Sinhaputhra heads into 35th year of operations

Friday, 13 September 2013 02:46 - - {{hitsCtrl.values.hits}}

At the 35th Annual General Meeting of Sinhaputhra Finance PLC, in the wake of the company recording an increase of 36% in after tax

and provision profits, Ravana Wijeyeratne highlighted the test of time and the many challenges during the last 34 years through which Sinhaputhra sailed with a direction and gaining strength as the best barometer to test any organisation. He however said Sinhaputhra is cautioned by the haphazard and unplanned growth of many which is not sustainable in the long run and that their poor decisions have already hampered the quality of traditional lines of business. He highlighted that the extremely low exposure of less than Rs. 100 m in gold was a blessing in disguise compared to some peers when the market was severely hampered; furthermore, Sinhaputhra’s decision not to enter into unplanned micro credit was also a conservative decision that is now showing signs of danger for a few peers. He also mentioned that capital accumulation and growth is necessary for further expansion. He said that the company’s deposit base is steadily on the increase and attributed this to regular repeat customers who spread the word around that they are served by a team of friendly and efficient customer service officers. “This has gone a long way and more new depositors patronise us.” The company’s deposit base had surpassed Rs. 4 billion as of date. Sinhaputhra, with 510 ordinary shareholders and 181 preference shareholders, remains today as the only CSE registered financial house headquartered in all practical terms outside Colombo with all branches reporting monthly. Ravana ijeyeratne believes that this may be the reason for Sinhaputhra’s massive franchise in the sector within the Central Province.