INTERIM FINANCIAL STATEMENTS

FOR THE YEAR ENDED MARCH 31, 2020

LB Finance PLC, 275/75, Prof. Stanley Wijesundara Mw., Colombo 07. Tel: +94 112 200 000, Web: www.lbfinance.com
LB Finance PLC
STATEMENT OF COMPREHENSIVE INCOME
Year ended 31 March 2020
FOR THE 3 MONTHS ENDED FOR THE YEAR ENDED

Company Group Company Group

Audited Audited
31.03.2020 31.03.2019 Change 31.03.2020 31.03.2019 Change 31.03.2020 31.03.2019 Change 31.03.2020 31.03.2019 Change
Rs.('000) Rs.('000) % Rs.('000) Rs.('000) % Rs.('000) Rs.('000) % Rs.('000) Rs.('000) %

Income 7,448,757 7,703,273 (3) 7,483,364 7,730,736 (3) 31,222,860 29,278,024 7 31,359,418 29,342,212 7

Interest Income 6,869,655 7,129,538 (4) 6,906,863 7,155,449 (3) 29,160,292 27,363,768 7 29,297,103 27,420,842 7
Less : Interest Expenses 3,404,850 3,355,238 1 3,409,817 3,356,114 2 13,615,391 12,951,323 5 13,631,371 12,953,155 5
Net Interest Income 3,464,805 3,774,300 (8) 3,497,046 3,799,335 (8) 15,544,901 14,412,445 8 15,665,732 14,467,687 8

Fee and Commission Income 559,806 557,397 1 563,075 559,135 1 1,941,626 1,782,072 9 1,950,180 1,786,919 9
Net Trading Income (2,369) (1,243) 91 (2,369) (1,243) 91 (2,099) (2,558) (18) (2,099) (2,558) (18)
Other Operating Income 21,664 17,580 23 15,796 17,395 (9) 123,041 134,742 (9) 114,234 137,009 (17)
Total Operating Income 4,043,906 4,348,035 (7) 4,073,548 4,374,622 (7) 17,607,469 16,326,701 8 17,728,047 16,389,057 8

Less : Impairment Charges and Other Losses 1,172,319 60,241 >100 1,178,257 61,621 >100 1,831,057 983,154 86 1,856,495 986,892 88
Net Operating Income 2,871,587 4,287,794 (33) 2,895,291 4,313,001 (33) 15,776,412 15,343,547 3 15,871,552 15,402,165 3

Less : Operating Expenses

Personnel Expenses 769,163 650,561 18 778,448 655,789 19 3,005,189 2,693,563 12 3,034,198 2,707,937 12
Depreciation of Property, Plant and Equipment 357,238 113,325 >100 357,602 113,508 >100 697,508 417,888 67 698,639 418,437 67
Amortisation of Intangible Assets 3,858 4,001 (4) 4,652 4,261 9 15,882 17,487 (9) 18,125 18,492 (2)
Other Operating Expenses 174,713 629,477 (72) 180,740 632,929 (71) 2,168,986 2,458,340 (12) 2,188,842 2,468,485 (11)
Operating Profit before Tax on Financial Services 1,566,615 2,890,431 (46) 1,573,849 2,906,514 (46) 9,888,847 9,756,268 1 9,931,748 9,788,813 1
Less : Tax on Financial Services 279,217 420,685 (34) 279,217 420,685 (34) 1,593,848 1,614,088 (1) 1,593,848 1,614,088 (1)
Less : Debt Repayment Levy (1,218) 243,086 >(100) (1,218) 243,086 >(100) 684,712 401,531 71 684,712 401,531 71
Profit before Taxation 1,288,616 2,226,660 (42) 1,295,850 2,242,743 (42) 7,610,287 7,740,649 (2) 7,653,188 7,773,194 (2)
Less : Income Tax Expense 21,843 667,267 (97) 26,144 675,334 (96) 2,423,234 2,685,989 (10) 2,442,327 2,693,771 (9)
Profit for the Period 1,266,773 1,559,394 (19) 1,269,706 1,567,409 (19) 5,187,053 5,054,660 3 5,210,861 5,079,423 3

