SOFTLOGIC FINANCE PLC
INTERIM FINANCIAL STATEMENTS
For the Quarter ended 31st December 2021
( Company Registration No: PB641PQ )
No 13, De Fonseka Place, Colombo 04
SOFTLOGIC FINANCE PLC | Page 2 | |||
STATEMENT OF COMPREHENSIVE INCOME | ||||
FOR THE PERIOD ENDED | ||||
Rs. | ||||
03 Months Period ended 31st December | 09 Months Period ended 31st Deceember | |||
2021 | 2020 | 2021 | 2020 | |
Unaudited | Unaudited | Unaudited | Unaudited | |
Income | 878,771,205 | 625,194,352 | 2,260,505,542 | 1,882,396,125 |
Interest income | 813,347,999 | 593,865,220 | 2,077,931,364 | 1,792,512,793 |
Interest expenses | (391,019,906) | (442,568,548) | (1,151,600,818) | (1,508,812,594) |
Net interest income | 422,328,092 | 151,296,672 | 926,330,546 | 283,700,200 |
Fee and commission income | 49,793,788 | 21,884,852 | 119,315,264 | 68,256,340 |
Other operating income | 15,629,419 | 9,444,280 | 63,258,914 | 21,626,991 |
Total operating income | 487,751,299 | 182,625,804 | 1,108,904,723 | 373,583,531 |
Impairment (charge)/ reversal for loans and other losses | (34,206,411) | (76,156,049) | (154,296,234) | (414,545,457) |
Net Operating Income | 453,544,887 | 106,469,756 | 954,608,489 | (40,961,926) |
Operating expenses | ||||
Personnel costs | (113,852,425) | (101,475,734) | (336,703,081) | (302,053,610) |
Depreciation of property, plant and equipment | (10,836,195) | (12,203,129) | (34,123,384) | (37,285,602) |
Amortization of intangible assets | (8,309,286) | (4,694,889) | (24,927,857) | (19,385,892) |
Other operating expenses | (191,652,139) | (179,201,353) | (531,009,314) | (555,394,178) |
Operating profit / (Loss) before Value Added Tax on financial services | 128,894,842 | (191,105,348) | 27,844,854 | (955,081,208) |
VAT on financial services | (32,899,337) | - | (54,809,327) | - |
Profit / (Loss) before income tax | 95,995,505 | (191,105,348) | (26,964,473) | (955,081,208) |
Income tax Reversal/ (expense) | - | (5,627,289) | - | 109,257,073 |
Profit / (Loss) for the period | 95,995,505 | (196,732,637) | (26,964,473) | (845,824,134) |
Other comprehensive income/ (expenses) | ||||
Other comprehensive income not to be reclassified to profit or loss | ||||
Net gain / (loss) on equity instruments at fair value through other comprehensive incom | - | (95,388,141) | 2,588,523 | (105,809,590) |
Other comprehensive income for the Period , net of tax | - | (95,388,141) | 2,588,523 | (105,809,590) |
Total comprehensive income/(expenses) for the Period | 95,995,505 | (292,120,777) | (24,375,950) | (951,633,724) |
Basic earnings per Share(Rs.) - Annualised | 0.78 | (5.94) | (0.10) | (9.98) |
SOFTLOGIC FINANCE PLC | Page 3 | |||
STATEMENT OF FINANCIAL POSITION | ||||
AS AT 31ST DECEMBER 2021 | ||||
Rs. | Rs. | |||
31/12/2021 | 31/12/2020 | 31/03/2021 | ||
Unaudited | Unaudited | Audited | ||
ASSETS | ||||
Cash and Cash Equivalents | 276,813,532 | 469,822,004 | 628,089,791 | |
Securities purchased under repurchase agreements | 1,456,346,154 | 2,132,226,910 | 1,001,933,146 | |
Placements with banks & other finance companies | - | 202,490,328 | 204,377,303 | |
Financial Assets Measured at Fair Value Through Profit or Loss (FVTPL) | - | 25,000,000 | 300,809,707 | |
Investment in Dealing Securities | 30,600 | 50,670,873 | 37,460,367 | |
Financial Assets at Amortised Cost - Lease Rental and Hire Purchase Receivables | 10,078,727,456 | 4,234,045,820 | 5,262,704,090 | |
Financial Assets at Amortised Cost - Loans and Receivables | 10,126,462,407 | 11,605,139,966 | 11,269,788,739 | |
Right of Use Assets | 129,792,361 | 132,288,190 | 111,012,736 | |
Deferred tax asset | 445,343,174 | 447,971,752 | 445,343,174 | |
