI Consulting Completes Strategic Turnaround for Zimbabwe’s US$ 16 Bn Sovereign Fund
MTI Consulting, a leading strategy firm with strong roots in the Sri Lankan ICT/BPM and professional services sector, has successfully concluded a performance review and turnaround strategy for the Industrial Development Corporation of Zimbabwe (IDCZ) under the country’s sovereign wealth fund. • Strategic Scope: The assignment involved developing restructuring blueprints for the Mutapa Investment Fund, which manages a massive portfolio of 66 companies across natural resources, energy, infrastructure, industrials, and financial services. • Key Partners: MTI worked alongside the State Enterprises Restructuring Agency (SERA) and the Mutapa Investment Fund leadership, headed by CEO Dr. John Mangudya, to align Zimbabwe's state enterprises with regional best practices. • Economic Relevance: This project highlights the growing export potential of Sri Lanka's knowledge services sector. By exporting high-value consultancy, local firms are diversifying the nation's service-based revenue beyond traditional tourism and logistics. • Methodology: The strategy integrated stakeholder feedback from Zimbabwe’s non-bank financial institution (NBFI) and industrial sectors, applying "best-fit" models from top-performing regional development corporations. Based on official project conclusion data as of January 16, 2026.
📈 SPC Achieves Record Financial Turnaround in 2025
The State Pharmaceuticals Corporation (SPC) reported a landmark year in 2025, marked by a massive surge in government contributions and historic operational milestones. • Fiscal Performance • Total contribution to the Government (taxes and levies) surged by 173% YoY to Rs. 1.1 billion. • Revenue from the Own Revenue Stream (ORS) increased by 26%. • Production within the ORS grew by 36% YoY, reflecting a sharp rise in operational efficiency. • Retail & Network Expansion • Income from the State Osusala pharmacy network rose by 9%. • Growth was driven by 5 new outlets in Kiribathgoda, Narahenpita, Kegalle, Kalmunai, and Batticaloa. • Several previously loss-making outlets returned to profitability due to efficiency gains. • Operational Milestones • For the first time in its 53-year history, SPC achieved 100% utilization of its annual budget allocation for supplies to the Department of Health Services. • The corporation has initiated ISO 17025 laboratory accreditation to enhance drug quality and safety standards. • National Context As a critical supplier of pharmaceuticals and surgical consumables, the SPC continues to stabilize the healthcare sector by ensuring public access to essential medicines at affordable prices through a rigorous four-stage quality testing process.
## CEB Restructuring: Cabinet Approves Basic Transfer Plan ⚡
The Cabinet of Ministers has officially cleared the Basic Transfer Plan, a pivotal milestone in the formal restructuring of the Ceylon Electricity Board (CEB) under the Sri Lanka Electricity (Amendment) Act, No. 36 of 2024. • Core Transition: The plan facilitates the legal transfer of assets, liabilities, functions, and roles from the state utility to newly designated successor companies. • Operational Scope: Covers the transition of the three primary pillars of the power sector: Generation, Transmission, and Distribution. • Financial Readiness: Includes specific financial arrangements to ensure successor entities can begin operations immediately and efficiently. • Reform Objective: Aimed at modernizing the energy sector, enhancing operational transparency, and improving efficiency to support national economic stability. • Status: This approval marks the conclusion of the formal reform planning phase, with physical asset and responsibility transfers now set to commence.
📈 Aitken Spence Hotel Holdings to Raise Rs. 5 Bn via Debentures
The Board of Aitken Spence Hotel Holdings PLC has approved a plan to raise up to Rs. 5 billion through the issuance of listed, rated, unsecured senior redeemable debentures on the Colombo Stock Exchange. • Issue Structure: The capital raising will be conducted in two tranches. The initial tranche aims for Rs. 3 billion (30 million debentures at Rs. 100 each). • Upsize Option: An additional Rs. 2 billion (20 million debentures) may be issued in the event of oversubscription, bringing the total potential value to Rs. 5 billion. • Regulatory Status: The issue is subject to regulatory approvals; an application for listing on the CSE will be submitted shortly. • Market Terms: Specifics regarding tenure, coupon rates, and interest frequency are yet to be finalized and will be determined based on prevailing market conditions. This move underscores a strategic push for capital in the tourism and hospitality sector, a vital component of Sri Lanka’s foreign exchange earnings and service-led growth. _Note: Summary based on official company disclosure dated January 14, 2026._
BIA Currency Exchange Contracts Awarded for Rs. 3.8 Bn 📈
The Cabinet of Ministers has approved awarding three-year contracts to five operators for currency exchange services at the Bandaranaike International Airport (BIA) arrivals terminal. The competitive bidding process attracted total bids exceeding Rs. 3.8 Billion. • Selected Operators & Bid Values: Commercial Bank of Ceylon PLC: Rs. 972.77 Mn + taxes (Counter 4) Bank of Ceylon: Rs. 877.14 Mn + taxes (Counter 5) Thomas Cook Lanka Ltd: Rs. 720.79 Mn (Counter 6) Sampath Bank PLC: Rs. 646.64 Mn + taxes (Counter 7) People’s Bank: Rs. 631.31 Mn + taxes (Counter 8) • Context: The relocation and new bidding process were initiated following the redevelopment of the BIA arrivals terminal. Previous agreements were terminated by Airport and Aviation Services (Sri Lanka) Ltd after failing to reach a consensus on monthly fees for the new locations. • Economic Impact: This move involving major banking and foreign exchange entities aims to streamline services for international arrivals and reflects the high commercial value of the country’s primary gateway. _Note: Based on official Cabinet briefing data._
📈 BYD Retains World #1 Spot; Dominates SL EV Market
BYD has solidified its global leadership in New Energy Vehicles (NEVs), recording a historic 4.6 million unit sales in 2025. This momentum is strongly reflected in Sri Lanka following the lifting of vehicle import restrictions in February 2025. • Global Performance • Total NEV Sales: 4.60 Mn units in 2025. • Overseas Expansion: Surpassed 1.04 Mn units (up 145% YoY). • Markets: Over 110 countries; China remains the primary volume driver. • Sri Lanka Market Footprint • Leading the brand-new EV and PHEV segments locally. • Partnership: Represented by authorized distributor John Keells CG Auto (JKCG). • Model Range: 9 models launched including DOLPHIN, ATTO 3, SEAL, and the SHARK 6 hybrid pickup. • Premium Entry: Sri Lanka is the first South Asian market for BYD’s luxury sub-brand, DENZA (B5 and B8 models). • Infrastructure & Ecosystem • Network: 7 showrooms established in major hubs (Colombo, Kandy, Galle, etc.). • Charging Support: Over 21 charging points deployed nationwide to support the transition to sustainable mobility. Impact: BYD’s rapid local expansion, backed by the John Keells group, is positioning the brand as a key driver of Sri Lanka’s ICT/BPM-adjacent green tech shift and national energy transition.
Kerner Haus secures third management deal, lifts annual fees to Rs. 48.1 m 📈
Kerner Haus Global Solutions PLC has announced its third property management agreement, securing a commercial property in Slave Island, Colombo 02. The deal, effective 1 February 2026, marks a significant step in the company’s "asset-light" Phase 1 strategy to build recurring income. • Financial Impact: The new agreement is expected to generate an estimated Rs. 22 million in annual management fees. This brings the company’s total estimated annual fee income to Rs. 48.1 million. • Capacity Growth: The Slave Island property adds approximately 440 office seats, increasing the company's total managed capacity to 1,440 seats across three premium Colombo locations. • Strategic Focus: The facility will operate as a fully serviced office under the Kerner Haus brand, targeting the BPO, KPO, and international SME sectors. This model allows occupiers to avoid upfront capital expenditure by providing move-in-ready workspaces with integrated utilities, internet, and security. • Market Context: The property is situated within Colombo’s financial district, leveraging proximity to major banks and corporate offices. This follows a previous agreement in November 2025 for a property in Nawam Mawatha (300 seats). • Company Standing: Despite the growth in fee income, the company reported a negative net asset value of Rs. 72 per share as of September 2025. Shares closed at Rs. 648.25 (-Rs. 26). Ekta Global Ltd. remains the majority shareholder with a 63.62% stake.
Sanasa Life to Raise Rs. 500 Mn via Tier II Debenture Issue 📈
• Overall Figures: Sanasa Life Insurance PLC Board has approved the issuance of 5 million unlisted, rated, subordinated debentures at Rs. 100 each, aiming to raise Rs. 500 Mn. • Instrument Details: The five-year instrument offers an annual interest rate of 12.50%. It is a Tier II capital-boosting measure designed to strengthen the company’s financial position. • Lock-in Clause: Payments of interest and principal are strictly subject to maintaining the Capital Adequacy Ratio (CAR) above minimum regulatory solvency margins. If the CAR falls below limits, payments will be deferred and accumulated. • Default & Ratings: Default interest on principal is set at AWPLR + 0.5%. The issue will be rated by Lanka Rating Agency Ltd. • National Context: This capital raising comes while the company's long-term insurance license remains suspended by the IRCSL until 30 January 2026. Strengthening the capital base is a critical step for insurance providers to ensure policyholder protection and regulatory compliance. • Shareholding: As of late 2025, Senthilverl Holdings (19.10%) and Sanasa Federation (10.50%) remain the primary shareholders, with a net asset value per share of Rs. 22.61 recorded in Sept 2025.
📈 Unilever Exits Indonesia Tea Business in US$ 89 Mn Deal
Global FMCG giant Unilever is divesting its iconic Indonesian tea brand, SariWangi, to PT Savoria Kreasi Rasa (part of the Djarum Group) for IDR 1.5 Trillion (approx. US$ 89 Mn). The move, expected to conclude in H1 2026, marks the final phase of Unilever’s exit from the legacy tea sector following its 2022 sale of Ekaterra. • Financial Impact & Performance SariWangi, despite high local recognition, remains a non-core asset for Unilever Indonesia, contributing only 2.7% to revenue and 3.1% to net profit. The deal value represents roughly 45% of the subsidiary's total equity. • Strategic Restructuring The sale is part of an €800 Mn (US$ 860 Mn) global restructuring plan to focus on high-growth, high-margin segments including personal care, beauty, and home care. This follows the 2025 divestment of the Wall's ice cream brand. • Market Context The divestment reflects a broader trend of multinationals exiting mature, low-growth categories like loose and bag tea to streamline operations. While the global tea market remains mature, local conglomerates are increasingly acquiring these heritage brands to leverage deep-rooted domestic loyalty. _Note: Based on provisional data; transaction subject to customary closing conditions._
📈 CM Holdings Public Float Rises to 31.17% in Q4 2025
• Public Holding Expansion: CM Holdings PLC reported its public float increased to 31.17% as of 31 December 2025, up from 28.9% in the previous quarter. This 2.27% rise was driven by non-public shareholders offloading stakes in the market. • Shareholder Movements: Senthilverl Holdings strengthened its position as the second-largest shareholder, increasing its stake to 10.19% (15.48 Mn shares) after purchasing 1 Mn shares at Rs. 71.00 each in late October. Colombo Fort Land & Building PLC remains the top shareholder with a 63.49% stake. • Market Valuation: The stock closed at Rs. 59.10 on Friday. Notably, the company’s Net Asset Value (NAV) per share surged to Rs. 467 as of end-September 2025, more than doubling from Rs. 246 the previous year. • Institutional Context: The shift in shareholding structure and high NAV relative to market price reflects significant activity within the investment and holding sector of the Colombo Stock Exchange.
📈 CM Holdings Public Float Rises to 31.17% in Q4 2025
• Public Holding Expansion: CM Holdings PLC reported its public float increased to 31.17% as of 31 December 2025, up from 28.9% in the previous quarter. This 2.27% rise was driven by non-public shareholders offloading stakes in the market. • Shareholder Movements: Senthilverl Holdings strengthened its position as the second-largest shareholder, increasing its stake to 10.19% (15.48 Mn shares) after purchasing 1 Mn shares at Rs. 71.00 each in late October. Colombo Fort Land & Building PLC remains the top shareholder with a 63.49% stake. • Market Valuation: The stock closed at Rs. 59.10 on Friday. Notably, the company’s Net Asset Value (NAV) per share surged to Rs. 467 as of end-September 2025, more than doubling from Rs. 246 the previous year. • Institutional Context: The shift in shareholding structure and high NAV relative to market price reflects significant activity within the investment and holding sector of the Colombo Stock Exchange.
LRI Leads Rs. 4 Bn Acquisition of Lee Hedges PLC 📈
Lanka Realty Investments PLC (LRI) has announced a strategic acquisition of a 51% controlling stake in Lee Hedges PLC for approximately Rs. 4.0 Bn. The transaction marks a pivot from passive land holding to a yield-focused commercial real estate strategy. • Transaction Details: LRI acquired 13.06 Mn shares at Rs. 216 per share. This follows the successful monetization of non-core assets, including the sale of the Baseline Holdings land. • Financial Position: As of Q2 2026, Lee Hedges holds ~Rs. 1.76 Bn in cash and near-cash resources. The Group plans to use this liquidity to reduce interest-bearing liabilities and strengthen consolidated cash flows. • Strategic Impact: The move integrates high-quality, income-generating assets like Project 353 (Colombo 3) into LRI’s portfolio, enhancing recurring income and long-term financial resilience. • Operational Highlights: Existing assets like Unity Plaza are already showing improved yields; a recently launched large-scale LED facade at the site has introduced a new high-margin advertising revenue stream. The management expects the Group to operate on a cash-flow positive footing while optimizing asset yields through active management and strategic balance sheet de-leveraging.
✈️ Cathay Celebrates 80 Years of Global Aviation Operations
Cathay Group has officially launched its "80 Years Together" anniversary celebrations, marking eight decades of growth since its founding in 1946. The milestone highlights the airline’s evolution into a premier global carrier and its role in connecting international markets. • Key Anniversary Initiatives The airline unveiled a special aircraft livery on an Airbus A350, featuring the iconic "lettuce leaf sandwich" design. A second retro livery is scheduled for a Boeing 747 freighter in the coming weeks, emphasizing the carrier's dual focus on passenger and logistics/cargo operations. • Strategic Investment & Vision Cathay announced a massive investment of over HK$100 billion (approx. US$ 12.8 Bn) into its fleet, cabin products, lounges, and digital innovation. This capital expenditure aims to strengthen its status as a leading international aviation hub and enhance the travel & tourism experience. • Operational Highlights • Heritage Showcase: Between 1,000 and 2,000 cabin crew and ground staff will wear vintage uniforms throughout 2026 to celebrate the brand's service history. • Service Integration: The anniversary theme focuses on moving people and supplies globally, supporting international business and supply chain connectivity. • Product Expansion: Launching a curated collection of aviation-inspired lifestyle merchandise. Based on official 2026 anniversary launch data.
Cinnamon Air Reviews Lake Gregory Landing Incident 📈
Saffron Aviation Ltd (operator of Cinnamon Air) has launched an internal review following an operational incident involving its amphibian aircraft at Lake Gregory, Nuwara Eliya, on January 7, 2026. • Safety Status: The company confirms there were no passengers on board at the time. All crew members were safely rescued; no fatalities or major injuries were reported, though pilots were reportedly hospitalized for assessment. • Aviation Sector Impact: The incident involved a Cessna 208 Caravan Amphibian (4R-CAE). The Civil Aviation Authority of Sri Lanka (CAASL) has deployed an on-site team to conduct a formal investigation alongside the Sri Lanka Air Force and Navy. • Tourism Context: The aircraft was reportedly en route to pick up a group of tourists in Nuwara Eliya. This is the first such incident at Gregory Wewa since water-based domestic aviation operations began there several years ago. • Operational Track Record: Since commencing commercial operations in 2013, Cinnamon Air has safely transported over 80,000 passengers. The airline holds a valid Air Operator Certificate and emphasizes that safety remains its highest priority.