Profit Attributable to:

Equity Holders of the Company 1,266,773 1,559,394 (19) 1,269,706 1,567,385 (19) 5,187,053 5,054,660 3 5,210,861 5,079,349 3
Non-Controlling Interest - - 24 - - - - 74 (100)
Profit for the Period 1,266,773 1,559,394 (19) 1,269,706 1,567,409 (19) 5,187,053 5,054,660 3 5,210,861 5,079,423 3

Basic Earnings Per Share (Rs.) 9.15 11.26 (19) 9.17 11.32 (19) 37.45 36.49 3 37.62 36.67 3

Other Comprehensive Income

Other Comprehensive Income that will be Reclassified to Income Statement

Net Gains/(Losses) from Translating the Financial Statements of the Foreign
Operations - - - 64,382 (7,616) >(100) - - - 96,608 15,594 >100
Net Other Comprehensive Income that will be Reclassified to Income
Statement 64,382 (7,616) >(100) - - - 96,608 15,594 >100

Other Comprehensive Income that will never be Reclassified to Income

Statement
Net Gains/(Losses) on Investment in Equity Instruments - Fair Value
Through Other Comprehensive Income (28,669) (7,504) >100 (28,669) (7,504) >100 (30,569) (31,913) (4) (30,569) (31,913) (4)

Actuarial Gains/(Losses) on Defined Benefit Plans (41,707) 23,969 >(100) (41,707) 23,969 >(100) (41,707) 23,969 >(100) (41,707) 23,969 >(100)
Less: Deferred Tax Charge/(Reversal) on Actuarial Gains and Losses (11,678) 6,712 >(100) (11,678) 6,712 >(100) (11,678) 6,712 >(100) (11,678) 6,712 >(100)
Net Actuarial Gains/(Losses) on Defined Benefit Plans (30,029) 17,257 >(100) (30,029) 17,257 >(100) (30,029) 17,257 >(100) (30,029) 17,257 >(100)

Net Other Comprehensive Income that will never be Reclassified to Income

Statement (58,698) 9,753 >(100) (58,698) 9,753 >(100) (60,598) (14,656) >100 (60,598) (14,656) >(100)

Other Comprehensive Income for the Period, Net of Tax (58,698) 9,753 >(100) 5,684 2,137 >100 (60,598) (14,656) >100 36,010 938 >100
Total Comprehensive Income for the Period, Net of Tax 1,208,075 1,569,147 (23) 1,275,390 1,569,547 (19) 5,126,455 5,040,004 2 5,246,871 5,080,361 3

Attributable to:
Equity Holders of the Company 1,208,075 1,569,147 (23) 1,275,390 1,569,546 (19) 5,126,455 5,040,004 2 5,246,871 5,080,240 3
Non-Controlling Interest - - - - 1 (100) - - - 121 (100)
Total Comprehensive Income for the Period, Net of Tax 1,208,075 1,569,147 (23) 1,275,390 1,569,547 (19) 5,126,455 5,040,004 2 5,246,871 5,080,361 3
LB Finance PLC
STATEMENT OF FINANCIAL POSITION
As at 31 March 2020
Company Group
Audited Audited
31.03.2020 31.03.2019 31.03.2020 31.03.2019
Rs.('000) Rs.('000) Rs.('000) Rs.('000)
Assets
Cash and Cash Equivalents 6,162,637 4,040,586 6,472,312 4,058,610
Financial Assets Recognised Through Profit or Loss 4,648 6,866 4,648 6,866
Financial Assets at Amortised Cost - Loans and Receivables 58,239,254 47,395,025 58,793,344 47,773,705
Financial Assets at Amortised Cost - Lease Rentals Receivable and Stock
out on Hire 60,626,670 66,050,429 60,626,670 66,050,429
Financial Assets Measured at Fair Value Through Other Comprehensive
Income 59,141 89,710 59,141 89,710
Other Financial Assets 9,119,681 10,804,517 9,105,761 10,794,673
Other Non Financial Assets 967,469 1,067,360 976,489 1,073,065
Investment in Subsidiary 521,162 318,999 - -
Property, Plant and Equipment and Right-of-Use Assets 8,221,248 6,577,379 8,228,222 6,580,725
Intangible Assets 41,809 39,847 55,064 43,523
Total Assets 143,963,719 136,390,718 144,321,651 136,471,306

