JXG reports solid Rs. 3.4 b profit in 1H

Group Chairman Chandan de Silva (left) and  MD/Group CEO Ramesh Schaffter 

JXG (Janashakthi Group) yesterday announced consolidated results for the first half of the financial year 2026 (1H FY26), ended 30 September, demonstrating solid momentum in profitability and strong growth across key financial and operational metrics. 

JXG Managing Director/Group CEO Ramesh Schaffter said, “We are pleased to see the positive trajectory continue into the first half of FY26, with performance surpassing the previous year.”

Net profit for 1H FY26 climbed to Rs. 3.4 billion, delivering a notable improvement from the same period last year. Revenue for the same period was Rs. 15.8 billion, up 43.6% year-on-year (YoY), supported by solid contributions from the Group’s key business verticals, particularly investment banking. Total assets amounted to at Rs. 193.5 billion, indicating a 19.9% YoY growth.

Revenue contributions from subsidiaries (YTD) were, First Capital Holdings PLC (FCH): Rs. 9.3 billion, Janashakthi Insurance PLC (JINS): Rs. 3.8 billion, and Janashakthi Finance PLC (JF): Rs. 2.8 billion.

For 1H FY26, First Capital Holdings PLC, the investment banking vertical of the Group, achieved a Net Profit After Tax (NPAT) of Rs. 3.4 billion, compared to Rs. 897 million in the corresponding period last year. The strong performance was driven by the Primary Dealing division and Corporate Dealing Securities division, which capitalised on market movements through proactive positions.

For the year-to-date (YTD) period ending the third quarter, Janashakthi Insurance PLC (FYE December), the insurance vertical of the Group, posted a remarkable NPAT of Rs. 2.8 billion, more than three times the Rs. 801 million reported in the same period last year. New business premiums increased 72% during the period, reflecting strong growth in underwriting.

Janashakthi Finance PLC, the finance and leasing vertical of the Group, recorded NPAT of Rs. 141 million for 1H FY26, supported by Net Operating Income of Rs. 1.4 billion, representing 34.0% YoY growth. The company also achieved robust portfolio growth of 48.7% YoY, reaching Rs. 26.7 billion, capturing rising demand across key lending segments.

From a strategic standpoint, the Group’s performance reflects disciplined execution of corporate strategy, building integrated, high-growth businesses across financial services, leveraging strong capital market activity and expanding underwriting and portfolio capabilities. 

The increase in assets and revenue base demonstrates the Group’s ability to scale. With First Capital’s strong contribution, JXG is establishing a firm presence in the capital-market and brokerage space, complementing its traditional insurance and finance businesses.

Moreover, the insurance business’ 72% growth in new business premiums signals effective customer acquisition and product-marketing strategies, strongly supporting the Group’s aim to increase market share and deepen customer relationships. The leasing arm’s nearly 50% portfolio growth further strengthens the Group’s position in the lending space, leveraging growing market consumption and strategically focused marketing initiatives.

Schaffter said, “As a Group, we remain focused on executing our strategy, being performance-driven in everything we do. The 1H FY26 performance is proof of the expertise and capability of the team. We will continue to align our commercial and marketing initiatives to ensure sustainable growth and deliver value for all stakeholders.”

JKG Group Chairman Chandan de Silva said: “The results for 1H FY26 reflect our vision of building a modern, agile financial services and investment conglomerate. The strong performance across subsidiaries demonstrates both the solidity of our business mix and the effective deployment of capital. We remain confident in the ability to deliver long-term value for all stakeholders, maintaining a disciplined approach to growth and marketing excellence.”

Looking ahead, the Group remains cautiously optimistic amidst macro-economic uncertainties, yet well-positioned to capitalise on capital-market’s momentum, rising insurance demand and expanding leasing portfolios. The integrated nature of the group, together with execution capabilities and market-driven customer focus provides a solid foundation for further value creation. The leadership is committed to reducing leverage, drive further earnings growth, improve return on assets and deliver enhanced shareholder value.