📈 SPMC Achieves Record-Breaking Drug Production in 2025
The Ministry of Health and Mass Media has reported a significant milestone for the State Pharmaceuticals Manufacturing Corporation (SPMC), marking 2025 as its most productive year to date. • Overall Production: The SPMC manufactured a record 3,625 million tablets and capsules throughout the year. • National Impact: This peak in production strengthens the pharmaceutical sector's contribution to domestic healthcare, supporting national efforts toward self-sufficiency in essential medicines and reducing reliance on imports. • Status: Based on official Ministry data for the 2025 calendar year.
Govt. Ends 25-Year Monopoly with New Vehicle Number Plate Contract 📈
The Cabinet of Ministers has approved a five-year contract awarded to South Asian Technologies Ltd. for the printing and supply of vehicle number plates. This strategic move aims to resolve a severe registration backlog and modernize a system that operated under a monopoly for over two decades. • Key Contract Details: Awarded for a duration of 5 years following a competitive bidding process involving four bidders. Implementation follows the 2025 lifting of vehicle import controls, which triggered a surge in registrations. • Economic Impact & Revenue: The transition aims to improve State revenue collection; previously, the Government did not receive revenue generated through plate sales. Cost Neutrality: Minister Dr. Nalinda Jayatissa confirmed there will be no additional cost to vehicle owners despite the system upgrade. • Operational Goals: Addresses the shortage that forced new vehicles to use temporary paper signs. Enhances transparency and efficiency within the transport and logistics infrastructure. The Government will enforce strict performance conditions to ensure system reliability and value for money.
## 📈 HNB Assurance Drives Momentum for "10 in 5" Strategy in 2026
HNB Assurance (HNBA) enters 2026 marking its 25th anniversary and the final phase of its strategic "10 in 5" journey, aiming for a 10% life insurance market share. • Strategic Focus: The 2026 theme "Reimagine. Reinvent. Redefine." focuses on digital transformation, innovation, and accelerated growth to secure a top-tier position in the insurance sector. • 2025 Performance Highlights: • Achieved growth consistently above the industry average. • Named Best Life Bancassurance Provider in Sri Lanka for the 5th consecutive year (Global Banking & Finance Review, UK). • Recognized as the Best Life Insurance Company at the Global Brand Awards 2025. • Operational & Cultural Excellence: • Ranked among the Top 40 Best Workplaces in Sri Lanka. • Awarded for Local Market Reach (Silver) and Insurance Sector excellence (Gold) at the National Business Excellence Awards. • Certified as a Best Workplace for Women and a mom-friendly workplace, emphasizing social sustainability and inclusive employment. • Outlook: HNBA aims to leverage its 2025 momentum to redefine customer experience and professional benchmarks while celebrating 25 years as a trusted partner in Sri Lanka’s financial services landscape.
📈 Durdens Hospital Proposes 4-for-1 Share Split
Ceylon Hospitals PLC (Durdens) has announced a board resolution to subdivide its ordinary shares to enhance market liquidity, based on provisional data. • Proposed Subdivision Details Each existing share will be split into four new shares for both voting and non-voting classes: • Voting Shares: Increase from 31.76 Mn to 127.05 Mn. • Non-Voting Shares: Increase from 10.13 Mn to 40.54 Mn. • Financial Impact & Status • Stated Capital: Unchanged at Rs. 1.78 Bn. • Net Assets per Share: Reported at Rs. 273.17 (as of Sept 30, 2025). • Approvals: Subject to Colombo Stock Exchange (CSE) concurrence and shareholder approval at an upcoming Extraordinary General Meeting (EGM). • Market Performance (Jan 6) • Voting (CHL.N): Closed at Rs. 269.75 (Down Rs. 1.00). • Non-Voting (CHL.X): Closed at Rs. 211.00 (Up Rs. 2.00). • Ownership Structure Durdens Management Services Ltd. remains the dominant shareholder (67.93% voting), while the Employees’ Provident Fund (EPF) holds a significant 11.39% stake in non-voting shares. Public holdings currently stand at 21.53% (voting) and 50.16% (non-voting). This move is a strategic step for the healthcare sector heavyweight to improve retail accessibility and trading volume on the CSE.
📈 Aeroform acquires 29.9% stake in EML Consultants for Rs. 116.1 Mn
• Aeroform Ltd. has purchased a 29.9% stake in EML Consultants PLC for a total of Rs. 116.1 million. • The acquisition involved 27 million shares, each bought at Rs. 4.30. • EML Consultants has a total of 90.9 million issued shares. • As of end-September 2025, EML Consultants reported a net asset value per share of Rs. 2.11. • Prior to this transaction, Avanthi Jayatilake was the top shareholder with a 51% stake.
🇵🇰 Pakistan Privatizes National Carrier for US$ 483 Million 📈
Pakistan has successfully privatized its national flag carrier, Pakistan International Airlines (PIA), selling a 75% stake to a consortium led by local investment firm Arif Habib. • The sale was finalized at PKR 135 billion (approximately US$ 483 million). • Arif Habib emerged as the top bidder, offering PKR 115 billion initially, surpassing Lucky Cement (PKR 105.5 billion) and Airblue (PKR 26.5 billion). • The government was initially offering a 75% stake, with the successful bidder having 90 days to purchase the remaining 25% shares. • Financial Commitments: • 92.5% of the 75% sale proceeds will be reinvested into PIA. • The remaining 7.5% will go to government coffers. • The investor is also required to inject an additional PKR 80 billion over the next five years.
📈 Vallibel Finance Shines: 1H FY25/26 PBT Jumps 50% to Rs. 2.7 Bn!
Vallibel Finance PLC reported strong first-half results for FY25/26, solidifying its position among Sri Lanka's top financial institutions. • Profitability Surge: • Profit Before Tax (PBT) soared by 50% YoY to Rs. 2.7 billion. • Net Interest Income grew 30% to Rs. 4.9 billion. • Profit After Tax (PAT) reached Rs. 2.6 billion, up from Rs. 2.1 billion last year. • Asset Quality & Growth: • Asset base expanded 28% to Rs. 143 billion (from Rs. 112 billion), driven by portfolio growth and prudent risk management. • Non-Performing Loans (NPLs) significantly improved, declining to 2.78% from 5.19%. • Return on Equity (ROE) rose to 21.77% (from 16.87%). • Strategic Expansion & Innovation: • The company continues its rapid expansion, becoming the fastest financial institution in Sri Lanka to surpass Rs. 100 billion in assets within 17 years. • Expanding branch network to 85, with Eastern Province completion by Dec 2025 and Northern Province planned for early next year. • Strong digital approach, offering fully-fledged solutions across major digital channels. • Consistently recognized as "Best Finance Company" by The Global Economic (UK).
📈 Kapruka Reports Strong Q2 FY26 Performance!
Kapruka Holdings PLC has announced encouraging results for the quarter ended 30 September 2025, marking two consecutive quarters of improved operating performance. • Revenue Growth: The Group saw a 12% year-on-year (YoY) increase in revenue. • Gross Profit: Gross profit rose by 19% YoY. • Operating Performance: Most notably, operating performance improved by a significant 77% YoY, driven by disciplined execution and platform transformation. Key Strategic Drivers: • Kapruka Partner Central: This initiative is accelerating Kapruka's shift from an inventory-led model to a scalable, asset-light platform by onboarding third-party sellers and brands. It expands into new niche categories without stock-holding costs, enhancing capital efficiency. • Services Platform: Under Partner Central, Kapruka is launching a services platform to allow online booking of everyday services, expanding its market beyond products. • Cross Border Initiative: Continues to gain traction as an e-distributor for Sri Lankan brands on global marketplaces like Amazon (US, Canada, UK), strengthening USD revenue streams and international reach. Chairman and CEO Dulith Herath highlighted that these results reflect the benefits of focus and a platform mindset, strengthening Kapruka's scalability for customers, partners, and shareholders. The company remains committed to building Sri Lanka's most trusted digital commerce ecosystem with Partner Central at its core.
📈 Lanka Thriposha Pays Rs. 100 Mn Dividend to Treasury Amidst Closure Rumours
• Lanka Thriposha Ltd. has paid a Rs. 100 million dividend to the General Treasury, showcasing its financial contribution. • The cheque was handed over by Thriposha Chairman Amal Attanayake to Finance and Planning Deputy Minister Dr. Anil Jayantha Fernando. • Deputy Minister Dr. Fernando dismissed recent rumours of the state-owned nutrition provider's closure, asserting its sustainable operation under current management. • He assured that Thriposha will continue its vital role in providing safe and reliable fortified food supplements to mothers and children, highlighting its importance as a public nutrition initiative.
📈 Softlogic Finance to Halve Stated Capital, Clear Rs. 7.6 Bn Loss!
• Softlogic Finance PLC plans to reduce its stated capital from over Rs. 9.93 billion to Rs. 2.33 billion. • This move aims to fully write off accumulated retained losses of over Rs. 7.6 billion as of 31 July 2025. • The Central Bank of Sri Lanka has already granted written approval for this financial restructuring. • This adjustment will not impact the number of issued shares, shareholder ownership, or voting rights, nor does it involve returning funds to shareholders. • The company expects this will strengthen its capital position and facilitate the resumption of dividend distributions once profitability improves. • Softlogic Finance recorded an after-tax profit of Rs. 7.38 million for the six months to end-September 2025, down from Rs. 37.9 million a year prior. • For the full year to end-March 2025, the company reported an after-tax profit of Rs. 145 million, marking its first profitable year since 2019.
🚨 Media Merger Wars Heat Up! 🚨
Paramount Skydance has launched a hostile US$ 108.4 billion bid for Warner Bros Discovery (WBD), challenging Netflix's recent US$ 72 billion deal for WBD's assets. • New Bid: Paramount's offer is a cash bid of $30 per share, aiming to create a media powerhouse and outcompete streaming giants. • Previous Deal: Netflix had secured WBD's TV, film studios, and streaming assets last Friday for US$ 72 billion in equity. • WBD Board Response: The Warner Bros Discovery board will review Paramount's offer but maintains its recommendation for the Netflix deal, advising shareholders "to take no action at this time." • Funding: Paramount's bid is financed by Affinity Partners (run by Jared Kushner) and Middle Eastern government funds, backstopped by the Ellison family. • Paramount's Argument: Claims its bid for the entirety of WBD is superior, offering shareholders US$ 18 billion more in cash and an easier path to regulatory approval, benefiting competition and the creative community.
🛒 SPAR Group Exits UK, Focuses on Core Markets & Growth 📈
South African retailer SPAR Group is negotiating the sale of its UK business (Appleby Westward unit) as part of a strategic shift to narrow its focus on core markets. • Strategic Focus: SPAR has exited Switzerland and Poland in the past two years and now aims to concentrate on Southern Africa, Ireland, and its small joint venture in Sri Lanka. • Expansion Plans: The group plans to grow its upper-end Gourmet banner, adding 4-5 new stores next financial year and targeting 100 outlets within five years. They also intend to expand into non-food categories like pet care, liquor, and building materials. • Financials (FY ended Sept 2025): • Diluted headline earnings per share (HEPS) from continuing operations fell 9% to 795.4 cents (vs 873.7 cents YoY). • Group revenue increased 1.6% to 132.4 billion rand (US$ 7.82 Bn), with the second half seeing a 3.5% rise. • Gross operating profit rose 2.3% to 2.8 billion rand, driven by strong performances in Southern Africa. • Challenges: Higher financing costs linked to legacy Poland debt impacted profitability.
📈 LCB Finance Sees Record Half-Year Growth! 🚀
LCB Finance PLC has reported stellar interim results for H1 FY2025/26, driven by strong portfolio expansion and cost management. • Profitability: Profit Before Tax (PBT) surged to Rs. 298.32 Mn for the six months ended 30 Sept 2025, a significant jump from Rs. 65.8 Mn in the same period last year. • Operational Efficiency: Cost-to-income ratio maintained at a lean 49%. • Balance Sheet Growth: Total assets reached nearly Rs. 10.4 Bn, up 12.19% since March 2025. • Shareholder Value: Net asset value per share rose to Rs. 4.02 from Rs. 3.95 in March 2025. Future Outlook: • Expansion: Plans to expand branch network to 25 branches. • Portfolio Diversification: Focus on lease and gold loan products, alongside aggressive marketing of deposit products. • Targeted Solutions: Eyeing the co-operative sector with tailored financial offerings. • Cost Management: Aiming to reduce funding costs via improved collections and operational efficiency. Management is confident in achieving the company's best-ever financial results by the end of FY2025/26.
📈 Acuity Knowledge Partners Rebrands to Acuity Analytics!
Acuity Knowledge Partners has officially rebranded to Acuity Analytics, marking its evolution into a global leader in insight, analytics, data, and AI-enabled solutions. • The rebrand reflects 23 years of growth, expanding beyond financial services into new industries and capabilities. • The firm now boasts over 7,200 specialists across 28 global locations, supporting 800+ clients with research, analytics, data, and operational solutions. • Enhanced capabilities include engineering, cloud, and digital services, strengthened by the integration of PPA Group (2024) and Ascent (2025). • Technology, especially AI, is now central, with their proprietary agentic AI platform, Agent Fleet, automating tasks while domain experts ensure high-quality, bespoke outputs. • CEO Robert King highlights the blend of exceptional people and advanced technology as the core of Acuity Analytics' strategy and future growth. This move positions Acuity Analytics to better serve evolving client needs with a "human in the loop" approach, combining specialist talent with modern technology.
🚨 Omnicom Cuts Over 4,000 Jobs & Folds Major Brands After $13Bn IPG Takeover
• Omnicom has announced it will lay off more than 4,000 employees following its US$ 13 billion acquisition of rival Interpublic Group (IPG), completed in November. • The cuts are primarily focused on administrative roles but also include some leadership positions. • This restructuring is projected to deliver annual cost savings that will surpass US$ 750 million. • Post-layoffs, approximately 85% of the company’s roles will be client-focused, with 15% administrative. • Major legacy ad brands will be consolidated: • Creative agency DDB and MullenLowe will be integrated into Omnicom’s TBWA. • IPG’s large global network FCB will be absorbed into BBDO. • The move reflects the broader advertising industry's push to regain momentum amid disruption from Artificial Intelligence (AI) and increased competition, with rivals like WPP also undertaking similar restructuring.
🏦 NTB Gets CBSL Nod for Major Retail Banking Acquisition
• Nations Trust Bank (NTB) has received approval from the Central Bank of Sri Lanka (CBSL) to acquire The Hongkong and Shanghai Banking Corporation (HSBC Sri Lanka)'s Retail Banking business. • This strategic move, following a binding Sale and Purchase Agreement signed in September, is expected to be completed in the first half of 2026. • The acquisition will add approximately 200,000 customer accounts to NTB, including premium banking clients, credit cards, and retail loans. • It significantly strengthens NTB’s leadership position in the premium retail banking segment, aligning with its long-term growth objectives. • Both banks are focused on ensuring a seamless transfer of services for customers during the transition process.