Liabilities
Due to Banks 22,771,085 24,633,508 22,882,941 24,633,508
Financial Liabilities at Amortised Cost - Due to Depositors 89,256,435 83,214,949 89,315,097 83,242,617
Debt Instruments Issued and Other Borrowed Funds 3,111,186 3,107,783 3,111,186 3,107,783
Other Financial Liabilities 2,766,410 1,974,490 2,766,775 1,974,490
Other Non Financial Liabilities 909,266 2,070,632 925,778 2,075,791
Current Tax Liabilities 766,751 1,395,971 777,057 1,403,916
Deferred Tax Liabilities 1,037,580 1,309,722 1,037,580 1,309,721
Post Employment Benefit Liability 345,456 256,512 345,456 256,512
Total Liabilities 120,964,169 117,963,567 121,161,870 118,004,339

Equity
Stated Capital 838,282 838,282 838,282 838,282
Reserves 6,216,939 5,210,097 6,334,326 5,230,876
Retained Earnings 15,944,329 12,378,772 15,987,173 12,397,809
Total Equity Attributable to Equity Holders of the Company 22,999,550 18,427,151 23,159,781 18,466,967
Non Controlling Interest - - - -
Total Equity 22,999,550 18,427,151 23,159,781 18,466,967
Total Liabilities and Equity 143,963,719 136,390,718 144,321,651 136,471,306

Net Asset Value per Share (Rs.) 166.04 133.03 167.20 133.32

Commitments and Contingencies 1,928,805 1,820,856 1,816,950 1,820,856

The information contained in these statements have been extracted from the unaudited Financial Statements unless indicated as "Audited".

CERTIFICATION:
These Financial Statements are in compliance with the requirements of the Companies Act No. 07 of 2007.

(Sgd.)
Malith Hewage
Assistant General Manager-Finance

The Board of Directors is responsible for the preparation and presentation of these Financial Statements.
Signed for and on behalf of the Board of Directors by,

(Sgd.) (Sgd.)
J A S Sumith Adhihetty Mrs. Yogadinusha Bhaskaran
Managing Director Director

28th May 2020

Colombo
LB Finance PLC
STATEMENT OF CHANGES IN EQUITY - COMPANY

Retained Statutory Fair Value Available for

Stated Capital Earnings Reserve Reserve Sale Reserve Total Equity
Rs.('000) Rs.('000) Rs.('000) Rs.('000) Rs.('000) Rs.('000)

Balance as at 01 April 2018 838,282 10,240,092 4,274,827 - (4,305) 15,348,896

Impact of Adoption of SLFRS 09 - (299,578) - - - (299,578)
Transfer of Available for Sale Reserve built on Impairment of Financial Investments - Available for Sale - 39,444 - - (39,444) -
Transfer of Available for Sale Reserve to Fair Value Reserve - - - (43,749) 43,749 -
Restated Opening Balance as at 1 April 2018 838,282 9,979,958 4,274,827 (43,749) - 15,049,318

Net Profit for the Year - 5,054,660 - - - 5,054,660

Other Comprehensive Income, Net of Tax - 17,258 - (31,913) - (14,655)
Transfers During the Year - (1,010,932) 1,010,932 - - -
Final Dividend for 2017/18 - (554,057) - - - (554,057)
Interim Dividend for 2018/19 - (1,108,114) - - - (1,108,114)
Balance as at 31 March 2019 838,282 12,378,773 5,285,759 (75,662) - 18,427,152

Balance as at 01 April 2019 838,282 12,378,773 5,285,759 (75,662) - 18,427,152

Net Profit for the Year - 5,187,053 - - - 5,187,053

Other Comprehensive Income, Net of Tax - (30,029) - (30,569) - (60,598)
Transfers During the Year - (1,037,411) 1,037,411 - - -
Final Dividend for 2018/19 - (554,057) - - - (554,057)
Balance as at 31 March 2020 838,282 15,944,329 6,323,170 (106,231) - 22,999,550

