First Capital 1Q PAT dips to Rs. 136 m

First Capital Holdings Chairman Nishan Fernando

First Capital Holdings CEO Dilshan Wirasekara

First Capital Holdings PLC has recorded a Profit After Tax (PAT) of Rs. 136 million for the first quarter of 2021 compared to Rs. 1.46 billion a year earlier due to lower contribution of trading income of the Group’s Primary Dealer division, whereas the substantial easing of monetary policy measures was experienced during the corresponding period of the previous year.

The Group’s Primary Dealer arm reported a PAT of Rs. 54 million for the quarter ended 30 June (first quarter of 20/21– Rs. 1.36 billion). 

The results include net interest income of Rs. 129 million and a trading loss on sale of government securities amounting to Rs. 24 million (first quarter of 20/21– Net interest income of Rs. 163 million and a trading gain of Rs. 1.62 billion). 

The Corporate Finance division recorded a PAT of Rs. 35 million as against Rs. 188 million a year ago. 

The results include fee income on structuring and placement of corporate debt securities of Rs. 16 million and trading gain on sale of corporate debt/equity securities of Rs. 36 million. 

The Wealth Management division showed a growth in its fee-based income and reported a PAT of Rs. 22 million in 1Q of FY21 as against Rs. 15 million in the previous year’s 1Q. 

The assets under management of the division stood at Rs. 45.6 billion as of 30 June 2021 up from Rs. 27.9 billion a year ago.

The Group’s Stock Brokering division showed a strong performance, recording a PAT of Rs. 24 million, up from Rs. 5 million in 1Q of FY20.

Rated [SL]A with a Stable outlook by ICRA Lanka Ltd., First Capital maintains its strong financial position with a total capital base of Rs. 5 billion as of 30 June.