Cinnamon Hotels Resume Full Operations After Adverse Weather 🏨
• All Cinnamon Hotels & Resorts properties are now fully operational as of December 1st, 2025, following temporary operational disruption due to adverse weather linked to Cyclone Ditwah. • Resumption: Affected resorts—including Cinnamon Lodge Habarana, Habarana Village by Cinnamon, Cinnamon Citadel Kandy, Kandy Myst by Cinnamon, and Trinco Blu by Cinnamon—have fully resumed welcoming guests and are functioning normally. • Continuity: Guest safety protocols were upheld, and business continues uninterrupted across the entire Tourism/Hospitality portfolio. All bookings, arrivals, and planned activities are proceeding as scheduled. • Support: Cinnamon Hotels & Resorts, alongside the John Keells Group and John Keells Foundation, is actively assisting flood-affected communities as part of ongoing recovery efforts.
People's Bank Records Best-Ever 9M Profit 📈
• People's Bank (Solo) posted a record-breaking Profit Before Tax (PBT) of Rs. 43.7 Bn for the nine months ended Sep 2025. • Standalone Profit After Tax (PAT) also reached an all-time high of Rs. 28.8 Bn. • Core Earnings: Solo Operating Income saw a substantial 99.4% increase, reaching Rs. 121.9 Bn. • Net Interest Income nearly doubled to Rs. 103.9 Bn, improving Net Interest Margin to 4.0% (from 3.4% in Dec 2024). Net Fees and Commissions hit a 9M record of Rs. 12.2 Bn. • Balance Sheet: Total Solo Assets expanded to Rs. 3.6 Tn, Deposits to Rs. 3.2 Tn, and Net Loans to Rs. 1.6 Tn. • Capital Adequacy Ratio is strong at 16.0% (Total Capital), with the Rupee Liquidity Coverage Ratio at 287%. • The Group's consolidated PAT reached Rs. 30.5 Bn, with operating income growing 85% and consolidated assets at Rs. 3.9 Tn. • The bank is undergoing a strategic shift, increasing its focus on competing for private-sector business over traditional State-sector financing. • Digital platforms recorded 5.7 million onboardings by end-Sep 2025.
Kerner Haus Shifts to Asset-Light Strategy with Key Property Management Deal 📈
• Kerner Haus Global Solutions PLC has launched its asset-light growth strategy by signing a Property Management Agreement with VKM Services Ltd. for a prime property on Nawam Mawatha, Colombo 2. • The agreement marks the first phase in building a recurring fee income platform and is projected to generate Rs. 12.6 million in annual management fees. • The property, situated in Colombo’s financial district, offers capacity for approximately 300 office seats. It will operate as a fully serviced office centre under the Kerner Haus brand. • The central location is strategically positioned to attract tenants from the expanding Sri Lankan outsourcing sector, particularly BPO, KPO, and international SME clients seeking flexible office solutions. • This asset-light approach focuses on demonstrating operational capability before selective asset acquisitions. • The company's shares closed yesterday at Rs. 780.50, an increase from the previous closing price of Rs. 656. (Note: The company reported a negative net asset value of Rs. 72 as of end-September 2025).
📈 Richard Pieris Finance H1 2025/26: PBT Jumps >75% to Rs. 292 Mn
• Richard Pieris Finance Ltd. reported a strong H1 2025/26 (six months ended 30 September), reflecting a continued upward trajectory and disciplined operations. • Profit Before Taxes (PBT) reached Rs. 292 million, marking a significant growth of over 75% compared to the previous year. • Profit After Taxes (PAT) also saw robust growth of 47%. • Total Assets expanded by 20%, exceeding Rs. 20 billion, with the company setting a medium-term vision to reach Rs. 50 billion. • Growth was driven by improved core lending, disciplined cost management, and a vigilant risk-based credit approach. • The lending portfolio remains well-diversified, featuring vehicle leasing, gold loans, Islamic finance, and the new Sarumaga mortgage product focused on the SME sector. • Financial stability is reinforced by a stable 'A(lka)' credit rating with a Stable Outlook from Fitch Ratings.
📰 Cinnamon Grand Colombo Marks 20 Years Under Cinnamon Brand 🏨
• Cinnamon Grand Colombo is commemorating its 20th anniversary under the Cinnamon Hotels and Resorts brand (since 2005), solidifying its position as a classic leader in Sri Lanka’s competitive hospitality sector. • The hotel originally opened in 1975 as Hotel Lanka Oberoi and went through a Colombo Plaza era before its current transformation under John Keells Holdings. • Its core strength is offering high-end hospitality while preserving its "Sri Lankan soul," targeting high-spending leisure travellers and the city’s corporate elite. • The property serves as a cornerstone of Colombo’s event and business infrastructure, consistently hosting diplomatic, corporate, and marquee events. Its strong MICE (Meetings, Incentives, Conferences, and Exhibitions) portfolio is a key competitive advantage, highlighted by The Oak Room. • Beyond its service, the hotel is also home to the Cinnamon Hospitality Academy, which is working to redefine hospitality education in Sri Lanka.
Assetline Finance Sees Near 40% Asset Growth in 1H FY25/26 📈
• Overall Performance (1H ended 30 Sep 2025): Total Assets expanded to Rs. 72.71 Bn, representing nearly 40% growth during the first half of the financial year. • Lending & Income: The lending portfolio saw a remarkable 42% growth, reaching Rs. 60.63 Bn, driven by heightened credit demand across SME, micro-enterprise, and mobility-based segments. PBT reached Rs. 2.94 Bn, with PAT at Rs. 1.42 Bn. • Fiscal Contribution: The company contributed nearly 52% of its PBT toward government taxes during the period. • Asset Quality Improvement: Key metrics strengthened significantly year-on-year (YoY): • Gross Stage 3 Loan Ratio improved sharply to 4.0% (from 9.7% a year earlier). • Net Stage 3 Ratio improved to 1.8% (from 6.4%). • Stage 3 Impairment Coverage Ratio rose to 55.0% (from 37.9%), reflecting stronger provisioning. • Efficiency & Profitability: The Cost-to-Income Ratio improved to 39.8%, signaling enhanced operational efficiency. Return on Equity (ROE) stood at 17.1%. • Outlook: The company maintains an upgraded A rating with a Positive Outlook, affirming its strong capital position.
Drucker's Enduring Wisdom: Management in the Digital Age 💡
Peter Drucker's management philosophies remain critically relevant today, 20 years after his passing, focusing on the human elements amid technology. • Digital Relevance: Drucker asserted technology's true impact is on "how Man works," not just the tools, emphasizing a need for healthy balance between continuity and change. • The Human Imperative: His ideas strongly support “human augmentation” over simple automation, seeing knowledge workers as the 21st century's most valuable asset—a crucial insight for Sri Lanka’s ICT/BPM sector. • Key Quotes: His core principles are timeless: "Efficiency is doing things right; effectiveness is doing the right things" and "There are no good or bad institutions but well-managed or ill-managed institutions." • Visionary Concepts: Drucker pioneered decentralization (1940s), treating workers as assets (1950s), the corporation as a human community, and the importance of the customer. He was also the first to highlight the contribution of knowledge workers (1970s). • Self-Management: Drucker foresaw the "unprecedented change in the human condition" where growing numbers of people have choices and must learn to manage themselves. • Way Forward: Applying his wisdom requires appropriate adaptation to turbulence, stressing the need to "follow effective action with quiet reflection."
Fitch: BOC/PB Ratings Neutral to Small Bank Acquisitions 📈
• Fitch Ratings expects the proposed transfer of state holdings in HDFC and SMIB to BOC and People’s Bank (PB), respectively, will not affect the acquirers’ credit ratings. • This view is underpinned by the targets’ small scale—accounting for only 1%-1.5% of the acquirers’ bank-level assets—and the expectation of necessary capital support from the government. • HDFC and SMIB have relatively low risk densities due to large exposure to zero risk-weighted EPF-backed loans, limiting the incremental risk to the acquirers. • Fitch’s base-case is that the government will inject capital at least equal to the purchase price into BOC and PB to keep their capital ratios unaffected, consistent with past policy support. • Acquirers’ Context: BOC and PB's capital buffers are already constrained by large sovereign exposures, which attract capital deductions (4% for BOC, 2% for PB) compared to private peers. • The acquired banks (HDFC and SMIB) national ratings have been placed on Rating Watch Positive (RWP), reflecting the potential for high support from their new state owners.
📈 Lankem Ceylon Acquires Major Stake in York Arcade for Rs. 340.58 Mn
• Lankem Ceylon PLC has acquired a 49.27% stake in York Arcade Holdings PLC from its parent company, The Colombo Fort Land and Building PLC. • The total transaction value was Rs. 340.58 million. • The deal involved 369,495 ordinary voting shares, executed on the Colombo Stock Exchange at Rs. 921.75 per share. • Lankem stated the acquisition supports the Group’s ongoing financial restructuring and is part of a plan to strengthen its balance sheet and operational alignment. • York Arcade's closing price yesterday was Rs. 892.50, compared to the deal price of Rs. 921.75. • York Arcade reported a Net Asset Per Share of Rs. 304.21 as of end September 2025.
Lotus Renewables Sells 4.61% Stake in Hatton Plantations 📉
• Lotus Renewable Energy Ltd. offloaded 10.9 million shares (4.61% stake) in Hatton Plantations PLC. • The transaction was valued at Rs. 297.7 million. • Shares were sold at Rs. 27.30 each to Durga Infra Ltd. on 21 November 2025. • Prior to the sale, Lotus Renewables held a substantial majority stake of 76.65% (as of end September 2025). • Hatton Plantations (key sector: plantations/tea) closed the day prior at Rs. 28.10, down 40 cents from its previous close.
Cargills Bank: Strong Profit & Loan Growth in 9M 2025 🏦
• Profit After Tax (PAT) for the nine months ended Sept 30, 2025, reached Rs. 313 Mn, an increase of Rs. 155 Mn compared to the corresponding period in 2024. • Net Interest Income (NII) grew 10% (Rs. 244 Mn) to Rs. 2,743 Mn. This was supported by a robust 31% growth in the loan book, which expanded by Rs. 14.3 Bn to reach Rs. 60.4 Bn. • Total Assets grew 10% (Rs. 8.2 Bn) to Rs. 88.5 Bn. Customer Deposits increased 5% to Rs. 62.5 Bn. • Impairment Charges saw a significant decrease of 80% to Rs. 162 Mn, attributed to an improved macro-economic environment and effective recovery actions. The Stage 3 Loans (Net) ratio improved to 7.55% (from 8.74% in 2024). • Net Fee & Commission Income grew 10% (Rs. 60 Mn) to Rs. 682 Mn, driven by higher trade volumes, loan fees, and remittance income. • Total operating expenses increased 14% (to Rs. 2,761 Mn) due to branch expansion and staff costs, pushing the Cost-to-Income Ratio up to 70.31%. • The bank remains well capitalised and liquid, with the Total Capital Ratio at 17.08%.
NSB Group's 9M 2025 Performance: PBT Jumps 30% Amid Strong Asset Quality 📈
National Savings Bank Group (NSB) reported robust results for the nine months ended Sept 30, 2025, showing sharp improvements in profitability and asset quality. • Profitability Surge: Profit Before Tax (PBT) rose 30% YoY to Rs. 34.8 Bn, while Profit After Tax (PAT) surged 32% to Rs. 21.2 Bn. • Core Earnings: Net Interest Income (NII) increased by 16.8% to Rs. 64.4 Bn, driven by active liability management leading to a 15.8% reduction in interest expenses. Net Interest Margin (NIM) improved to 4.71%. Total Operating Income expanded by 18.4%. • Asset Quality & Capital: The Stage 3 impaired loan (NPL) ratio more than halved, falling sharply from 5.18% (end-2024) to a fortified 2.63%. The Total Capital Ratio stood strong at 23.89%, well above regulatory requirements. • Balance Sheet & Ratios: Total Assets grew 5.3% to Rs. 1.87 t. Customer deposits reached Rs. 1.59 t. Return on Equity (ROE) increased substantially to 24.67%. • National Role: NSB contributed over Rs. 24.1 Bn in taxes (financial services levies and income tax) to public finance, reinforcing its role as a key supporter of the State.
🚀 People’s Insurance Q3 2025: Strong Top-Line Outperforms Industry
• People’s Insurance PLC (PIPLC) reported impressive top-line growth of 33% for Q3 (9 months ended Sep 30, 2025), significantly exceeding the industry's overall growth rate of 15%. Quarter-on-quarter growth stands at 34%. • Growth was primarily driven by the core business segments: • Motor segment: Achieved a remarkable 43% YoY growth (vs. industry's 24%). • Non-Motor segment: Recorded strong 9% growth (vs. industry's 4.5%), contributing 24% to the total premium base. • Financial Stability: • Profit Before Tax (PBT) was Rs. 472.64 Mn (impacted by mandatory motor SRCC/TC cession to NITF and lower investment income). • Total assets increased by 10% to Rs. 13.95 Bn. • Shareholders’ equity expanded by 5% YoY to Rs. 5,944.89 Mn. • Total claim expenses amounted to Rs. 2.195 Bn for the period. • The company cites prudent underwriting, effective cost management, and strategic investments in sales expansion and technology as key factors for sustained stability.
United Motors (UML) Announces 10-for-1 Share Split 📈
• United Motors Lanka PLC (UML) Board has approved a major 10-for-1 share split, pending regulatory and shareholder approval. • Objective: The split is intended to significantly improve the market liquidity of the company’s stock. • Impact: Issued shares will increase tenfold, from 100.9 million (Mn) to 1.009 billion (Bn), while the stated capital will remain unchanged. • NAV Growth: Group Net Asset Value (NAV) per share was recorded at Rs. 147.52 as of end-September 2025, an increase from Rs. 135.21 six months prior. • Shareholding: RIL Property PLC holds the majority stake with 51%. • Market Close: The share closed Friday down Rs. 7.50 at Rs. 295.50.
CEB Sept. Qtr Profit Plummets 98% YoY 📉
• Ceylon Electricity Board (CEB) Q3 2025 Profit After Tax (PAT) fell dramatically by 98% YoY to Rs. 466.5 Mn, down from Rs. 29 Bn a year earlier. PAT also dropped 94% QoQ. • Nine-Month (9M) Financials: The utility has slipped into a net loss of Rs. 9 Billion for the nine months to end-September, a major reversal from the Rs. 152 Billion profit in the corresponding 2024 period. • Key Drivers: This collapse is attributed to eroding margins, with 9M Revenue falling 30% to Rs. 321.7 Bn while Cost of Sales rose 1%, resulting in a Gross Loss of Rs. 1.2 Bn. • SOE Impact: CEB was the single largest drag on overall State-Owned Enterprise profitability in H1 2025, recording a Rs. 13.2 Bn loss due to lower tariffs (20% cut in Jan) despite increased demand. • Sector Reform: Restructuring is proceeding with the unbundling of the utility. The IMF continues to urge the maintenance of cost-recovery tariffs and reform momentum to safeguard the electricity sector and prevent a return to losses that burden taxpayers.
🇱🇰 Banking: Fitch Places HDFC & SMIB on 'Rating Watch Positive' Following Acquisition Plan 📈
• Fitch Ratings has placed the National Ratings of Housing Development Finance Corporation (HDFC) ('BB+(lka)') and State Mortgage & Investment Bank (SMIB) ('BB(lka)') on Rating Watch Positive (RWP). • The RWP action follows the government's proposal for the transfer of all state-owned shares: • HDFC to Bank of Ceylon (BOC). • SMIB to People's Bank (PB). • Key Driver: The acquisitions are expected to result in a very high likelihood of support from the new, stronger parent banks, which Fitch will reflect via support-driven National Ratings. • HDFC Context: HDFC's rating was previously on a Negative Outlook due to regulatory restrictions on deposit mobilisation and selected lending, affecting its competitive position, particularly in the EPF-backed housing loan segment. • SMIB Context: SMIB's capital position remains below the regulatory minimum of LKR 7.5 Bn, with a shortfall estimated at LKR 2 Bn - 3 Bn (based on June 2025 financials). • Outlook: RWP is expected to be resolved upon completion of the transaction, which could lead to a multiple-notch upgrade for both banks, reflecting the financial strength of the new owners (BOC/PB).