STATEMENT OF CHANGES IN EQUITY - GROUP

Foreign Total Equity

Currency Attributable to
Retained Statutory Available for Translation Fair Value Equity Holders Non-Controlling
Stated Capital Earnings Reserve Sale Reserve Reserve Reserve of the Company Interest Total Equity
Rs.('000) Rs.('000) Rs.('000) Rs.('000) Rs.('000) Rs.('000) Rs.('000) Rs.('000) Rs.('000)

Balance as at 01 April 2018 838,282 10,234,440 4,274,827 (4,305) 5,231 - 15,348,475 459 15,348,934
Impact of Adoption of SLFRS 09 - (299,578) - - - - (299,578) - (299,578)
Transfer of Available for Sale Reserve built on Impairment of Financial Investments -
Available for Sale - 39,444 - (39,444) - - - - -
Transfer of Available for Sale Reserve to Fair Value Reserve - - - 43,749 - (43,749) - - -
Restated Opening Balance as at 1 April 2018 838,282 9,974,306 4,274,827 - 5,231 (43,749) 15,048,897 459 15,049,356

Net Profit for the Year - 5,079,349 - - - - 5,079,349 74 5,079,423

Other Comprehensive Income, Net of Tax - 17,257 - - 15,548 (31,913) 891 47 938
Transfers During the Year - (1,010,932) 1,010,932 - - - - - -
Final Dividend for 2017/18 - (554,057) - - - - (554,057) - (554,057)
Interim Dividend for 2018/19 - (1,108,114) - - - - (1,108,114) - (1,108,114)
Disposal of Shares - - - - - - - (580) (580)
Balance as at 31 March 2019 838,282 12,397,809 5,285,759 - 20,779 (75,662) 18,466,967 (0) 18,466,967

Balance as at 01 April 2019 838,282 12,397,809 5,285,759 - 20,779 (75,662) 18,466,967 (0) 18,466,967

Net Profit for the Year - 5,210,861 - - - - 5,210,861 - 5,210,861

Other Comprehensive Income, Net of Tax - (30,029) - - 96,608 (30,569) 36,010 - 36,010
Transfers During the Year - (1,037,411) 1,037,411 - - - - - -
Final Dividend for 2018/19 - (554,057) - - - - (554,057) - (554,057)
Balance as at 31 March 2020 838,282 15,987,173 6,323,170 - 117,387 (106,231) 23,159,781 - 23,159,781
LB Finance PLC
CASH FLOW STATEMENT
Year ended 31 March 2020
FOR THE YEAR ENDED

Company Group
Audited Audited
31.03.2020 31.03.2019 31.03.2020 31.03.2019
Rs.('000) Rs.('000) Rs.('000) Rs.('000)
Cash Flows from/(Used in) Operating Activities

Profit and Other Comprehensive Income before Taxation 7,538,010 7,732,705 7,677,520 7,780,843

Adjustments for
Depreciation of Property, Plant and Equipment and Righ-of-Use Assets 697,508 417,889 698,639 418,438
Amortisation of Intangible Assets 15,882 17,487 18,125 18,492
Impairment Charges and Other Losses 1,831,057 983,154 1,856,495 986,892
Diminution/(Appreciation) in Value of Investments 32,786 34,730 32,786 34,730
Loss/(Profit) on Disposal of Property, Plant and Equipment (4,110) (4,664) (4,110) (4,664)
Provision/(Reversal) for Defined Benefit Plans 117,650 39,130 117,650 39,130
Foreign Currency Exchange (Gain)/Loss - - 8,807 286
Dividend Received (6,777) (9,831) (6,777) (9,831)
Interest Income on Investing Activities (1,342,283) (1,140,938) (1,342,283) (1,140,938)
Withholding Tax Attributed to Fixed Deposits - (25,181) - (25,181)
Net Unrealised (Gains)/Losses Arising from Translating the Financial
Statements of Foreign Operations - - (96,608) (15,594)
Operating Profit before Changes in Operating Assets and Liabilities 8,879,723 8,044,480 8,960,243 8,082,601

