Vallibel Finance records 1H pre tax profit of Rs. 101 m

The burgeoning financial powerhouse of the renowned Vallibel Group, Vallibel Finance, has reported a very impressive first half pre-tax profit of rs. 101 m, showing a remarkable growth of 174% from the previous year’s corresponding figure of rs.36.8 m.

Achieving overall growth in terms of assets, profit, income and customer deposits in the months following its entry into the public domain with its highly successful initial public offering (IPO) earlier in the year, Vallibel Finance is cementing its operations and continuing to press on with its expansion plans. The company has realised the Group’s vision of bringing in a robust new player into the financial sphere in a very short period of operation.

Vallibel Finance’s gross interest income has grown from Rs.193.3 m in the first half of 2010/2011 to an impressive Rs. 258 m, showing a promising year-on-year increase of 33%. Company assets have followed course, now standing at Rs.2.53 b, recording a growth of Rs.753 m, up by 42% during the current financial year. The fixed deposit collection increased by 36%, from Rs.1.13 b in the previous year to Rs.1.55 b.

The company has been able to achieve these impressive results concentrating on the very core activities of hire purchase, leasing and micro credit. Furthermore, Vallibel Finance has been able to maintain a very healthy level of non-performing loan ratio (NPL) at 2% level which is well below the industry average.

“The end of the war also heralds a gradually brightening economic climate for the country, and the company’s future shows much promise and potential with economic upturn,” said Jayantha Rangamuwa, Managing Director of Vallibel Finance.  He went on to say that the company’s strong start that took the industry by storm in its phenomenal first year and even more challenging second year as well as its proven ability to maintain the upward momentum would help propel the company forward to reach even greater heights in future.

“The trust placed upon us by so many from the very beginning has been very encouraging, and we are grateful to all our investors for contributing to our three triumphant years,” said Rangamuwa. “In return, we guarantee stability and strength for their investments. Unsurpassed customer convenience and the best returns for investments still remain key areas of focus as we strive to always strengthen and reinvent conventional methods.”

Customers are continuing to place their trust in the Vallibel name and the company’s forceful drive forward, which it has been successful in maintaining throughout. Grateful for the vote of confidence as evident by the 8.5 times oversubscribed IPO, the company affirmed that unsurpassed customer service would continue to be among its top priorities.

“Remaining optimistic during a bad economic climate and other socio-economic issues has been one of the key factors that helped the company stay on track,” stated Dhammika Perera, Chairman of Vallibel Finance.

“It is during bad times that a country most needs strong financial backing and the company has been very successful in sharing its wealth and knowledge with the public. Our vision for the company now is to take this wealth to the grass root level, to those who thus far have not had the privilege of choice when it comes to financial services.”

“The Vallibel Group has always lived by policies that keep the company committed to growth and creating value. We untiringly look to make continuous developments in our activities, and everything we do revolve around our number one priority – our valued customers. Achieving commendable results during formative years of the company has been beyond our expectations. We are proud to have been able to ride the waves,” Mr. Perera further stated. A well-diversified conglomerate in Sri Lanka, Vallibel Holdings has more than 40 associate companies and its diversified investment portfolio includes some of best performing public quoted companies listed in the Colombo Stock Exchange.

The company is promoted and backed by the leadership of a distinguished board comprising some of the most successful business names in the country; Dhammika Perera (Chairman) Jayantha Rangamuwa (Managing Director) and other formidable members of the board including Sumith Adhihetty (Managing Director – LB Finance and The Fortress), Nimal Perera (Deputy Chairman – PABC Bank, Managing Director – Royal Ceramics), Sena Senaratne (Director – Amaya Resorts and Spas), Mangala Gunatilake (Director – LB Finance and Douglas & Sons) and Harendra Perera (Director – Vallibel Holdings).