Annual financial statement as of 31st March 2024

STAYING TRUE TO

OUR VALUES

FOCUS ON SUSTAINABLE DEVELOPMENT/ ROBUST GOVERNANCE AND RISK MANAGEMENT

FINANCIAL STATEMENTS

S I N G E R ( L A N K A )

F I N A N C E P L C

We are pleased to present to you the Integrated Annual Report of Singer Finance (Lanka) PLC ("the Company") for the year ended 31st March 2024.

We have endeavored to place before you, our valued shareholders, a balanced review of financial, environmental and social impacts of our operations, within a strong governance structure creating value for our communities while contributing positively to the national economy in a concise yet transparent, comprehensive, and an accurate manner.

F i n a n c i a l R e p o r t i n g

GRI 2-1, GRI 2-2, GRI 2-3

Our Annual Report 2023/24 themed 'Staying True to Our Values' highlights the Company's overarching focus of integrity, transparency and responsibility in all its operations. The Company's success over the last two decades has been driven by its strong focus on core values.

The Report encompasses the operations of Singer Finance (Lanka) PLC, and reports on both, financial and non-financial aspects for the financial year 2023/24. Its primary intention is to present the information required by the shareholders and conform to regulatory requirements, while giving an account of the many aspects of our operations to all our stakeholders.

Reporting Improvement in the FY 2023/24

We have included the following, in improving our Report:

G R I

R e p o r t i n g F r a m e w o r k

N o n - F i n a n c i a l R e p o r t i n g

Sri Lanka Accounting Standards (SLFRS/LKAS) issued by the Institute of Chartered Accountants of Sri Lanka (CA Sri Lanka)

The Companies Act No. 7 of 2007 and The Finance Business Act No. 42 of 2011

Global Reporting Initiative (GRI) Standards

Guidance on Environmental, Social and Governance (ESG) Reporting issued by the Colombo Stock Exchange

Listing Rules of the Colombo Stock Exchange

Gender Parity Reporting Framework published by CA Sri Lanka

Securities and Exchange Commission of Sri Lanka Act No. 19 of 2021, including directives and circulars

Integrated Reporting Framework of the International Integrated Reporting Council

Code of Best Practice on Corporate Governance (2023) issued by the Institute of Chartered Accountants of Sri Lanka (CA Sri Lanka)

Code of Best Practice on Corporate Governance 2023, issued by the Institute of Chartered Accountants of Sri Lanka

Task Force on Climate-related Financial Disclosure (TCFD)

Companies Act No.7 of 2007

Finance Business Act No. 42 of 2011

Sri Lanka Financial Reporting Standards/ Sri Lanka Accounting Standards

Listing Requirements of the

Colombo Stock Exchange

A N N U A L R E P O R T

2 0 2 3 / 2 4

GRI Standards (2021)

Code of Best Practice on Corporate Governance (2023) issued by CA Sri Lanka

TCFD Recommendations

UN Sustainability Development Goals (SDGs)

Guiding Principles

The following principles were applied in preparing the Report to provide a credible review of our performance and operations.

• Reliability - Internal controls and processes currently implemented deliver reliability of both financial and non- financial information.

• Conciseness - We have covered all critical matters in a complete but a concise manner.
• Authentic presentation - A balanced view, based on positive or negative outcomes are reported in a faithful manner.
• Materiality - Material matters are identified and reported in a responsible manner.

• Gender Parity Reporting Framework published by CA Sri Lanka
• • Ensuring Integrated Reporting - Icons are used to integrate the variety of topics that are reporting, giving connectivity of information.
  • Inclusion of International Standards in Reporting - GRI tagging, SASB and TCFD are used to ensure compliance with the required international standards.

Restatement of Information

GRI 2-4

There is no re-statement of financial or non-financial information which was audited last year, unless otherwise related to 2023/24 operations.

Forward Looking Statements

Forward-looking statements included in this Report discuss the possible future financial position and results of the Company's operations. These statements, however, involve an element of risk and uncertainty due to external and possible internal reasons that cannot be accurately predicted now. Therefore, the accuracy of these statements can vary as events unfold and the impacts may at times be beyond the control of the Company.

We do not undertake to update or revise these statements publicly in the event of a change of circumstances nor does the Board or other preparers of the Annual Report undertake any liability towards the impacts of any unprecedented negative events arising out of the volatile global or local macro-economic environment.

ABOUT

THIS REPORT

Audit and Assurance

GRI 2-5

The Company adheres to both internal and external models in audit and assuring.

The company undertook a combined assurance approach to verify the accuracy and completeness of this integrated report. Accordingly, Messrs. KPMG, Chartered Accountants have provided an independent assurance for the Financial Statements and provided Assurance on the Sustainability indicators.

The Board Responsibility

The Board of Directors is responsible for ensuring the integrity and the accuracy of this Integrated Report. The Board hereby confirms that in their opinion this Report provides all material issues and presents the Company's performance in a fair manner and is prepared in accordance with the Framework.

Signed on behalf of the Board.

Navigating our Report

Capitals

Stakeholders

Thushan Amarasuriya Executive Director / CEO 7th May 2024

Feedback and Inquiries

GRI 2-3

We value your feedback which will help us to improve the comprehensiveness of our report for the new financial year. Please contact the following Officer for enquiries regarding the Annual Report. You can also forward your suggestions to:

Head of Finance,

Singer Finance (Lanka) PLC

No 498, Galle Road, Colombo 3

About Us

Singer Finance (Lanka) PLC is a subsidiary of Singer (Sri Lanka) PLC. The Company was incorporated

on 19th April 2004 to operate as a finance leasing entity within the provisions of the Finance Companies Act No 78 of 1988 as amended by the Act No 23 of 1991 which was subsequently replaced by the Finance Business Act No 42 of 2011.

Vision

To be the Foremost Finance Company in Sri Lanka.

Mission

To provide the most useful and ethical financial services to our customers by creating an experience that builds lasting relationships.

Purpose

Statement

Empowering Futures, Enriching

Lives, Building Trust and Driving

Prosperity

At Singer Finance, we empower individuals and businesses, fostering sustainable growth and prosperity. Our commitment to ethical, innovative and customer-centric financial services builds trust and nurtures enduring relationships. With integrity as our cornerstone, we drive economic empowerment, financial inclusion and social impact. Our purpose is to make a meaningful difference in the lives of all our stakeholders, shaping a future of accessible, attainable and sustainable financial well-being.

About Singer

Finance

Our Values

Lead with respect

Demonstrate responsibility and integrity

Improve and innovate passionately

Collaborate for success Respond with agility Drive sustainability

Overview of the Company

Singer Finance is a mid-sized finance company licensed by the Central Bank of Sri Lanka. The Company offers a wide spectrum of lending, deposit and transactional solutions to cater to a wide clientele comprising of individuals and the SME sector. A wide range of investment products are offered through fixed deposits and savings deposits. In recent years the company has refined its digital capabilities by widening the products and services offered through digital platforms facilitating digital onboarding through partnerships with other fintech banking solutions.

Over the years, we have steadily expanded and diversified our product offerings whilst deepening our outreach with a network of 52 branches. The Company is a subsidiary of Singer (Sri Lanka) PLC, Sri Lanka's premier manufacturer and retailer of consumer durables which is a part of the Hayleys Group, one of Sri Lanka's largest and most diversified conglomerates. We draw strength of this lineage as we pursue new opportunities founded on a strong bedrock of trust, confidence and customer service.