📈 Softlogic Holdings Posts First Pre-Tax Profit Since 2019
Softlogic Holdings PLC (SHL) has reported a return to profitability for FY26 (ended March 31, 2026), driven by strong revenue growth and significant progress on debt restructuring. • Financial Performance Overview • PBT: Rs. 24 Mn (swings from a Rs. 7.5 Bn loss in FY25; first PBT in 7 years). • Revenue: Rs. 129 Bn, up 24.5% YoY to a 10-year high (vs. Rs. 103.6 Bn in FY25). • EBITDA: Rs. 17.8 Bn, up 43.1% YoY to a 10-year high. • Operating Cash Flow: Jumped 59.6% to Rs. 14 Bn; cash EPS rose to Rs. 10.07 from Rs. 6.30. • Debt Restructuring & Financial Position • Restructuring offer letters signed for ~Rs. 59.7 Bn in bank facilities with grace periods up to 18 months. • Secured Rs. 13.2 Bn in Banking Facility Support Letters. • Net debt reduced to Rs. 115.9 Bn (from Rs. 124.1 Bn in FY24), though leverage remains high at ~6.5x EBITDA. • Key Business & Sector Highlights • Financial Services: Softlogic Life raised US📈 Softlogic Holdings Returns to Profitability with Record Revenue in FY26 • Financial Performance: Softlogic Holdings PLC reported a group Profit Before Tax (PBT) of Rs. 24 Mn for FY26, reversing a Rs. 7.5 Bn loss in FY25 and marking its first PBT in seven years. Revenue grew 24.5% YoY to a 10-year high of Rs. 129 Bn, while EBITDA rose 43.1% YoY to Rs. 17.8 Bn. • Cash Flow & Earnings: Net operating cash inflows jumped 59.6% YoY to Rs. 14 Bn, driving cash earnings per share up to Rs. 10.07 (from Rs. 6.30 in FY25). • Debt Restructuring: Net debt dropped to Rs. 115.9 Bn, though leverage remains high at ~6.5x EBITDA. The group signed restructuring agreements for ~Rs. 59.7 Bn in bank facilities with capital grace periods up to 18 months, alongside obtaining Rs. 13.2 Bn in Banking Facility Support Letters. • Sector Highlights: • Retail / Real Estate: The ODEL Mall project Phase I is recalibrated to be funded via pre-sales without new debt. • Leisure & Hospitality: Pullman Colombo City Centre and Pullman Bentota Resort & Spa realigned under Accor management to boost foreign currency cash flows. • Financial Services: Softlogic Life raised $ 15 Mn in Tier 2 capital from Norfund and OP Finnfund. Regulatory lending restrictions were lifted for Softlogic Finance PLC to rebuild its portfolio.