📈 Bairaha Farms Schedules 1-for-5 Share Split: Key Dates Announced
• Bairaha Farms will proceed with a 1-for-5 share subdivision, pending shareholder approval at an Extraordinary General Meeting (EGM) on 17 December. • Key Dates: • EGM: 17 December. • Record Date for Shareholding: 19 December. • Trading Suspension: 18 December to 24 December. • Commencement of Subdivided Share Trading: 26 December. • Impact: The split will increase the number of issued ordinary shares five-fold, from 17.6 million to 88 million. • The company's stated capital will remain unchanged at Rs. 536.3 million. • The share closed at Rs. 450 yesterday, marking an increase of Rs. 1.25 from the previous close.
JXG Group Reports Solid 1H FY26 Profit & Strong Growth Across Financial Services 📈
• Group Financials (1H FY26): Consolidated Net Profit climbed to Rs. 3.4 Bn, marking a notable improvement from the previous year. Revenue surged to Rs. 15.8 Bn, up a robust 43.6% YoY. Total Assets grew 19.9% YoY to Rs. 193.5 Bn. • Key Subsidiary Performance (NPAT): • First Capital Holdings (Investment Banking): NPAT hit Rs. 3.4 Bn, significantly up from Rs. 897 Mn, driven by Primary and Corporate Dealing activity. • Janashakthi Insurance (Insurance): YTD Q3 NPAT was Rs. 2.8 Bn, more than triple the previous year. New business premiums recorded a robust 72% increase. • Janashakthi Finance (Finance & Leasing): Portfolio growth was strong at 48.7% YoY (to Rs. 26.7 Bn), while Net Operating Income grew 34.0% YoY. • Strategic Highlight: The performance reflects disciplined execution, leveraging strong capital market momentum and effectively expanding underwriting and leasing capabilities across the integrated financial services structure.
Softlogic Life Q3 2025: 29% GWP Growth & Historic Acquisition 📈
• Softlogic Life Insurance PLC reported a Gross Written Premium (GWP) of Rs. 28.2 Bn for the nine months ended Sep 30, 2025, marking a robust 29% year-on-year growth. • Financial Performance (9M 2025): Profit Before Tax (PBT) reached Rs. 3.3 Bn, with Profit After Tax (PAT) at Rs. 2.3 Bn. Total Assets stood at Rs. 59 Bn. The company recorded a strong Return on Equity (ROE) of 24%. • Claims & Protection: Rs. 13.5 Bn was disbursed in total claims and benefits. Rs. 9.5 Bn was for health and other protection covers, reinforcing its market leadership in health insurance (36% market share as at end 2024). Over 98% of claims were settled within a single day. • Strategic Landmark: The company completed the acquisition of 100% of Allianz Life Insurance Lanka. This is a historic first acquisition of one Life Insurance company by another in Sri Lanka. • Outperformance: Softlogic Life's 10-year GWP Compound Annual Growth Rate (CAGR) is 26%, significantly higher than the industry's 15% CAGR. It also won "AI Innovation of the Year" at the Asia Insurance Industry Awards (AIIA) 2025.
North East Monsoon Meet 2025 tees off at RCGC ⛳
• Sri Lanka’s oldest and most iconic golf course, the Royal Colombo Golf Club (RCGC), hosts the prestigious North East Monsoon Meet 2025, which began today (Nov 15). • The tournament features over 150 golfers and is sponsored by Dialog Enterprise, a key entity in the island's ICT/BPM sector. • Key competitions span two weekends (Nov 15, 16, 22, and 23), showcasing high-quality golf. • Major trophies up for grabs include: • The Clifford Cup (Best Nett Score over two rounds). • The Nandasena Perera Challenge Trophy (Best Gross Score over two rounds - Nov 15 & 22). • The Annual Gold Medal (Best Gross Score, first round). • The RCGC Centenary Trophy (Most consistent performer over four rounds).
🚨 Galle Literary Festival (GLF) Postpones 2026 Edition for Financial Restructuring
• The Galle Literary Festival (GLF) has announced the postponement of its 2026 edition to undertake a comprehensive review of its financing model and operations. • The organisers cited the need for a structural "refresh" to ensure a sustainable future, noting the current sponsorship model has faced funding challenges since the Festival's return in 2024, after operating on the same framework for nearly 20 years. • Since its founding in 2007, GLF has been key in establishing Galle as a premier destination for cultural tourism and creative arts. • The Festival aims to announce its full relaunch plans for the 2027 edition once the restructuring is complete. • Organisers hope to host smaller literary events and conversations throughout 2026 as an interim measure.
📈 Nations Trust Bank Posts Strong 9M Results: PAT Up 23%, Major Loan Growth
• Profit After Tax (PAT) for the 9 months to Sept 2025 reached LKR 14.9 Bn, a robust 23% increase YoY. • Customer lending recorded significant growth of LKR 131 Bn, up 45% YoY, driven by support for businesses and economic revival across segments. • Return on Equity (ROE) stood at a strong 23.20%. • Financial Strength: Capital base is robust with Tier I Capital at 18.90% and Total Capital Adequacy Ratio (CAR) at 20.03%, both well above regulatory minimums. • Asset quality remains high with a low Net Stage 3 Ratio of 1.03%. • Strategic Acquisition: NTB signed a Sale and Purchase Agreement to acquire HSBC's Retail Banking operations in Sri Lanka. This move is expected to be a catalyst for the next phase of growth (subject to regulatory approval, expected H1 2026 completion).
Hayleys H1 2025/26 Results: PBT Hits Rs. 13.33 Bn (+5% YoY) 📈
• Hayleys Group sustained strong growth in the first half of FY 2025/26, generating a Profit Before Tax (PBT) of Rs. 13.33 Bn, a 5% year-on-year increase. • Consolidated Revenue for H1 grew by 14% to Rs. 269.53 Bn, supported by both domestic and resilient export businesses. Revenue in Q2 alone rose by 13% to Rs. 138.89 Bn. • Profit After Tax (PAT) for the six months saw an 8% increase, reaching Rs. 7.56 Bn. • Key Sector Performance: • Growth was primarily driven by the Consumer & Retail Sector (leveraging brand strength and demand). • Export-oriented sectors, including Hand Protection and Purification, maintained momentum, contributing to a 6% revenue growth in this segment. • Strategic & Financial Highlights: • Q2 Net Finance Costs declined by 15% YoY, reflecting favourable market interest rate movements. • The Group expanded its strategic footprint, entering the mobility and supermarket sectors, and acquiring a substantial stake in Harischandra Mills PLC (FMCG). • Hayleys retained its ‘AAA (lka)’ National Long-Term Rating by Fitch and was ranked Sri Lanka’s leading listed corporate in the 32nd edition of the LMD 100.
Dialog Axiata's Strong Q3/YTD 2025 Performance 📈
Dialog Axiata Group reported robust consolidated financial results for the nine months ended Sept 30, 2025, driven by operational efficiencies and core business growth across Mobile, Fixed, and Digital Pay TV. • Total Revenue reached Rs133.1 Bn (+6% YTD). Core Revenue, excluding scaled-down low-margin wholesale operations, grew faster, up 18% YTD to Rs128.9 Bn. • Profitability surged: Group EBITDA hit Rs62.9 Bn (+40% YTD), with the margin improving by 11.3pp to 47.3%. Group Net Profit After Tax (NPAT) more than doubled (+>100%) to Rs14.9 Bn. • Operating Free Cash Flow (OFCF) saw strong growth, increasing 92% YTD to Rs37.1 Bn. • Contribution to State: The Group remained a major contributor, remitting Rs41.9 Bn to the Government of Sri Lanka (GoSL) YTD 2025. • Investment & Segments: Capital Expenditure on digital infrastructure was Rs14.2 Bn. Growth was evident in Dialog Television (+8% Rev YTD) and Dialog Broadband Networks (+15% EBITDA YTD). • Key Milestone: The full integration of Airtel was completed by July 2025. The company also expanded its 5G trial network to 15 districts, advancing the nation’s ICT/BPM digital transformation.
NITF Swings to Loss: Reinsurance Sector Weakens in 1H 2025 📉
The Central Bank's Financial Stability Review for 2025 indicates a sharp reversal in Sri Lanka's reinsurance sector performance during the first half of the year. • The National Insurance Trust Fund (NITF), the sole entity in the reinsurance segment, was the primary driver of this decline. • Profit Before Tax (PBT) Reversal: • NITF moved from a PBT of Rs. 1 Billion in 1H 2024 to a loss of Rs. 361.92 Million in 1H 2025. • Underwriting Shift: • The core underwriting operations mirrored the slump, deteriorating from a profit of Rs. 746.4 Million (1H 2024) to an underwriting loss of Rs. 538.3 Million by end-June 2025. • This stress in the reinsurance segment, which plays a critical role in absorbing large-scale industry risks, will be a key factor in assessing the overall stability of Sri Lanka’s insurance industry going forward.
BOC's 9M 2025 Profit Soars 📈
• Profit Before Tax (PBT) for the first nine months of 2025 hit Rs. 87.7 Bn, a remarkable 133% YoY increase from Rs. 37.6 Bn in 9M 2024. Profit After Tax (PAT) was Rs. 55.7 Bn. • National Contribution: The bank affirmed its role in fiscal stability by contributing Rs. 55.3 Bn in direct and indirect taxes during the period. • Financial Drivers: Net Interest Income (NII) grew 62% to Rs. 153.2 Bn, driven by strategic repricing and balance sheet management. Total Operating Income rose 61%, while the Cost-to-Income ratio improved to 32% due to effective cost management. • Balance Sheet & Stability: Total Assets reached Rs. 5.5 Tn (+11% YTD), and the deposit base grew 9% to Rs. 4.6 Tn, demonstrating strong customer confidence. Gross Loans and Advances stood at Rs. 2.5 Tn. • Risk & Capital: The Stage 3 loan ratio was 6.69%. Capital positions remain robust, with ratios comfortably exceeding Basel III requirements. • Strategic Focus: Key initiatives focused on Financial Inclusion and Digital Banking, including the launch of the BizPlus Credit Card for MSMEs, enhancement of the Smart Remit app, and expansion of the branch network, while 100 branches now run on solar power (4 MW capacity).
📈 Sampath Bank 9M 2025: Profit Up 21% on Strong Loan Growth & NFBI
Sampath Bank and Group have maintained strong growth momentum for the nine months ended September 30, 2025: • The Bank recorded a Profit After Tax (PAT) of Rs 21.5 Bn, and the Group PAT reached Rs 23.1 Bn, both reflecting a consistent 21% YoY growth. • Non-Fund Based Income (NFBI) was a key driver, surging 107% to Rs 23.9 Bn, bolstered by 20% growth in net fee/commission income and a turnaround exchange gain (Rs 3.5 Bn). • Net Interest Income (NII) contracted 6% to Rs 57.2 Bn due to a reduction in the Average Weighted Prime Lending Rate (AWPLR) and lower yields. • Asset Quality Improvement: Total Impairment Charge significantly dropped by 62% YoY to Rs 2.0 Bn, driven by improved credit quality across the customer base. • Balance Sheet: Total Assets grew 10% YTD to Rs 1.95 Tn. The Gross Loan Portfolio expanded substantially by 18.9% YTD, surpassing the Rs 1 Trillion milestone (Rs 1,147.0 Bn). • Deposits grew 11% YTD to Rs 1,606.8 Bn, with the CASA ratio improving slightly to 34.5%. • Operational costs increased 19%, leading to a deterioration in the Cost-to-Income Ratio (CIR) to 41.3% (from 38.9%). • The Bank was designated a D-SIB and won "Best Bank for ESG in Sri Lanka" at the Euromoney Awards 2025.
United Motors Group Posts 1,287% H1 Profit Surge 📈
United Motors Lanka PLC (UML) reported a robust performance for the six months ended 30 September 2025 (H1 FY2025/26), marking a sharp recovery driven by renewed consumer confidence and the lifting of the vehicle import ban. • Group Performance: • Profit After Tax (PAT) soared to Rs. 1.41 Billion, compared to a loss of Rs. 119 Million in the prior year—a remarkable 1,287% YoY increase. • Group Revenue climbed 303% YoY to Rs. 19.1 Billion. • Company Performance (UML PLC): • Company profit surged 1,271% YoY to Rs. 658 Million. • Company revenue grew 212% to Rs. 9.0 Billion. • Key Drivers & Momentum: • The growth was primarily fueled by a sharp rebound in vehicle sales and stronger aftersales operations. • Q2 showed accelerated growth, with Group profit rising 248% Quarter-on-Quarter to Rs. 1.09 Billion. • Strategic Note: • The recent acquisition of Dutch Lanka Trailers—which already exports to over 60 countries—is highlighted as a strategic investment set to be a significant growth engine for the Group going forward.
M&S Revamps Supply Chain to Boost Online Sales & Supplier Partnerships 📈
• UK retailer Marks & Spencer is overhauling its supply chain from "factory to floor" in a bid to double annual non-food online sales to nearly £3 Billion (approx. US$ 4 Bn) long-term. • The core strategy aims to increase online sales' share of its Fashion, Home & Beauty (FH&B) division from approximately 34% to 50% in the medium term. FH&B sales have already grown 9% over the last three years. • Impact on Sri Lanka: M&S, which sources products from key nations including China, Bangladesh, and Sri Lanka, plans to form more long-term partnerships with suppliers. This is intended to reduce risk, cut complexity, and unlock more margin from its scale. • The transformation includes a three-year £120 million investment in automation for warehouses and logistics, alongside £200m-£250m capital investment in technology infrastructure during 2025/26.
HNB Q3 2025: Group PAT up 47% YoY 📈, Asset Quality Improves
• Group Profit After Tax (PAT) reached Rs. 34.7 Bn, marking a strong 47% Year-on-Year (YoY) increase for the first nine months of 2025. • The Bank's PAT grew by 42% YoY to Rs. 31.5 Bn. • Group Asset Base surpassed Rs. 2.6 Trillion, reflecting 17.9% YTD growth. Net Loans & Advances increased by Rs. 287.7 Bn (Group level). Key Income & Quality Metrics: • Net Fee & Commission Income posted a strong 24.3% YoY growth. • Exchange Income showed a significant turnaround to Rs. 4.2 Bn (reversing a Rs. 2 Bn loss in 9M 2024), driven by increased foreign currency transactions. • Asset Quality improved significantly with the Net Stage 3 ratio falling to 1.36% (from 1.88% in Dec 2024). • The Bank recorded an Impairment reversal of Rs. 7.5 Bn, a major turnaround from the charge in the previous year. Strategic Focus: • HNB continues to focus on supporting MSMEs (Micro, Small and Medium Enterprises), which form the backbone of the economy. • Performance aligns with broader Sri Lankan economic recovery, noting moderating inflation and 4.8% GDP growth in H1 2025.
BOC boosts Digital Banking with New IT Subsidiary 📈
• Bank of Ceylon (BOC) has received Cabinet approval to establish a specialized IT institute named BOC IT Solutions Ltd. • Core Purpose: To significantly enhance the bank's digital capabilities, optimize IT operations, and drive its overall digital transformation initiatives. • The move is aimed at responding to evolving customer demands and maintaining competitiveness in the financial sector. • The new entity will be staffed with ICT/BPM professionals tasked with delivering advanced information and communication technology solutions. • The proposal was submitted by President Anura Kumara Dissanayake in his capacity as the Finance, Planning and Economic Development Minister. It effectively revives a former support services entity (operational 1992-2007) in a new, focused IT capacity.