(Increase)/Decrease in Operating Assets

(Increase)/Decrease in Financial Assets at Amortised Cost-Loans and
Receivables (11,958,602) (8,207,244) (12,159,450) (8,550,784)
(Increase)/Decrease in Financial Assets at Amortised Cost-Lease Rentals
Receivable and Stock out on Hire 4,714,850 (4,167,949) 4,714,850 (4,167,949)
(Increase)/Decrease in Other Financial Assets 1,905,052 (4,124,208) 1,909,128 (4,124,208)
(Increase)/Decrease in Other Non Financial Assets 99,892 (226,371) 193,185 (216,030)
(5,238,808) (16,725,772) (5,342,287) (17,058,971)
Increase/(Decrease) in Operating Liabilities
Increase/(Decrease) in Financial Liabilities at Amortised Cost - Due to
Depositors 6,041,485 10,271,116 6,072,480 10,296,606
Increase/(Decrease) in Other Financial Liabilities (620,905) 213,072 (620,539) 213,072
Increase/(Decrease) in Other Non Financial Liabilities (1,599,038) 11,949 (1,591,413) 20,242
3,821,542 10,496,137 3,860,528 10,529,920
Cash Generated from Operations 7,462,457 1,814,844 7,478,485 1,553,550

Retirement Benefit Liabilities Paid (28,706) (13,857) (28,706) (13,857)

Income Tax Paid (2,875,243) (1,588,320) (2,897,059) (1,588,320)
Net Cash from/(Used in) Operating Activities 4,558,508 212,667 4,552,720 (48,627)

Cash Flows from/(Used in) Investing Activities

Acquisition of Property, Plant and Equipment and Righ-of-Use Assets (934,230) (2,317,320) (938,987) (2,320,005)
Acquisition of Intangible Assets (17,844) (9,215) (29,666) (9,215)
Proceeds from Sale of Property, Plant and Equipment 13,189 7,335 13,189 7,335
Investment in Subsidiary (202,162) (166,084) - -
Interest Received 1,114,292 1,232,632 1,114,292 1,232,632
Dividend Received 6,777 9,831 6,777 9,831
Net Cash Flows from/(Used in) Investing Activities (19,978) (1,242,821) 165,605 (1,079,422)

Cash Flows from/(Used in) Financing Activities

Net Cash Flow from Syndicated Loans and Other Bank Facilities (1,514,472) 2,012,464 (1,402,616) 2,012,464
Net Cash Flow from Debt Issued and Other Borrowed fund - (2,045,049) - (2,045,049)
Dividends Paid (554,056) (554,057) (554,056) (554,057)
Net Cash Flows from/(Used in) Financing Activities (2,068,528) (586,642) (1,956,672) (586,642)

Net Increase/(Decrease) in Cash and Cash Equivalents 2,470,003 (1,616,796) 2,761,654 (1,714,691)

Cash and Cash Equivalents at the Beginning of the Year 2,972,224 4,589,020 2,990,248 4,704,939
Cash and Cash Equivalents at the End of the Year 5,442,227 2,972,224 5,751,902 2,990,248

CASH AND CASH EQUIVALENTS IN THE CASH FLOW STATEMENT

Notes and Coins Held 936,078 873,073 936,605 873,251

Balances with Banks 3,683,717 1,403,820 3,992,865 1,421,665
Treasury Bills Repurchase Agreements 1,542,842 1,763,693 1,542,842 1,763,694
Bank Overdrafts (720,410) (1,068,362) (720,410) (1,068,362)
Net Cash and Cash Equivalents 5,442,227 2,972,224 5,751,902 2,990,248
LB Finance PLC
SEGMENTAL INFORMATION
For management purposes, the Group is organised into four operating segments based on services offered to customers as follows. The following table presents income and profit and certain asset and liability information regarding the
Group’s operating segments.

