First Capital ends FY26 with Rs. 2.1 b Profit after Tax

Chairman Rajendra Theagarajah / Managing Director/CEO Dilshan Wirasekara

• Achieves core earnings of Rs. 6.59 b with broad based business strength

First Capital Holdings PLC, has delivered a steady performance during FY2025/26, recording a Profit after Tax of Rs. 2.10 billion for the year ended 31 March 2026. While this compares to Rs. 5.02 billion recorded in the previous year, the Group’s performance reflects its ability to navigate a dynamic operating environment while sustaining long-term value creation.

The year was shaped by the impacts of the devastating cyclone ‘Ditwah” as well as heightened geopolitical tensions arising from the Middle East conflict, which negatively influenced broader capital market conditions. Additionally, the settlement of long-standing tax assessments relating to VAT on financial services that impacted reported outcomes during the latter part of the year. Against this backdrop, the Group remained focused on maintaining operational stability, disciplined execution and strategic continuity across its business verticals. 

The Primary Dealer and Corporate Debt Securities businesses continued to deliver strong operational performance, contributing to a Net Income before Operating Expenses of Rs. 6.59 billion for FY2025/26. With a disciplined execution focus and a well-structured business model, the Group remains well-positioned to capitalise on improving market conditions and future growth opportunities.

The Group’s Primary Dealer division recorded a Profit after Tax of Rs. 1.60 billion for the year ended 31 March 2026, supported by Rs. 1.75 billion in net interest income and Rs. 1.44 billion in trading gains from government securities, reaffirming its position as a key contributor to the Group’s performance.

The Corporate Finance Advisory and Dealing Securities division delivered a Profit after Tax of Rs. 0.93 billion, supported by Rs. 2.29 billion in equity trading gains, driven by sustained client engagement, strong execution capabilities and continued market activity.

The Stock Brokering division recorded a Profit after Tax of Rs. 242 million, compared to Rs. 71 million in the previous year, supported by improved market participation, higher execution volumes and enhanced operational efficiencies.

The Wealth Management division reported a Profit after Tax of Rs. 84 million, while Assets Under Management stood at Rs. 96.2 billion as of 31 March 2026, reflecting continued investor confidence, prudent portfolio management and the strength of the Group’s advisory platform.

Chairman Rajendra Theagarajah said that FY2025/26 was characterised by evolving global and domestic market conditions that influenced investor sentiment and capital market activity, particularly during the latter part of the financial year. He said that the Group’s ability to maintain operational strength amidst changing market dynamics reflects the value of its diversified business model, structured governance framework and prudent strategic direction. He further commented that First Capital remains focused on sustaining long-term stakeholder value while continuing to strengthen its position within Sri Lanka’s financial services sector. 

Managing Director/CEO Dilshan Wirasekara highlighted that the Group’s core operating segments continued to deliver meaningful contributions throughout the year, supported by strong client engagement, execution strategy and the strength of its integrated financial services platform. He noted that the Group continued to invest in strengthening capabilities across advisory, fixed income, stock brokering and wealth management, enabling greater agility and service excellence across its operations. He further added that these strategic investments, combined with a strong market presence and client-centric approach, will continue to support the Group’s long-term growth ambitions and future value creation.

With a strengthened foundation across fixed income, capital markets, advisory, stock brokering and wealth management, First Capital enters the new financial year with confidence and strategic clarity. The Group remains focused on deepening its leadership position, enhancing client value and driving sustainable growth through focused execution and continued innovation.