Ambeon Holdings Sells Investment Subsidiary for Rs. 2.02 Bn 📈
• Ambeon Holdings PLC has announced the planned divestment of its wholly-owned subsidiary, Taprobane Capital Plus Ltd (TCP). • The shares of TCP will be acquired by the group's parent company, Ambeon Capital PLC. • Total consideration for the transaction is Rs. 2.02 Billion, which is based on an independent valuation. • TCP serves as the investment holding company for several group entities, including Ambeon Securities Ltd. and Taprobane Investments Ltd. • This move is part of Ambeon Holdings’ ongoing restructuring initiative, designed to consolidate and strengthen strategic alignment within the group's financial services vertical. • The transaction, approved on 11 November 2025, is expected to be completed within 30 days.
ComBank Posts Record 9-Month Profit & Strong Lending Momentum 📈
• Net Profit (PAT) for the Commercial Bank Group surged by an impressive 52.27% YoY to reach Rs. 48.02 Bn. for the nine months ended September 30, 2025. • Group Profit Before Tax (PBT) grew by 45.71% to Rs. 73.35 Bn. • Net Interest Income (NII) grew 16.30% to Rs. 103.48 Bn., benefiting from lower cost of funds and a static interest expense base. • Gross Loans reached Rs. 1.907 Tn., growing by Rs. 381 Bn. (25.01%) YTD, reflecting strong YoY growth of 34.60%. Q3 saw accelerated lending with a monthly average of Rs. 58.51 Bn. • Total Assets increased 12.40% YTD to Rs. 3.233 Tn., while Deposits grew 12.26% to Rs. 2.589 Tn. • Efficiency and Quality: • CASA Ratio improved to 39.92% (from 38.07% end 2024). • Impaired Loans (Stage 3) Ratio significantly improved to 1.79% (down from 4.08% a year ago). • Return on Equity (ROE) rose to 21.03%. • Impairment charges declined by 28.21% to Rs. 14.37 Bn., partly due to reduced SLISB provisioning.
📈 DFCC Bank to Acquire Standard Chartered's Retail & Wealth Business in Sri Lanka!
• Major Acquisition: DFCC Bank PLC has entered a binding agreement to acquire the entire wealth and retail banking business of Standard Chartered Bank (SCB) Sri Lanka. • Scope of Deal: The acquisition covers Priority Banking, credit cards, retail lending, deposits, and the crucial SME (Small and Medium Enterprises) segment. • DFCC Strategy: This move strengthens DFCC Bank’s retail and wealth management proposition, aiming to broaden its customer base and build scale in key growth segments. • Funding: The transaction will be entirely funded through DFCC Bank's internally generated capital. • SCB Focus: SCB's global strategy will see it concentrate resources solely on its Corporate and Investment Banking (C&IB) business in Sri Lanka going forward. • Staff & Customers: Both banks are committed to a seamless transition for all customers and SCB's wealth and retail staff, who will be offered comparable roles at DFCC. • Timeline: The deal requires approval from the Central Bank of Sri Lanka (CBSL) and is expected to be completed by early 2026.
DFCC Bank Posts Strong 9M FY25 Results, Driven by Credit Expansion 📈
DFCC Bank maintained robust performance for the first nine months of FY25, highlighting resilience and strategic growth: • Core Profitability: Group Profit After Tax (PAT) from continuing operations reached Rs. 8.53 Bn (up from Rs. 6.308 Bn in 9M FY24). • Total Profit: Bank PAT, including a one-off disposal gain from Acuity Partners, stood at Rs. 13.3 Bn. • Balance Sheet Growth: Total assets grew 20% to Rs. 853 Bn. • Loan & Deposit Growth: Loan portfolio expanded 26% to Rs. 495 Bn, while the deposit base increased 22% to Rs. 568 Bn, reflecting strategy to capitalise on easing rates. • Core Earnings: Net Interest Income (NII) rose 11% to Rs. 22.969 Bn. Net Fee and Commission Income surged 48% YoY to Rs. 5.281 Bn, driven by card and trade commissions. • Asset Quality: Stage 3 impaired loan ratio improved to 4.82% (from 5.65% in Dec 2024). • Strategic Initiative: Launched Sri Lanka's first Rs. 3 Bn Blue Bond initiative to finance ocean-positive SMEs and climate adaptation, reinforcing leadership in sustainable finance.
📈 LOLC Finance Roars in 1H 2025: PAT Jumps 72%
• Profit After Tax (PAT) surged to Rs. 14 billion for the six months ending 30 Sept 2025, marking a sharp 72% year-on-year growth (vs. Rs. 8.1 Bn in the previous year). • The strong earnings performance was underpinned by higher net interest income, effective cost management, and a significant reduction in impairment charges. • The Gross Lending Portfolio expanded by 18% to Rs. 360.2 billion, while Customer Deposits grew by 6% to Rs. 238.6 billion. • Total Assets rose 8% to Rs. 466.3 billion, demonstrating solid balance sheet growth. • LOLC Finance maintains a dominant position in the NBFI sector, accounting for 36.3% of industry profits and 20.6% of assets. • The company drives financial inclusion by empowering sectors like SME, agriculture, Personal finance, working capital, and vehicle financing, supported by its digitalisation and AI strategy. • Lanka Rating Agency has further solidified market strength by upgrading the entity rating to A+ (Stable).
🇱🇰 Major Restructuring for State Housing Finance Banks Approved 📈
• The Cabinet of Ministers has approved the restructuring of two State-affiliated housing finance institutions: the Housing Development Finance Corporation Bank (HDFC) and the State Mortgage and Investment Bank (SMIB). • The decision was prompted by Central Bank concerns over their unsustainable business models, weak profitability, limited capacity to raise deposits, and inability to meet minimum capital adequacy requirements. • Under the approved plan: • All Government shares of HDFC Bank will be transferred to Bank of Ceylon (BOC); HDFC will operate as a subsidiary of BOC. • All Government-owned shares of SMIB will be acquired by People's Bank; SMIB will operate as a subsidiary of People's Bank. • The move aims to strengthen the financial sustainability of the institutions, enhance their fund mobilisation ability, safeguard depositor interests, and support broader banking sector stability.
SDB Bank Q3 2025 Results Show Resilience & Asset Quality Improvement 📈
• Profit After Tax (PAT) stood at Rs. 254 million for Q3 2025, supported by strategic optimisation of yields and funding costs. • Balance Sheet & Growth: • Loans and advances to customers expanded by Rs. 9.7 billion on a Year-to-Date (YTD) basis, reflecting renewed credit growth across key sectors. • Total Assets contracted slightly by 1%, primarily due to short-term liability repayment and Rupee appreciation. • Asset Quality & Risk Management: • Asset quality improved as the Non-Performing Loan (NPL) balance declined. • Stage 3 Loan Coverage Ratio strengthened significantly to 52.28% (up from 47.78% in 2024), reflecting prudent provisioning. • Impairment charges declined by 11%. • Income & Efficiency: • Net Fee Income saw a robust increase of 33% Year-on-Year (YoY), underscoring success in diversifying income sources. • Overhead expenses increased modestly by 6% (YoY) due to targeted investments. • Stability: The bank comfortably exceeded regulatory requirements, maintaining a strong Total Capital Ratio of 14.90% and a Liquidity Coverage Ratio (LCR) of 148.65%. • Strategic Focus: The strategy of balancing growth with sustainability remains focused on empowering communities, supporting MSMEs, and strengthening the cooperative sector.
Ambeon Group Posts Rs. 4.55 Bn YTD Profit, Driven by Strategic Investments 📈
• Ambeon Capital PLC reported a robust 2Q PAT of Rs. 3.82 Bn, continuing its growth trajectory. • Year-to-date (YTD) Profit After Tax (PAT) surged to Rs. 4.55 Bn, a substantial improvement compared to Rs. 123 Mn recorded in the corresponding period last year. • The group’s principal subsidiary, Ambeon Holdings PLC, recorded a 2Q PAT of Rs. 3.22 Bn, with YTD revenue reaching Rs. 8.46 Bn. • Growth was primarily driven by fair value gains from strategic investments and enhanced operational efficiencies. Sectoral Performance (YTD PAT): • Financial Services (Taprobane Capital Plus) delivered Rs. 429 Mn. • Real Estate (Colombo City Holdings) recorded Rs. 320 Mn, supported by property value optimisation. • The Technology cluster (MillenniumIT ESP) faced industry headwinds; focus remains on long-term growth strategies. Strategic Expansion: • Ambeon Capital acquired a 51% equity stake in Mylands PLC, expanding its Real Estate footprint. • The Group collectively increased its holdings in Leisure/Tourism (The Kandy Hotels Co. PLC and Ceylon Hotels Corporation PLC). • Confidence in the banking industry was underscored by increasing the collective stake in DFCC Bank PLC to 9.91% and maintaining 9.93% in Seylan Bank PLC (Financial Services).
First Capital Holdings Achieves Record H1 Profit of Rs. 3.43 Bn 📈
First Capital Holdings PLC (FCH) reported a stellar financial performance for the six months ended September 30, 2025 (H1 2025/26): • Profit After Tax (PAT) soared to Rs. 3.43 Bn, a massive increase of ~282% compared to Rs. 897 Mn in the previous corresponding period. • Net Trading Income before OpEx reached Rs. 5.46 Bn (vs. Rs. 1.88 Bn last year), driven by favourable market conditions following moderate interest rate declines. Key Segment Contributions (PAT): • Corporate Finance Advisory & Corporate Dealing Securities: Contributed the highest segment PAT of Rs. 1.81 Bn (up sharply from Rs. 264 Mn). • Primary Dealer Division: Generated Rs. 1.57 Bn (vs. Rs. 578 Mn), boosted by a Rs. 1.81 Bn trading gain on Government Securities. • Stock Brokering: PAT jumped to Rs. 116 Mn (vs. Rs. 6 Mn), indicating renewed investor participation in the equity market. Other Highlights: • The Board declared an interim dividend of Rs. 7.00 per share (Rs. 2.84 Bn total). • The company's credit rating was upgraded to 'A+' from 'A' by LRA, reflecting strengthened financial health and market confidence.
📈 Janashakthi Life Q3 2025 Soars: 249% Profit Surge & Strong NBP Growth
• Janashakthi Life, the flagship brand of JXG Group, recorded exceptional performance in Q3 2025, surpassing industry benchmarks in the life insurance sector. • Profitability: Net Profit surged by a remarkable 249% year-on-year (YoY), reaching LKR 2.793 Billion as at the end of September 2025. • Business Growth: Regular New Business Premiums (NBP) recorded a strong 72% YoY increase, totaling LKR 1.227 Billion. • Financial Health & Commitment: • Total assets expanded to LKR 41.508 Billion. • Claim payouts amounted to LKR 2.603 Billion during the period. • The company's stability was underscored by the affirmation of its A- credit rating by Lanka Rating Agency. • Growth was driven by an enhanced focus on customer acquisition, product diversification, and expanding its distribution network.
hSenidBiz Q2 Sees 23% Revenue Jump & Major Margin Expansion 📈
hSenid Business Solutions PLC (ICT/BPM) reported robust performance for the second quarter of FY2026, marking substantial progress toward critical profitability milestones. • Financial Milestones: Total revenue reached LKR 516.9 million, reflecting strong 23% YoY growth in both LKR and USD constant currency terms. The Normalized EBITDA margin expanded significantly to 11%, more than quadrupling the 2.5% recorded in the previous quarter, positioning the company at the cusp of Normalized EBIT break-even. • Growth Drivers & Sustainability: The PeoplesHR Cloud segment was the main driver, achieving 34% YoY revenue growth (LKR terms). Recurring revenues contributed 72% of the total revenue base. New deal closures for the quarter surged by 48% YoY to US$ 381,931. • Global Reach & Innovation: The flagship PeoplesHR solution supports over 1,700 HR departments across 40 countries (South Asia, ME, Africa). The company is set to launch PeoplesHR X (Version 10), which introduces Lexi, an AI-powered capability suite designed to enhance customer experience and productivity.
CIC Holdings Posts Robust 1HFY26 Performance Driven by Key Sectors 📈
Diversified conglomerate CIC Holdings PLC reported strong top and bottom-line growth for the first half of FY26, underpinned by margin recovery and operational efficiency. • Financial Highlights (YoY Growth): • Consolidated Revenue reached Rs. 41.6 Billion (Bn), a solid increase of 7.2%. • Profit After Tax (PAT) rose to Rs. 3.25 Bn, marking an impressive growth of 14.7%. • Operating Profit (EBIT) strengthened to Rs. 5.7 Bn, recording 18.6% YoY growth. • Gross Profit margin stood at ~27%, with total gross profit rising 11.68% YoY to Rs. 11.2 Bn. • Sectoral Performance (Segmental Profit Growth): • Crop Solutions (largest contributor at ~40% of revenue) recorded a segmental profit of Rs. 2.11 Bn, up 16% YoY, despite cost pressures from a delayed Maha season. • Health & Personal Care delivered the sharpest profit growth, increasing 33% YoY to Rs. 1.30 Bn. • Livestock Solutions also showed significant growth, with segmental profit soaring 32% YoY to Rs. 1.16 Bn. • The Group's five core business sectors collectively generated Rs. 5.40 Bn in segmental operating profit (up 16% YoY), demonstrating broad-based resilience. • Balance Sheet: Total assets reached Rs. 98.6 Bn, positioning the Group close to the Rs. 100 Bn milestone. EPS improved 12% YoY (pre-split) to Rs. 6.86.
Strong 2Q Drives Hemas 1H Earnings Up 32.5% 📈
• Hemas Holdings PLC recorded strong 1H FY26 cumulative earnings of Rs. 3.3 b, marking a significant increase of 32.5% YoY. • 2Q earnings grew by 36.6% to Rs. 2.1 b, driven by robust revenue growth across all sectors and a sharp 78.9% reduction in net interest cost. • 1H Group Revenue reached Rs. 60.8 b, with Operating Profit up 10.7% to Rs. 5.6 b. A 25-cent first interim dividend was also declared. Strategic Highlights: • International expansion confirmed with a Conditional Share Sale and Purchase Agreement to acquire a leading consumer products company in Kenya (pending regulatory approvals). • Domestic growth focus: Expansion commenced at Thalawathugoda Hospital to evolve into a tertiary care institution, adding specialised services. Sector Performance (1H): • Consumer Brands earnings rose 25.7% (Rs. 2.3 b) on 10.9% revenue growth, supported by volume growth in SL (Beauty & Personal Care) and Bangladesh VAHO. • Healthcare earnings increased by 15.3% (Rs. 2.1 b) on 12.2% revenue growth (Rs. 37.7 b), driven by hospital service expansion and higher medical admissions/channelling. • Mobility revenue grew 18.7%, supported by higher maritime volumes (new China–India Express service) and increased aviation cargo/passenger numbers.
✈️ Qatar Airways Exits Cathay Pacific with US$ 897 Mn Share Sale
• Qatar Airways has sold its entire 9.7% holding in Cathay Pacific Airways for approximately US$ 897 million (HK$ 6.97 billion), completing its exit from the Hong Kong carrier. • Cathay Pacific bought back the stake at HK$ 10.8374 per share, a roughly 4% discount to the previous day’s closing price. • The sale represents a significant 35% premium on the price Qatar Airways paid when it acquired the holding in 2017. • Qatar Airways stated the divestment aligns with its "disciplined portfolio strategy" to optimise investments. • Cathay Pacific plans to fund the buyback using internal funds and credit lines, demonstrating confidence in its future. • The airline also announced plans to invest HK$ 100 billion over seven years for fleet upgrades and new cabin products. • Cathay Pacific's shares reacted positively, rising 4.8% following the announcement.