Intangible Assets | 131,739,626 | 162,649,925 | 156,667,483 | |
Property, Plant & Equipment | 460,545,256 | 467,137,746 | 472,580,365 | |
Investment Property | 103,237,000 | - | - | |
Other Assets | 1,623,708,705 | 1,007,511,458 | 982,294,780 | |
TOTAL ASSETS | 24,832,746,271 | 20,936,954,973 | 20,873,061,680 | |
LIABILITIES | ||||
Bank Overdraft | 276,696,135 | 106,123,907 | 45,987,503 | |
Financial Liabilities at Amortised Cost - Interest bearing Borrowings to Banks | 577,795,848 | 627,934,467 | 653,504,470 | |
Financial Liabilities at Amortised Cost - Deposits due to Customers | 15,292,453,523 | 15,298,480,298 | 14,598,143,536 | |
Financial Liabilities at Amortised Cost - Other Borrowed Funds | 2,583,959,473 | 1,194,004,619 | 1,939,529,631 | |
Other Liabilities | 674,794,483 | 428,314,083 | 429,034,685 | |
Lease Liability | 123,372,601 | 146,322,838 | 121,564,039 | |
Retirement Benefit Obligations | 59,871,806 | 45,971,252 | 57,407,951 | |
TOTAL LIABILITIES | 19,588,943,869 | 17,847,151,463 | 17,845,171,816 | |
SHARE HOLDERS' FUNDS | ||||
Stated Capital | 6,746,427,723 | 4,506,759,983 | 4,506,759,983 | |
Convertible Reserve | - | - | - | |
Statutory Reserve Fund | 260,448,732 | 260,448,732 | 260,448,732 | |
Retained Earnings | (1,901,579,735) | (1,814,676,870) | (1,875,236,009) | |
Revaluation Reserve | 138,505,681 | 126,649,681 | 138,505,682 | |
Available For Sale Reserve | - | 10,621,983 | (2,588,523) | |
TOTAL SHAREHOLDERS' FUNDS | 5,243,802,402 | 3,089,803,509 | 3,027,889,864 | |
TOTAL LIABILITIES AND SHARE HOLDERS' FUNDS | 24,832,746,271 | 20,936,954,973 | 20,873,061,680 | |
Net Assets Value Per Share | 10.64 | 29.89 | 11.27 | |
The information contained in these statements have been extracted from the unaudited Financial Statements of the Company unless indicated as "Audited"
CERTIFICATION:
These Financial Statements are in compliance with the requirements of the Companies Act No 07 of 2007.
………Sgd..…………………….
Ms. Ivon Brohier
Chief Financial Officer
The Board of Directors are responsible for the preparation and presentation of these Financial Statements.
Signed for and on behalf of Board of Directors by;
………….Sgd.…………………. | ……………Sgd……...………………… |
A. Russell - Davison | Priyantha Wijesekera |
Chairman | CEO/Director |
Date : 26/01/2022 |
SOFTLOGIC FINANCE PLC | Page 4 | |||||||
STATEMENT OF CHANGES IN EQUITY | ||||||||
PERIOD ENDED 31ST DECEMBER | ||||||||
Rs. | ||||||||
Stated | Statutory Reserve | Convertible Reserve | Revaluation Reserve | Available for Sale | Retained Earnings | Total | ||
Capital | Fund | Reserve | ||||||
Balance as at 1 April 2020 | 2,604,765,231 | 260,448,732 | - | 126,649,682 | (95,187,607) | (855,686,994) | 2,040,989,044 | |
Profit for the year | - | - | - | - | - | (845,824,134) | (845,824,134) | |
Rights Issue shares | 1,901,994,752 | - | - | - | - | - | 1,901,994,752 | |
Funds received for Convertible reserve | - | - | - | - | - | - | - | |
Gain / (Loss) on share valuation | - | - | - | - | - | (113,165,741) | (113,165,741) | |
Other comprehensive income,net of tax | - | - | - | - | 105,809,590 | - | 105,809,590 | |
Transfer to Statutory Reserve Fund | - | - | - | - | - | - | - | |
Balance as at 31 December 2020 | 4,506,759,983 | 260,448,732 | - | 126,649,682 | 10,621,983 | (1,814,676,869) | 3,089,803,511 | |
Balance as at 1 April 2021 | 4,506,759,983 | 260,448,732 | - | 138,505,682 | (2,588,523) | (1,875,236,009) | 3,027,889,864 | |
Profit for the year | - | - | - | - | - | (24,375,950) | (24,375,950) | |
Rights Issue shares | 2,239,667,740 | - | - | - | - | - | 2,239,667,740 | |
Gain / (Loss) on share valuation | - | - | - | - | 2,588,523 | (2,588,523) | - | |
