📈 LB Finance Tops K Seeds Finance Sector Rankings for Q4 FY25/26

LB Finance PLC has been named the best-performing finance company in Category 1 (asset base over Rs. 100 Bn) by K Seeds Investments for the quarter ending March 31, 2026. The ranking evaluated 29 listed Sri Lankan finance companies across 10 equally weighted KPIs. • Overall Environment: The quarter was marked by strong domestic recovery early on, driven by an accommodative monetary policy, low interest rates, and post-cyclone reconstruction credit demand. Sri Lanka's GDP growth accelerated to 5.1% YoY (up from 4.7% in the previous quarter). • Sector Impact: Lower rates expanded credit demand for small and medium-sized enterprises (SMEs) across leasing, vehicle financing, and personal loans, while non-performing loans (NPLs) saw a gradual reduction compared to previous crisis years. • Late-Quarter Shocks: The outbreak of the Iran war on February 28, 2026, disrupted shipping and spiked global crude oil prices. This triggered higher domestic fuel prices and pushed Colombo headline inflation (CCPI) up to 2.2% in March (from 1.6% in February), squeezing borrower repayment capacities and increasing operating costs. • Category Leader: Despite these mounting cost-pressures and compressed interest margins, LB Finance PLC outperformed its large-asset peers due to a resilient balance sheet and strong lending franchise, capturing the top rank.