US Firm Asbury Carbons Acquires German Owner of Bogala Graphite 📈
• US-based Asbury Carbons Inc. has agreed to acquire Graphit Kropfmühl GmbH (GK) from AMG Critical Materials N.V. for an enterprise value of US$ 65 million. • GK holds the majority stake (approx. 86.46%) in Sri Lanka's key miner, Bogala Graphite Lanka PLC, and operates a graphite mine in Germany. • The deal, which covers all GK operations and ~350 employees, completes AMG’s exit from the natural graphite business to focus on core growth areas. • Market Reaction: Bogala Graphite Lanka PLC's share price on the CSE closed at Rs. 137 yesterday, surging by a sharp 25% (Rs. 27.25) following the announcement. • Asbury Carbons, a global leader in carbon solutions, aims to use the acquisition to strengthen supply chain security. The transaction is expected to close by year-end 2025.
HNBA Life Insurance Posts Sector-Leading 38% GWP Growth in 9M 2025 📈
• HNB Assurance (HNBA) recorded the highest Life Gross Written Premium (GWP) growth among Sri Lankan life insurers, surging 38% YoY to Rs. 13.74 Billion for the nine months ended Sep 30, 2025. • Total Group GWP (Life and General) reached Rs. 21.9 Bn, marking a 32% increase from the corresponding period last year. • Financial Strength: • Total Assets grew by 18% to Rs. 63.2 Bn. • The Life Fund expanded by a robust 24% to Rs. 47.4 Bn, signaling strong fund management. • Profit After Tax (PAT) rose 12% to Rs. 617 Mn. • Commitment: Net claims and benefits incurred to policyholders increased significantly by 54% to Rs. 3.25 Bn. • Drivers: The growth was attributed to strong performance in agency and bancassurance channels, complemented by new product offerings and improved policy persistency.
Freight 360 Marks 7 Years of Growth in Logistics 🚢
• Freight 360 Ltd. celebrated its 7th anniversary on 7 November 2025, marking seven years of growth, innovation, and excellence in the logistics and freight forwarding sector. • The company has rapidly evolved into a recognised provider by focusing on a customer-focused approach, leveraging cutting-edge technology, and delivering customised logistics solutions. • Manager Dananjaya Rathnayake attributed the success to the team's passion, hard work, and the trust of customers and partners, highlighting the company's foundation of collaboration and adaptability. • Freight 360 remains firmly committed to driving innovation and delivering logistics excellence for years to come.
🚀 Tesla Shareholders Back Musk's Record Pay Plan
• Tesla shareholders approved CEO Elon Musk's historical corporate pay package with over 75% support, a move the board said was crucial for retaining him. • The proposal could award Musk up to US$ 1 Trillion in stock over the next decade, with a potential net value of US$ 878 Billion. • The approval endorses Musk's vision to transform the EV maker into an AI and robotics powerhouse. The pay is tied to ambitious 10-year milestones, including boosting Tesla's stock valuation from US$ 1.5 Tn up to US$ 8.5 Tn. • Key operational goals for Musk include delivering 20 Million vehicles, operating 1 Million robotaxis, selling 1 Million humanoid robots, and achieving US$ 400 Billion in core profit. • Separately, shareholders also voted in favor of Tesla investing in Musk's artificial intelligence startup, xAI, despite some investor abstentions.
📈 Sarvodaya Development Finance Rating Upgraded to BBB- (Stable)
• Lanka Rating Agency (LRA) has upgraded Sarvodaya Development Finance (SDF) to BBB- (Stable Outlook) from BB+, reflecting notable improvements in financial performance and capital strength. • Portfolio Growth: The loan portfolio expanded significantly by +25.4% to Rs. 24 Billion in the first six months of FY26 (6M FY26). • Key Segments: Growth was driven by Micro, Small and Medium Enterprise (MSME), leasing, and gold loan segments. • Asset Quality & Capital: • Gross Non-Performing Loans (NPLs) improved to 6.0% (down from 7.9% in FY25), placing it below the industry average. • Capital Adequacy Ratio (CAR) is robust at 25.9%, well above regulatory requirements, following a Rs. 2 Billion Tier II debenture issue. • Financials: Profitability for 6M FY26 improved to approx. Rs. 340.5 Million, supported by stable spreads and lower funding costs. • Constraint: The rating remains constrained by the company’s modest market position, holding approximately 1.13% of total industry assets. Sustaining asset quality and enhancing relative market share are critical to maintaining the new rating.
Emirates Group Hits Record Half-Year Profit on Strong Global Travel Demand 📈
The Emirates Group has announced a new record financial performance for the first half of 2025-26, driven by sustained customer preference and expanding operations. • Group Total Performance: • Profit before tax reached an all-time high of AED 12.2 Bn (US$ 3.3 Bn), marking a strong 17% increase year-on-year (YoY). • Total Group revenue rose 4% to AED 75.4 Bn (US$ 20.6 Bn). • The Group’s cash position closed at a record AED 56.0 Bn (US$ 15.2 Bn). • Key Business Segments: • Emirates Airline maintained its position as the world’s most profitable airline for the period, posting a PBT of AED 11.4 Bn (US$ 3.1 Bn), up 17% YoY, on revenue up 6%. • Passenger traffic increased 4% (carrying 27.8 million passengers). • Emirates SkyCargo transported 1.25 million tonnes (up 4%), despite a 6% decrease in cargo yields. • dnata (ground handling, catering, and travel services) also delivered a record half-year, with PBT up 17% to US$ 230 Mn and revenue up 13% to US$ 3.2 Bn, with Airport Operations revenue growing 15%. • Operational Context: The performance reflects unflagging global demand, enabling the Group to grow its employee base by 3% to 124,927 and fund significant investments in fleet and services.
📈 Sunshine Holdings Delivers Robust 1HFY26 Performance with Strong Diversified Growth
Sunshine Holdings PLC (SUN) reported a strong financial half-year (1HFY26), driven by its diversified business model. • Consolidated Revenue: LKR 32.3 Bn, up 7.4% Year-on-Year (YoY). • Group Earnings Before Interest & Tax (EBIT): Rose 18.6% YoY to LKR 5.5 Bn; EBIT margin expanded to 17.0%. • Agribusiness was the top growth driver, with revenue surging 21.9% YoY to LKR 5.2 Bn. Growth was led by the palm oil segment (up 26.7%), sharply expanding the sector’s EBIT margin to 49.1%. • Healthcare remains the largest segment (53.7% of revenue), posting LKR 17.3 Bn, up 7.4% YoY, despite a 16.7% contraction in sector EBIT. Retail segment revenue increased 15.1%. • Consumer sector revenue increased 1.0% to LKR 9.8 Bn. Branded Tea and Confectionery businesses grew 5.1% YoY, offsetting a marginal 1.2% contraction in the Export business (impacted by U.S. tariff adjustments). • Group Gross Profit increased 12.9% YoY to LKR 10.3 Bn, primarily due to margin expansion in Agribusiness.
NDB Achieves 65% Profit Growth in First Nine Months 📈
• National Development Bank (NDB) delivered impressive profitability in 9M 2025, recording a 65% YoY growth in Profit After Tax (PAT) to reach an institutional high of Rs. 7.5 Bn (standalone basis). • Operating Income expanded by 32.3% to Rs. 28.4 Bn, and Pre-Tax Profit grew by 62.1% to Rs. 11.0 Bn. Net Fee & Commission Income saw a healthy 13.8% YoY increase. • On a normalised basis, Net Loans grew by 22.1% and Deposits by 7.2% over end 2024, reflecting growth in the core business. Total deposits reached Rs. 702.9 Bn. • Key operational improvements include a significant 46.7% YoY reduction in impairment charges. The Impaired Loans (Stage 3) ratio improved to 4.5% (down from 5.2% at end 2024). • The Bank's commitment to the SME sector was highlighted by a growth of over 24.0% in the SME loan book on a year-to-date basis. • Return on Average Equity (ROE) for the nine-month period was 12.4%, rising to 16.0% for the third quarter alone.
Pan Asia Bank Marks 30-Year Milestone with Commemorative Stamp 🇱🇰
• Pan Asia Bank officially launched a special edition commemorative postage stamp, in collaboration with the Department of Posts, to celebrate its 30th anniversary. • The stamp symbolises three decades of trusted service and reflects the Bank's deep-rooted presence and commitment to driving sustainable financial growth and contributing to Sri Lanka’s economic development. • Chairman Aravinda Perera stated the stamp is a tribute to the trust placed by customers, highlighting the Bank's journey from humble beginnings to a progressive, customer-focused institution. • Director/CEO Naleen Edirisinghe emphasised that the milestone represents the collective story of customers, employees, and partners, affirming a renewed purpose to continue innovating and serving with heart. • The Bank reaffirms its legacy of pioneering customer-centric financial solutions and supporting the country's economic progress over the past 30 years.
AIA Group Delivers Record Q3 with 25% VONB Growth 📈
• Value of New Business (VONB) soared 25% (at constant exchange rates) to US$ 1.48 Bn, marking a record for the third quarter. • VONB margin significantly increased by 5.7 percentage points to 58.2%, driven by a favorable product mix. • Annualised New Premiums (ANP) and Total Weighted Premium Income (TWPI) both grew 14%, reaching US$ 2.55 Bn and US$ 11.91 Bn, respectively. Distribution Performance: • The industry-leading Premier Agency channel (generating over 70% of VONB) saw 19% growth, supported by a strong 18% rise in new agent recruitment. • Fast-growing Partnership distribution achieved excellent 46% growth, led by IFA/broker and bancassurance businesses. Regional Strength: • Broad-based double-digit VONB growth was achieved across major regions, including Hong Kong, Mainland China, ASEAN, and India (11 of 18 markets overall). • ASEAN markets collectively delivered 15% higher VONB, supported by both distribution channels. • Tata AIA Life in India maintained its number one industry ranking in retail protection.
JKH Q2/H1 Earnings Soar: EBITDA Doubles to Rs. 18.36 Bn on Strong New Investment Push 📈
• Conglomerate John Keells Holdings PLC (JKH) reported an exceptional Q2 FY25/26 performance, driven by strong contributions across its diversified portfolio and the operationalizing of major new investments. • Q2 FY25/26 Financials: Group EBITDA more than doubled, surging 127% YoY to Rs. 18.36 Bn (from Rs. 8.09 Bn). Profit Before Tax (PBT) soared 243% to Rs. 7.8 Bn. Profit After Tax (PAT) climbed 176% to Rs. 4.2 Bn. • H1 FY25/26 Cumulative: Group EBITDA increased 98% YoY to Rs. 31.33 Bn. • Key Drivers & Outlook: City of Dreams Sri Lanka (CODSL): Achieved near EBITDA break-even in Q2 post-launch and is expected to provide a strong profit uplift in the second half (H2) as operations ramp up. Transportation Sector (WCT-1): The West Container Terminal exceeded throughput expectations and is projected to reach near PAT break-even for the full year, ahead of initial forecasts. John Keells Capital (JKCG): Recorded robust vehicle deliveries, supported by a healthy order pipeline of over 3,800 units. • Dividend & Strength: The Group doubled its interim dividend to Rs. 0.10 per share (total payout Rs. 1.77 Bn), reflecting confidence in sustained earnings momentum. JKH remains financially strong, with Net Debt to Equity at 32%, and expects further improved performance in H2.
🤝 Canadian Firm SolarIT Acquires Sri Lankan Digital Agency Tetris
• Canada-based IT consulting and tech services firm, SolarIT Solutions, has completed the acquisition of Tetris Ltd., a Sri Lankan digital experience agency. • Strategic Expansion: The move positions Tetris as SolarIT’s global digital experience arm, strengthening the Canadian firm's South Asian presence and expanding its capacity for digital transformation solutions. • ICT/BPM Sector Boost: The integration leverages combined teams in Canada and Sri Lanka, enabling seamless, round-the-clock service coverage and providing Tetris with expanded global resources and market exposure. • Tetris CVO, a Sri Lankan-born tech leader, noted the acquisition is a mission to "give back" by creating jobs, nurturing local ICT talent, and fostering growth in Sri Lanka. • Post-Acquisition Note: Tetris will sponsor the World Marketing Forum 2025 as the Official Web Solutions Partner.
📈 JAT Holdings Acquires NZ Wood Coatings Leader Mirotone
• JAT Holdings PLC has announced the landmark acquisition of Mirotone (NZ) Limited, New Zealand's top industrial wood coatings company and a globally respected brand with a 90-year heritage (established 1935). • This strategic move provides JAT with immediate market reach across Australia and New Zealand (Australasia), and establishes a platform for future expansion into Europe and the Americas. • Mirotone brings cutting-edge R&D capability, strong international distribution networks, and a portfolio of trusted, advanced wood finishing solutions. • The acquisition marks a pivotal shift for JAT, transforming the company from a regional leader (currently operating in South Asia and Africa) into a truly global coatings enterprise and a Sri Lankan multinational. • The goal is to accelerate global product development and establish JAT as one of the most dynamic coatings companies in the world.
📈 Sri Lanka SOE Profit Drops in 1H 2025, CEB Loss Offsets State Bank Gains
• Aggregate profit for 52 SOEs fell to Rs. 227.8 Bn in 1H 2025, down from Rs. 280.7 Bn in 1H 2024. • The decline was primarily due to the Ceylon Electricity Board (CEB), which swung from a Rs. 119.2 Bn profit (1H 2024) to a Rs. 13.2 Bn net loss (1H 2025) after steep electricity tariff reductions. • State Banks were the major bright spot, collectively boosting profits by Rs. 65.5 Bn. Bank of Ceylon's PBT surged to Rs. 61.1 Bn (up from Rs. 22.4 Bn), and People’s Bank reported its highest-ever half-year PBT of Rs. 28 Bn. • Other strong performances included the Sri Lanka Ports Authority (SLPA), with PBT rising to Rs. 29.2 Bn, and the National Water Board (NWSDB), up 28.3% to Rs. 17.7 Bn. • Ceylon Petroleum Corporation (CPC) profit declined 17.9% to Rs. 17 Bn, partly due to a stronger rupee and lower global prices. SriLankan Airlines reported a net loss of Rs. 10.7 Bn despite a rise in passenger volumes. • Reforms: The government is advancing structural changes, including the Cabinet approval of the Public Commercial Enterprises Bill and the restructuring of the CEB into four new entities for better governance and efficiency.
LTL Holdings Clarifies COPE Findings on CEB Links & Audits ⚖️
LTL Holdings Ltd. (LTLH) issued a Right of Reply addressing COPE findings regarding its ownership and audit practices linked to the Ceylon Electricity Board (CEB). • Audit Compliance: LTLH asserts it is not an "auditee entity" for the Auditor General (AG) under the National Audit Act. However, LTLH and subsidiaries are audited twice yearly by shareholder-appointed auditors, and the AG has the right to inquire through the CEB on any related matter. • Share Dilution: The reduction of CEB's shareholding (from 63% to 35%) via transfer to West Coast Power Ltd. was part of a Government-initiated CEB debt restructuring program, not an LTLH decision. West Coast Power is also majority government-controlled. • Employee Trust: The 10% Employee Trust (later Teckpro Investments) was a decision by the original shareholders (CEB and ABB, Norway) to solve a foreign regulatory issue. CEB employees were not entitled to, nor did they receive, shares or dividends from this entity. • Power Projects: LTLH subsidiary Lakdhanavi obtains all power plants (including renewables) projects through competitive bidding tenders within the CEB's approved Long-Term Generation Expansion Plan (LTGEP), consistently offering the lowest price. • CEO: The current CEO resigned from CEB in 1997 and held no LTL shares prior to joining LTLH. He subscribed to only one subsidiary share in 2000, denying any conflict of interest.