Other comprehensive income,net of tax | - | - | - | - | - | 620,748 | 620,748 | |
Transfer to Statutory Reserve Fund | - | - | - | - | - | - | - | |
Balance as at 31 December 2021 | 6,746,427,723 | 260,448,732 | - | 138,505,682 | (0) | (1,901,579,735) | 5,243,802,402 | |
SOFTLOGIC FINANCE PLC | Page 5 | ||
STATEMENT OF CASH FLOWS | |||
FOR THE PERIOD ENDED | |||
Rs. | |||
31/12/2021 | 31/03/2021 | ||
Unaudited | Audited | ||
Cash flows from operating activities | |||
Net profit/(Loss) before taxation | (26,964,473) | (1,012,108,179) | |
Adjustments for , | |||
Depreciation | 34,123,384 | 49,284,402 | |
Amortization of intangible assets | 24,927,857 | 31,058,252 | |
Profit on disposal of property, plant and equipment | (1,904,326) | (244,334) | |
(Gain)/loss from disposal of available for sale investments | 620,748 | - | |
Impairment charge on bad and doubtful debts | 154,296,234 | 491,731,598 | |
Provision for defined benefit plans | 13,077,971 | 21,176,245 | |
Interest expenses | 1,151,600,818 | 1,894,556,639 | |
Operating profit before working capital changes | 1,349,778,213 | 1,475,454,622 | |
(Increase)/Decrease in Financial Assets at Amortised Cost - Lease & HP rental Receivables | (4,857,065,044) | (3,157,694,928) | |
(Increase)/Decrease in Financial Assets at Amortised Cost - Loans and Receivables | 1,030,071,777 | 2,845,853,827 | |
(Increase)/Decrease in Financial Assets Measured at Fair Value Through Profit or Loss (FVTPL) | 300,809,707 | (50,809,707) | |
(Increase)/Decrease in Placements with Banks and Other Finance Companies | (250,035,705) | 959,285,132 | |
(Increase)/Decrease in financial investments - Financial assets measured at FVTOCI | 40,018,290 | 185,598,019 | |
(Increase)/Decrease in other assets | (660,193,551) | (118,305,699) | |
(Decrease)/Increase in amounts due to customers | 694,309,987 | (2,465,252,615) | |
Increase/(Decrease) in other payables | 247,568,358 | 131,409,898 | |
Cash generated from operations | (2,104,737,969) | (194,461,450) | |
Interest paid | (1,151,600,818) | (1,894,556,639) | |
Defined benefit plan costs paid | (10,614,116) | (10,813,670) | |
Net cash generated from operating activities | (3,266,952,903) | (2,099,831,759) | |
Cash flows from investing activities | |||
Purchase of property, plant and equipment & Intangible Assets | (24,455,152) | (24,048,866) | |
Purchase of investment property | (103,237,000) | - | |
Proceeds from disposal of property, plant and equipment | 4,271,204 | 383,165 | |
Net cash used in investing activities | (123,420,949) | (23,665,701) | |
Cash flows from financing activities | |||
Proceed from long term borrowings - Bank Loan & Securitization | 1,622,432,095 | 3,200,000,000 | |
Repayment of long term borrowings - Bank Loan | (1,987,710,875) | (2,926,992,978) | |
Proceed from Subordinated Loan | 900,000,000 | - | |
Rights issue of shares | 2,239,667,740 | 1,901,994,752 | |
Repayment commercial papers | (66,000,000) | - | |
Proceeds from commercial papers | 100,000,000 | 206,077,301 | |
Net cash (used in) / generated from financing activities | 2,808,388,961 | 2,381,079,076 | |
Net Increase/ (decrease) in cash and cash equivalents | (581,984,891) | 257,581,616 | |
Cash and cash equivalents at the beginning of the year | 582,102,288 | 324,520,672 | |
Cash and cash equivalents at the end of the period | 117,397 | 582,102,288 | |
Reconciliation of cash and cash equivalents | |||
Cash, bank balance and short term investments | 276,813,532 | 628,089,791 | |
Bank overdrafts | (276,696,135) | (45,987,503) | |
Cash and cash equivalents at the end of the period | 117,397 | 582,102,288 | |
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