Sunday Dec 15, 2024
Sunday Dec 15, 2024
Wednesday, 2 February 2022 00:00 - - {{hitsCtrl.values.hits}}
Sarvodaya Development Finance (SDF), in its first earnings release since its IPO, has announced excellent financial performance for the first nine months ended 31 December 2021.
Compared against the same period in the year prior, the SDF has recorded total profit growth of 48% or Rs. 118 million, while total income grew 5% to Rs. 1.3 billion.
Total assets at the end of the period under review stood at Rs. 10.5 billion, resulting in asset growth increasing by 17%, while the portfolio grew by 13%, resulting in a return on asset (ROA) of 2%.
“These figures have been achieved by SDF at a time when the industry overall has been recording negative portfolio growth due to the challenges created by the global pandemic,” the company said in a statement.
“These results, along with the interest the company’s IPO received, demonstrate the stability, strength and growth opportunities presented by SDF to investors,” it added.
SDF’s IPO was heavily oversubscribed with 17% of applicants being new investors entering the market for the first time simply to subscribe to the company’s IPO. This further strengthens the bond and trust between SDF and its stakeholders. Overall, SDF’s IPO turned out to be the first impact investing opportunity in the CSE.
SDF Chairman Channa de Silva said: “Over our journey spanning three decades, we have helped Sri Lanka’s farmers and rural communities carry on the vital business of agriculture and related businesses, which help boost Sri Lanka’s food security. Subsequent to our IPO, we have been working hard to expand our loan portfolio, thus helping many rural communities and uplifting and empowering countless lives.
“We take this opportunity to renew our commitment to being a catalyst in creating an economically progressive society, living in dignity while delivering exceptional value to our investors. We are also pleased to inform our investors that we have developed and are implementing a comprehensive and aggressive strategy to double our asset base to Rs. 20 billion by 2023.”
SDF will venture out to think innovatively in every aspect and the business leverage technology at every juncture, to serve customers better and continuously create value for investors, the statement added.