📈 Tea Broking Focus: Ceylon Tea Brokers Divests Logistics Arm
• Ceylon Tea Brokers PLC has signed a Share Sale and Purchase Agreement to sell its entire 100% stake in Logicare Ltd. to DP Logistics Ltd., a member of the David Pieris Group of Companies. • Deal Value: The transaction for the shares is valued at Rs. 635.3 million, based on an enterprise value of Rs. 1.3 Billion for the logistics subsidiary. • Strategic Rationale: This divestment allows Ceylon Tea Brokers to fully exit the integrated logistics and warehousing sector (Logicare), aligning with its strategic decision to focus on its core tea broking and related services business. • Buyer Context: DP Logistics, already a major player, strengthens its position in freight forwarding, warehousing, and supply chain management through this acquisition.
📈 Senthilverl Holdings Increases Stake in C M Holdings Above 10%
• Senthilverl Holdings Ltd. (SHL) has successfully raised its shareholding in C M Holdings PLC (CMH) to 10.19% of the issued capital (15.49 million shares). • Transaction Detail: SHL acquired 1 million shares on 30 October 2025 at a price of Rs. 71 each, totalling Rs. 71 million (Rs. 71 Mn). • Shareholder Status: SHL is now the second largest shareholder in CMH. The Colombo Fort Land and Building PLC remains the top shareholder with a significant 63.5% stake. • NAV Growth: CMH reported a Net Asset Value (NAV) per share of Rs. 467 as of end-September 2025, a substantial increase from Rs. 246 a year ago. • Market Close: CMH shares closed Friday at Rs. 70.90, down by 10 cents.
Eagle Logistics Marks 20 Years of Excellence & Talent Creation 👏
• Eagle Logistics celebrated its 20th anniversary on 24 October, marking two decades of growth and solidifying its position as a leading force in Sri Lanka’s logistics and supply chain industry. • Managing Director Asanga Weerackody emphasized that the company’s success is rooted in its people-centric purpose, going beyond typical metrics like profits and market share. • Current Strength: The company currently comprises over 300 team members. • Talent Pipeline: A significant 99% of the current staff are "home-grown," having begun their careers with Eagle as their first job. • Industry Contribution: Over the past 20 years, the company proudly reports having created more than 1,000 professionals for the wider freight forwarding and supply chain sector. • Eagle Logistics remains committed to nurturing people, fostering innovation, and delivering excellence across all aspects of its operations.
TMC Colombo Presents: 'The Way Forward' with Maliban Group CEO Ravi Jayawardana 🚀
• The Management Club (TMC) – Colombo Chapter is hosting a key knowledge-sharing session titled: "Strategic manoeuvring in tough times – Live or Lead!". • Key Speaker: Ravi Jayawardana, Group Chief Executive Officer of the Maliban Group (comprising Biscuits, Milk, and Agro). • Topic Focus: Navigating business challenges, leading with purpose, and strategically manoeuvring through uncertain times—offering real-world lessons on leading rather than merely surviving. • Venue & Date: Atrium Lobby, Cinnamon Grand Hotel, Colombo, on Thursday, 27 November, starting 6 p.m. • Session Format: A 40-minute address followed by an engaging Q&A and a networking session. • Participation Fee: Rs. 3,000 (Members) / Rs. 3,500 (Non-Members), inclusive of snacks.
📈 Janashakthi Finance H1 FY2026: Strong Financial Momentum & Portfolio Surge
Janashakthi Finance PLC (a JXG subsidiary) reported solid financial growth for the first half ended 30th September 2025, demonstrating strong progress in executing its strategic priorities. • The company recorded a Profit Before Tax (PBT) of LKR 241 Mn, marking a 22% year-on-year (YoY) increase. • Net Profit After Tax (NPAT) stood at LKR 141 Mn for the period. • Net Operating Income saw a significant surge, growing 34% YoY to reach LKR 1.43 Bn. • Core Portfolio Expansion: The Loans and Receivables portfolio grew substantially by 49% YoY to LKR 26.7 Bn, driven by renewed lending activity. • Deposits rose to LKR 16.9 Bn, reflecting a 17% increase and underlining growing customer and investor confidence. • Driver: The performance is attributed to disciplined portfolio expansion, enhanced operational efficiency, and a focus on core income generation, positioning the company as a key player in the sector.
Union Bank Delivers 52% PBT Growth for 9M 2025 📈
• Union Bank posted a strong Profit Before All Taxes (PBT) of LKR 1.18 Bn for the nine months ended Sept 2025, an impressive 52% increase compared to the previous year. • Profit After Tax (PAT) surged by an exceptional 194% to LKR 343 Mn. Key Income Drivers: • Gross Income rose 7% to LKR 13.20 Bn. • Net Interest Income (NII) grew a healthy 11% to LKR 3.98 Bn, supported by strong loan growth. • Net Fee & Commission Income saw outstanding 39% growth, driven by higher transactional volumes, digital utilization, and trade services. Balance Sheet & Strategy: • Total Assets expanded robustly by 17% to LKR 171.86 Bn. • Loans and Advances increased remarkably by 32% to LKR 107.59 Bn. • Customer Deposits grew 8% to LKR 111.90 Bn, reflecting rising customer confidence. • The financial sector institution maintained a stable NPL ratio, underscoring robust credit risk management. • The Bank plans to raise up to LKR 3 Bn through Tier II debentures to further reinforce its capital base and support future business expansion.
Fonterra Farmers Approve US$2.42 Bn Global Consumer Business Sale 📈
• New Zealand dairy producer Fonterra Co-operative Group's farmer shareholders have approved the NZ$4.22 billion (US$ 2.42 Bn) divestment of its global consumer and associated businesses to French major Lactalis. • The sale received strong support, with 88.5% of total farmer votes cast in favour. • Key brands included in the sale are Mainland, Anchor butter, Kapiti ice cream, and Anlene powdered milk supplement. • Crucially, the transaction also covers Fonterra’s Foodservice and Ingredients businesses in Oceania and Sri Lanka, along with its Middle East and Africa Foodservice operations. • The divestment is intended to simplify and provide a more focused core business for Fonterra. • Completion is expected to occur in the first half of 2026, pending final regulatory approvals.
PickMe 📈 Strongest Performance: Q2 Profit Surges 84%, Interim Dividend Up
Digital Mobility Solutions Lanka PLC (PickMe) reported record performance for Q2 and 1H FY2025/26: • Q2 (Jul-Sep '25) Highlights: • Revenue: Rs. 2.1 Bn, up 51% YoY. • Net Profit: Rs. 514 Mn, surging 84% YoY. • Platform movements grew 53% YoY and 23% QoQ (highest sequential growth since Q2 FY23/24). • Operating Profit climbed 86% YoY to Rs. 704 Mn. • 1H (Six-Month) Performance: • Revenue reached Rs. 3.9 Bn (+51% YoY). • Net Profit jumped 89% YoY to Rs. 950 Mn. • Gross Transaction Value (GTV) rose 45% YoY to Rs. 37.6 Bn. • Key Corporate Action: • Declared an interim dividend of Rs. 1.70 per share for FY25/26 (up from Rs. 1.00 previously), representing a 60% payout ratio. • Expanded platform ecosystem with new verticals: Courier (scheduled parcel delivery) and Events (ticketing).
WindForce Lowest Bidder for Key 50MW Wind Project ⚡️
• WindForce PLC has been identified as the lowest-cost bidder for Lot 1 of the 50MW Mullikulam Wind Power Project. • This marks a key milestone towards securing the contract for the large-scale renewable energy development in Sri Lanka. • The company described the outcome as price-sensitive information due to its potential impact on future operations and financial performance. • The formal contract award is still pending, subject to final procedures, regulatory clearances, and term negotiations. Further disclosures will follow the official contract execution.
Partial Stake Sale in Hatton Plantations PLC 📈
• Hatton Plantations PLC's parent company, Lotus Renewable Energy Ltd., sold a partial stake of 3.56% (over 8.4 million ordinary shares) to Durga Infra Ltd. • The transaction was valued at Rs. 247.9 million, executed at a price of Rs. 29.40 per share. • Post-divestment: Lotus Renewable Energy remains the top shareholder. Durga Infra is likely to become the third-highest shareholder in the plantation firm. • Context: The sale price of Rs. 29.40 per share is above the Net Asset Value per share of Rs. 21.64 reported as of 30 June 2025, signaling market interest in the tea and plantation sector asset.
⚠️ Colombo University Alumni Association AGM Postponed
• The Annual General Meeting (AGM) of the Alumni Association of the University of Colombo has been postponed. • The AGM was originally scheduled to take place today, October 30, 2025. • The change is due to unavoidable circumstances. • A new date for the meeting will be notified to members soon.
Pan Asia Bank: 30 Years of Financial Excellence Celebrated at CSE 🥳
• Pan Asia Bank commemorated its 30th Anniversary since establishment (1995) and the 20th Anniversary of its landmark listing (2005) with a ceremonial bell-ringing at the Colombo Stock Exchange (CSE). • The celebration honored the Bank’s three decades of innovation, resilience, and commitment to driving inclusive and sustainable financial growth across Sri Lanka. • Chairman stated the future focus remains clear: to continue building trust, creating value, and driving inclusive growth for generations to come. • Milestones highlighted include strategic island-wide expansion, industry-first digital innovations, recognition for ESG principles, and proactive initiatives like green financing solutions and SME empowerment programs. • CSE CEO acknowledged the Bank’s adherence to regulatory frameworks, emphasizing its role as a good corporate citizen maintaining high transparency standards.
⚡️ Vidullanka & David Pieris Lowest Bidders for 50MW Wind Project
• A consortium led by Vidullanka, together with its partner David Pieris Group, has emerged as the lowest-cost bidder for the 50-megawatt (MW) Mullikulam Wind Power Project. • This marks a significant step towards securing the contract for the large-scale renewable energy initiative and expands Vidullanka’s portfolio in the power sector. • The company's Board described the outcome as price-sensitive information, directly relevant to future operations and long-term financial prospects. • Status Update: The final award of the contract remains pending, subject to formal awarding procedures, regulatory approvals, and negotiation of final terms. Further announcements are expected upon contract execution.
Seylan Bank Q3 2025 Results: Strong Profit Growth & Asset Quality Improvement 🏦
• Profit After Tax (PAT) for the 9 months ended September 30, 2025, reached Rs. 8.3 Billion, recording a robust 26.30% YoY growth. Profit Before Tax (PBT) for Q3 2025 was Rs. 12.8 Bn (+20.75% YoY). • Asset Quality showed significant strength: • Impaired Loans (Stage 3) Ratio improved sharply to 1.48% (down from 2.10% in 2024). • Impairment Charge saw a massive reduction of 81.39% (Rs. 772 Mn vs Rs. 4.1 Bn YoY). • Stage 3 Provision Cover Ratio stands strong at 83.22%. • Income Breakdown: • Net Fee Based Income saw a growth of 15.99% (Rs. 5.8 Bn to Rs. 6.7 Bn), mainly from cards, remittances, and trade. • Net Interest Income saw a marginal decrease of 0.75% due to market interest rate repricing. • Balance Sheet & Capital: Total Assets increased to Rs. 853 Billion. Loans & Advances grew by a net Rs. 71 Bn to Rs. 534 Bn. The Total Capital Adequacy Ratio is robust at 18.34%. Return on Equity (ROE) stood at 15.08%.
SLICGL Reaffirmed as SL's Only A+ Rated Insurer 📈
• Fitch Ratings has reaffirmed Sri Lanka Insurance Corporation General Ltd. (SLICGL) with an 'A+(Ika)' National Insurer Financial Strength (IFS) Rating, maintaining a Stable Outlook. • Highest Rated: SLICGL holds the distinction of being Sri Lanka's only insurer with an A+ rating and the highest-rated insurance brand in the country. • Market Leadership: The rating validates the company’s strong financial profile and leading position, having held the No. 1 spot in the Sri Lankan general insurance market throughout 2024 (IRCSL data). • Capital Strength: Capitalisation remains strong, evidenced by a Risk-Based Capital (RBC) ratio of 277.3% at end-2024, significantly above the 120% regulatory minimum. • Growth Focus: Despite recent pressures, profitability is expected to strengthen through enhanced claims management and growth across key business lines, led by the motor portfolio, alongside expansion in fire and health segments. • Strategy: The separation of the general arm from the life insurance counterpart in 2024 positions the State-owned pioneer for more focused management and agility.
📈 Nawaloka Hospitals Returns to Profit, Boosted by AI & Growth
• Nawaloka Hospitals PLC achieved a strong financial turnaround for the FY ended March 31, 2025, reporting a Net Profit of Rs. 56 million. This reverses the Rs. 305 million loss recorded in the previous year. • Revenue for the Group increased by 6% to Rs. 11.0 billion, driven by growth in patient volumes and medical tourism. Gross Profit reached Rs. 5.8 Bn. • The positive results were attributed to tighter cost management, strategic investments in digital health, and increased demand for specialised healthcare services. • Investor Confidence: The share price more than doubled from Rs. 3.90 (Mar 2024) to Rs. 8.00 (Sep 2025), boosting market capitalisation to Rs. 11.3 Bn. • The Group marked its 40th Anniversary by pioneering innovation, notably launching South Asia's first AI-powered Radiology Centre. This earned Nawaloka recognition as the "Leading Hospital in AI & Innovation – Asia Pacific 2025." • Post-financial year end, a successful debt settlement with Hatton National Bank significantly strengthened the Group’s balance sheet and improved liquidity. 🏥
Tokyo Cement Q2 Results: Construction Rebounds, Revenue Up 18% 📈
Tokyo Cement Group reports sustained volume growth driven by a rebound in the construction and real estate sectors for Q2 (ending Sep 30, 2025). • Financials: Turnover rose to Rs. 16,322 Mn from Rs. 13,833 Mn YoY, marking an 18.0% increase. • Profit After Tax (PAT): Contracted by 7.3% to Rs. 1,003 Mn (down from Rs. 1,082 Mn YoY) due to contracted margins following the capitalisation of Trincomalee expansion projects. • Sector Highlights: September 2025 recorded the highest cement sales volumes since the 2022 economic crisis. This recovery is supported by lower interest rates, improved private sector credit, and fewer weather disruptions. • Macro-Outlook: Sri Lanka's economy grew an estimated 4.8% in H1 2025. The sovereign rating was upgraded by all three major agencies. Future growth is anticipated from government infrastructure (e.g., Central Expressway) and new multilateral lending agreements (WB/ADB) channeling investment into national construction activities.
📈 Senthilverl Holdings Becomes Top Shareholder in Serendib Land
• Major Acquisition: Senthilverl Holdings has acquired a significant 25.48% stake in Serendib Land PLC. • Transaction Details: The deal involved purchasing 101,643 shares from Finco Holdings Ltd. at a price of Rs. 1,500 per share. • Total Value: The transaction was valued at Rs. 152.46 million (Rs. 152.5 m) and was completed on 24 October. • Ownership Shift: The acquisition makes Senthilverl Holdings the new top shareholder in the company, taking over the position previously held by Finco Holdings (26.43% stake before the sale). • Valuation Note: The transfer price of Rs. 1,500 per share is below the company's un-audited Net Asset Value (NAV) of Rs. 1,797.83 per share reported as of 30 June. • Market Close: Serendib Land closed yesterday at Rs. 1,649.75 a share, registering a gain of Rs. 2.
