Sinhaputhra recorded a growth in profitability in FYE 2014 vs. FYE 2013, despite the industry's profitability falling from Rs. 14 billion to Rs. 7 billion.
Managing Director Ravana Wijeyeratne said that Sinhaputhra's conservative expansion on credit growth allows it to steadily maintain its growth momentum without large variations that could be extremely damaging. Although, Sinhaputhra faces the same market conditions, the fact that they had not accelerated beyond their means and also thanks to its time tested product - loans, they have always been able to steady themselves during a lackluster performance in the vehicle market. Hence while the industry loan book growth shrunk from 21.6% to 12.1% in FYE 2013 vs FYE 2014, Sinhaputhra's loan book grew around the same space, at 16% and 15%, which explains a growth in profitability against the industry norms.
Sinhaputhra's growth in profits for the last three years have been from Rs. 52 million to Rs. 74 million and this year Rs. 84 million. www.island.lk
Managing Director Ravana Wijeyeratne said that Sinhaputhra's conservative expansion on credit growth allows it to steadily maintain its growth momentum without large variations that could be extremely damaging. Although, Sinhaputhra faces the same market conditions, the fact that they had not accelerated beyond their means and also thanks to its time tested product - loans, they have always been able to steady themselves during a lackluster performance in the vehicle market. Hence while the industry loan book growth shrunk from 21.6% to 12.1% in FYE 2013 vs FYE 2014, Sinhaputhra's loan book grew around the same space, at 16% and 15%, which explains a growth in profitability against the industry norms.
Sinhaputhra's growth in profits for the last three years have been from Rs. 52 million to Rs. 74 million and this year Rs. 84 million. www.island.lk
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