First Capital ContinuesSuccessful Growth Trajectory: Records Profit After Tax of Rs. 1.09Bn
First Capital Holdings PLC recorded a profit after tax of Rs. 1.09Bn for the 9 months ended 31 December 2014indicatinga stable growth trajectory. The company, which offers a range of investment banking products and services across the financial spectrum,saw an increase in profit after tax, in comparison to Rs. 262.9 Mn reported for the same period last year.
Commenting on the Group’s performance over the period under review, Chief Executive Officer of First Capital Holdings PLC, Dilshan Wirasekara said: “Strategic decisions andconcentrated growth initiatives have enabled us to capture areas of advancement and build on our business footprint. We are both pleased and grateful that we have grown to gain the support and trust of our investor base.”
Leveraging on favourable macro-economic conditions, a decline in secondary market interest rates and research-based decision making, First Capital Treasuries, the Group’s Primary Dealer Unit, cemented its position as a frontrunner in the Non-Banking Primary Dealer segment. First Capital Treasuries realized trading gains of Rs. 905Mn during the period under review – driving an increase from Rs. 145 Mn reported during 2013/14.
Funds under management saw a four-fold increase to Rs. 4.2 Bn, bearing testament to theunit’s progressionduring the period. The period under review concluded with the First Capital Wealth Fund establishing itself as the best performing fixed income Unit Trust fund in Sri Lanka. The Stock Broking and Margin Trading units also contributed positively towards the Group’s results during the period under review.
The Corporate Debt Unit mobilized Rs. 19Bn in corporate debt securities, including the structuring and placement of Rs. 9.4 Bnlisted debenture issues, earning a corresponding fee income of Rs. 112Mn (2013/14 – Rs. 26 Mn). First Capital surpassed competitors to become the leading listed debenture manageras well as the leading intermediary in the secondary market for listed debentures via the DEX.
First Capital Treasuries poised itself to take advantage of the dynamic financial environment by issuing a listed debenture of Rs. 500Mn in January 2015, improving its long term capital base (Tier II). The group’s stockbroking arm, First Capital Equities (Pvt) Ltd, became a fully owned subsidiary in November 2014.
Reaffirming the group’s commitment to its client base and long-termstrategic priorities, Wirasekara concluded: “Our results confirm that our development initiatives and decision makinghave been a success. We hope to make the most of our current position by strengthening the company in order to attain our vision of becoming Sri Lanka’s leading investment bank. We are ideally placed tosharpen our competitive edgefurther and deliver consistent value for our clients”.
For nearly 30 years, First Capital Holdings PLC has been a leading Investment Bank operating in Colombo, Matara and Kandy. The company offers a full range of investment banking products and services. First Capital Holdings PLC has a credit rating of A-.