📈 Advisor Recommends Rejecting Ambeon's Mandatory Offer for Myland Developments (MDL)
• HNB Investment Bank (HNBIB), acting as the independent adviser, recommended that Myland Developments PLC (MDL) shareholders REJECT the mandatory offer of Rs. 8.50 per share made by Ambeon Capital PLC. • The recommendation is based on the offer price being at a discount to most fair-value estimates: • Discounted Cash Flow (DCF) valuation yielded Rs. 9.57 per share. • Peer Price-to-Book Value (P/BV) suggested Rs. 12.74 per share. • The one-month Volume-Weighted Average Price (VWAP) was Rs. 18.86, more than double the offer. • The offer is, however, a 114% premium to the Net Asset Value (NAV) of Rs. 3.97 per share. • The mandatory offer, extended for the remaining 18.27% of MDL shares, matches the Rs. 8.50 price paid by the consortium for its initial 81.73% acquisition in September. • Under new management, MDL plans to accelerate land development & real estate projects, forecasting revenue to rise from Rs. 48.8 Mn (FY2025) to over Rs. 640 Mn by FY2029, with gross profit margins stabilizing near 32%. • MDL’s shares recently closed at Rs. 17.50.
UK Capital Metals Advances $155-235M Sri Lankan Mineral Sands Project 💎
• UK-listed Capital Metals PLC (CMET) is advancing the Taprobane Minerals Project in Sri Lanka's Eastern Province, which is ranked among the higher-grade mineral sands deposits globally. • Mineral Sands deposits include ilmenite, rutile, zircon, and garnet, vital for manufacturing and engineering industries. • Economic Impact: • Estimated Net Present Value (NPV) for the project is US$ 155-235 Million. • Expected to generate over US$ 150 Million in royalties and taxes for Sri Lanka. • Projected to create around 300 direct jobs upon commencement of production. • Local Investment: Ambeon Capital PLC invested Rs. 600 Million in May 2025 for an initial 14% stake. • Corporate Update: Capital Metals recently issued 638,029 new ordinary shares (valued at ~£ 18,254) to its financial adviser as commission related to its ongoing operations.
Overseas Realty Posts Strong 9M Results with Rs. 6.8 Bn PBT 📈
• Overseas Realty (Ceylon) PLC recorded a Group Profit Before Tax (PBT) of Rs. 6,809 million (Rs. 6.81 Bn) on a Group Revenue of Rs. 8,984 million (Rs. 8.98 Bn) for the nine months ending 30 September 2025. • The performance was supported by a net fair value gain from investment properties of Rs. 2,331 million, a substantial increase compared to Rs. 1,160 million in the previous year. • Key real estate segment performance: • World Trade Center, Colombo revenue increased by 7% YoY to Rs. 2,124 million, driven by higher occupancy and rental rates. • Havelock City's residential sales recorded revenue of Rs. 2,481 million (higher YoY). • Mireka Tower revenue saw a significant jump to Rs. 1,990 million (vs Rs. 812 Mn YoY) due to increased occupancy. • Havelock City Mall revenue rose to Rs. 1,538 million (vs Rs. 1,050 Mn YoY), also attributed to higher occupancy levels. • Financials noted a net exchange loss of Rs. 313 million, contrasting with a gain of Rs. 1,463 million in the corresponding period last year. • The group officially launched Mireka Seascape in Dodanduwa—a new luxury real estate development featuring 168 apartments and villas, targeting the premium beachfront residential and leisure markets. • Earnings Per Share (EPS) for the period stood at Rs. 5.20.
SLICGL Records Strong 9M 2025 Performance 📈
Sri Lanka Insurance General Ltd. (SLICGL) reports solid growth for the nine months ended 30 September 2025, driven by improved market conditions: • Gross Written Premium (GWP) reached Rs. 21,853 million, marking an 18% year-on-year growth. • Profit After Tax (PAT) stood at Rs. 2,614 million, reflecting a 17% YoY increase. • As a state-owned insurer, SLICGL made significant national contributions: • Invested Rs. 11.5 Bn in Government securities. • Paid Rs. 0.7 Bn in taxes. • Group strengthened the Treasury with a Rs. 1.5 Bn dividend payment (17% YoY increase). • Reaffirmed Stability: Achieved the highest rating awarded to any SL insurer: A+ (lka) National Insurer Financial Strength Rating from Fitch Ratings. • Named the No. 1 Most Valuable General Insurance Brand in Sri Lanka by Brand Finance 2025.
E.B. Creasy Announces Rs. 1.52 Bn Rights Issue 📈
E.B. Creasy & Company PLC has announced the schedule for its Rights Issue to raise Rs. 1.52 Bn. • Basis: 1 new share for every 10 shares held, priced at Rs. 60 each. This will result in the issuance of 25,354,580 shares. • Use of Proceeds: Rs. 1 Bn will be utilized to settle short-term interest-bearing borrowings. The remaining Rs. 500 Mn is earmarked for investment in subsidiary Darley Butler & Co. Ltd. • Key Dates: The Extraordinary General Meeting (EGM) is set for November 11, 2025. The Ex-Rights date is November 12, and the Record Date is November 13. The final date for acceptance and payment is December 9, 2025. • Financial Snapshot: The capital raising follows strong consolidated June 2025 quarterly earnings of Rs. 316.5 Mn, marking a 79% YoY increase. • Group-level short-term borrowings stood at Rs. 4.58 Bn at end-June 2025, while Net Asset Value per share rose to Rs. 31.12 (up from Rs. 24.82 in March 2025). • The share closed yesterday at Rs. 69.90.
SriLankan Airlines Earnings Reverses Sharply in FY 2024/25 📉
• The national carrier reported a significant earnings reversal for the year ending 31 March 2025, swinging from a Rs. 7.9 Bn profit (previous year) to a Rs. 2.73 Bn loss, a decline of ~134.6% YoY. • Total Revenue fell by 10.8% to Rs. 303 Bn. The net loss was driven by substantial costs including Rs. 31.6 Bn in net finance charges and Rs. 2.2 Bn for unscheduled engine repairs. • Sector Performance: • Passenger revenue declined 15% YoY to Rs. 234.5 Bn, primarily due to capacity limitations and the impact of Rupee appreciation. • Cargo revenue showed resilience, growing by 2% YoY, supported by dynamic pricing strategies. • Other revenues, mainly from ground handling and ancillary services provided to other carriers, grew strongly by 16% to Rs. 27.1 Bn. • Shareholder funds remain deeply negative at Rs. 379.5 Bn. • The airline has $211.57 million in outstanding International Bonds (including $175m capital). A debt restructuring plan is being negotiated with Bondholders, and the Commercial High Court has issued an enjoining order against a potential winding-up application.
📈 SLIC Life Q3 2025 Results Show Strong Growth: GWP +32%
Sri Lanka Insurance Life (SLIC Life) reported a strong performance for the nine months ending September 30, 2025, underscoring its resilience and market leadership. • Gross Written Premium (GWP) hit Rs. 23.6 Bn, marking a robust 32% Year-on-Year (YoY) increase. • New Business surged significantly by 61% to reach Rs. 5.4 Bn, reinforcing its top-tier position. • Profit Before Tax (PBT) grew 11% to Rs. 23.9 Bn. • Policyholder commitment was evident with claims and maturity settlements totaling Rs. 13.2 Bn, a 49% increase compared to the previous year, averaging Rs. 1.5 Bn monthly. • Financial stability is maintained with the largest Life Fund in the industry at Rs. 239 Bn and a total Asset Base of Rs. 264 Bn. • The company also declared a record Rs. 12.5 Bn in annual bonuses for 2024. • As a state-owned insurer, SLIC Life played a pivotal role in national contribution, paying Rs. 0.9 Bn in taxes and maintaining significant investments of Rs. 115 Bn in government securities. • The company holds the highest assigned rating among local life insurers, with Fitch Ratings affirming an 'A+(lka)' National Insurer Financial Strength (IFS) Rating and a Stable Outlook.
📈 Finco Buys 11% SDB Stake for Rs. 881.5m, Becomes Third Largest Shareholder
• Finco Holdings Ltd. has acquired a nearly 11% stake (over 17.98 million shares) in Sanasa Development Bank PLC (SDB). • The total deal value was Rs. 881.48 million, with the shares purchased from Nederlandse Financierings-Maatschappij voor Ontwikkelingslanden N.V. (FMO) at Rs. 49.00 per share. • This transaction elevates Finco to the position of the third largest shareholder of SDB Bank, a key development in the financial sector. • Finco’s new stake is only behind LOLC Investment Holding (15%) and Senthilverl Holdings (12%). • SDB’s net asset value (NAV) per share was Rs. 89.80 as of end-June 2025, compared to the transaction price of Rs. 49.00.
India's RBL Bank Eyes Wealth Business After $3.05 Bn Emirates NBD Deal 📈
• Middle Eastern bank Emirates NBD is acquiring a 60% stake in India's RBL Bank for approximately US$ 3.05 Bn (₹268.53 Bn) through a preferential issue of shares. • This marks the largest cross-border acquisition in the Indian financial sector. • Post-investment, RBL Bank aims to establish a wealth management business and transition into a "large bank," according to CEO R Subramaniakumar. • RBL will become a listed subsidiary of Emirates NBD, with the merger effective from April. • The first funding installment is expected within five to seven months, while RBL's current management team will remain during the transition.
📈 DP Seals Rs. 2.57 Bn Deal for 40% of Harischandra Mills
• Prominent Sri Lankan businessman Dhammika Perera has completed the acquisition of a significant 40% stake in CSE-listed Harischandra Mills PLC, an established consumer goods and milling company. • The deal, confirmed this morning, saw Perera purchase 778,946 shares from Senthilverl Holdings (PVT) Ltd at a price of Rs. 3,300 each, valuing the transaction at approximately Rs. 2.57 billion. • This acquisition is Perera's fourth major deal in 2025, signaling continued aggressive expansion across diverse sectors. • Recent high-profile moves this year include: • September: Flagship Vallibel One PLC announced plans for a majority stake in Associated Motor Finance Company PLC (Finance). • July 8: Acquired a majority stake in East West Properties PLC (Real Estate) for Rs. 3.23 Bn.
Lanka Ashok Leyland (LAL) Sees Strong H1 2025 Growth 🚌
• Lanka Ashok Leyland PLC (JV between GoSL and Ashok Leyland Ltd.) has reported robust financial results for the first half of the financial year ending 30 September 2025. • Key Financial Figures: • Total Revenue reached Rs. 7.75 Bn. • Profit stood at Rs. 1.17 Bn. • This strong performance is credited to the company's robust partnership with the Government of Sri Lanka and local industry growth. • Strategic Focus: The company is committed to increasing local value addition through Vehicle Assembly and manufacturing, which aims to strengthen the domestic supply chain and generate employment opportunities. • Urban Transport Initiative: LAL is moving to relaunch 80 Ultra Low Floor AC buses for city operations. An attractive financial package is being structured to incentivize private operators to utilize these vehicles, supporting the government’s push to improve urban passenger transport.
🚢 Colombo Dockyard (DOCK) Moves Ahead with Rs. 13 Bn Rights Issue
• Colombo Dockyard PLC (DOCK) confirmed it will proceed with the Rights Issue (RI) after shareholder approval, aiming to raise Rs. 13 Billion. • Primary Goal: To strengthen the company's financial position and improve its working capital base, addressing severe financial constraints. • Strategic Tie-up: The RI is part of the deal to bring in India's Mazagon Ship Builders Ltd. as the controlling shareholder, following their US$ 53 Million investment agreement in June 2025. • Key Mechanic: Existing major shareholder, Onomichi Dockyard, will refrain from subscribing, allowing the resulting shares (323.37 million) to be allotted to Mazagon (subject to a Special Resolution). • RI Details: The issue will be on the basis of nine new shares for every two held, priced at Rs. 40 each.
World Elite Acquires Controlling 50.01% Stake in Gestetner 📈
• Hong Kong-based World Elite Ltd. has acquired a controlling 50.01% stake in Gestetner of Ceylon PLC through market trades. • Total Consideration: The acquisition cost Rs. 318.7 million (Rs. 318.7 Mn) for over 1.3 million ordinary shares. • Price: The shares were purchased at Rs. 239.75 per share. • Key Seller: The majority of the shares (1.2 million) were acquired from Gestetner (Eastern) Ltd. • Sector: Gestetner of Ceylon PLC operates in the office automation and document solutions sector. • Market Context: The purchase price (Rs. 239.75) is notably higher than the company's net asset per share of Rs. 212.60 reported at the end of June 2025.
Colombo Port Posts Rs. 32.2 Bn Profit YTD Aug. 2025 📈
• Key Figures: Post-tax profit for the first eight months of 2025 reached Rs. 32.2 billion. • Growth: This marks a sharp 71% rise compared to the Rs. 18.9 billion earned in the same period of 2024, significantly exceeding the projected target of Rs. 21 billion. • Drivers: The improved financial performance was primarily driven by higher operational efficiency and a 6% Year-on-Year growth in container handling. • Infrastructure: The completion of key projects, including the Eastern Terminal and the Jaya Container Terminal (JCT) expansion, along with tighter cost management, contributed to the surge. • Outlook: Earnings will be reinvested in strategic projects aimed at strengthening Colombo's position as a regional transshipment hub.
50 Years of Bairaha: Pioneering Sri Lanka's Poultry Industry 🐔
• Bairaha Farms PLC celebrates 50 years (1975-2025) of leadership, having transformed chicken from a luxury item to the nation's most accessible and affordable protein source. • Key Milestones: Founded in 1975, Bairaha was Sri Lanka’s first large-scale quality broiler chicken producer and has been recognized as one of the Best Companies in Asia Under a Billion by Forbes. It pioneered fully integrated operations, including establishing the first large-scale broiler parent breeder farm (1977) and a modern processing facility (1980). • Farmer Empowerment: A major impact was the introduction of the Contract Growing Scheme in 1985 (initially in Gampaha, Puttalam, and Kurunegala), which empowered rural farmers, created stable livelihoods, and boosted local agriculture through increased demand for feed inputs (e.g., maize). • Current Scale: The company now operates across 13 locations islandwide, supported by over 1,300 employees and hundreds of contract farmers. • Future Outlook: Management confirms the growth potential for Sri Lanka’s poultry industry remains strong in both domestic and export markets, with a commitment to maintaining trust, quality, affordability, innovation, and sustainability.
📈 Janashakthi Life secures A- Credit Rating amidst Strong Financial Growth
Lanka Rating Agency (LRA) has awarded Janashakthi Life an A- credit rating, confirming its robust governance, stability, and strong financial position in the insurance sector. • Q2 YTD 2025 Financial Performance: • Gross Written Premium (GWP): Increased 27% YoY to Rs. 3.77 Billion. • Net Profit: Surged 70% YoY to Rs. 1.32 Billion (up from Rs. 777 Million). • First-Year Premiums: Recorded significant 61% YoY growth. • Regular Long-Term Business: Rose by 32%. • Market Position & Stability: • Total Assets climbed to Rs. 40 Billion by end-June 2025. • Outpaced the industry as the fastest-growing insurer in Q1 2025 with 49% GWP growth. • Risk-based Capital Adequacy Ratio and investment yields consistently exceed industry benchmarks, highlighting strong risk management and organic capital generation. • The company aims to achieve an industry-leading expense ratio within the next 2–3 quarters, reinforcing operational efficiency.