Leasing & Stock out on Hire Loans and Receivables Others International operation Total
Audited Audited Audited Audited Audited
31.03.2020 31.03.2019 31.03.2020 31.03.2019 31.03.2020 31.03.2019 31.03.2020 31.03.2019 31.03.2020 31.03.2019
Rs.('000) Rs.('000) Rs.('000) Rs.('000) Rs.('000) Rs.('000) Rs.('000) Rs.('000) Rs.('000) Rs.('000)

Interest Income 15,900,624 16,374,704 11,917,386 9,822,944 1,342,282 1,166,119 136,811 57,074 29,297,103 27,420,842
Less: Interest Expenses 6,804,199 7,085,779 5,734,218 4,801,088 1,076,974 1,064,457 15,980 1,832 13,631,371 12,953,155
Net Interest Income/(Expenses) 9,096,425 9,288,925 6,183,168 5,021,857 265,308 101,662 120,831 55,242 15,665,732 14,467,687

Fee and Commission Income 827,288 534,268 1,102,697 1,064,976 11,641 182,827 8,554 4,847 1,950,180 1,786,919
Net Trading Income and Other Operating Income 33,092 30,791 305 2,430 87,545 101,231 (8,807) - 112,135 134,452
Total Operating Income 9,956,805 9,853,984 7,286,170 6,089,263 364,494 385,720 120,578 60,089 17,728,047 16,389,057

Less: Impairment Charges and Other Losses 725,603 632,703 1,094,543 350,451 10,910 - 25,439 3,738 1,856,495 986,892
Net Operating Income 9,231,202 9,221,281 6,191,627 5,738,812 353,584 385,720 95,139 56,351 15,871,552 15,402,165

Less: Other Costs 2,742,002 2,957,517 2,385,355 2,147,796 46,818 46,590 48,865 24,520 5,223,040 5,176,423
Less: Depreciation 364,106 235,340 342,489 192,853 6,794 7,182 3,375 1,553 716,764 436,928
Operating Profits before Taxes 6,125,094 6,028,425 3,463,783 3,398,163 299,972 331,948 42,899 30,278 9,931,748 9,788,814

Less: Taxes 4,720,887 4,709,390

Profits for the Year 5,210,861 5,079,423

Less: Non-Controlling Interest - 74

Profit Attributable to Equity Holders of the Company 5,210,861 5,079,349
Profits for the Year 5,210,861 5,079,423

Segmental Assets 64,783,204 69,998,724 62,466,252 50,547,893 16,714,263 15,844,101 895,372 399,587 144,859,091 136,790,305
Elimination (537,440) (318,999) - - (537,440) (318,999)
Total Segmental Assets 64,783,204 69,998,724 62,466,252 50,547,893 16,176,823 15,525,102 895,372 399,587 144,321,651 136,471,306

Segmental Liabilities 54,387,225 60,525,910 52,544,874 43,737,712 14,032,067 13,699,945 213,981 50,617 121,178,147 118,014,183
Elimination (16,278) (9,844) (16,277) (9,844)
Total Segmental Liabilities 54,387,225 60,525,910 52,544,874 43,737,712 14,032,067 13,699,945 197,703 40,772 121,161,870 118,004,339

Management monitors the operating results of its business units separately for the purpose of making decisions about resource allocation and performance assessment. Segment performance is evaluated based on operating profits or losses
which, in certain respects, are measured differently from operating profits or losses in the financial statements. Income taxes are managed on a group basis and are not allocated to operating segments.

No revenue from transactions with a single external customer or counterparty amounted to 10% or more of the Company’s total revenue during the year ended 31 st March 2020 or 2019.
 EXPLANATORY NOTES

01. These Interim Financial Statements have been prepared based on the new accounting policies and methods which have been revised in line with the requirements of the
SLFRS 9 - Financial Instruments. The Company complied with LKAS - 39, Financial Instruments : Recognition and measurements up to 31 March 2018, in the preparation
of its Financial Statements. In order to recognise the impact on the transition, the Company has adopted the modified retrospective approach in line with SLFRS 9 - Financial
Instruments for the financial year ended 31 March 2019. The accounting policies and methods of computation followed in preparing the above Interim Financial Statements
are the same as those disclosed in our Annual Report for the year ended 31 March 2019.

02. These Interim Financial Statements have been prepared in compliance with the requirements of Sri Lanka Accounting Standards - LKAS 34 on Interim Financial
Reporting.

03. The outbreak of COVID 19 has caused disruptions to business and economic activities, and uncertainty to the global and local economy. The resulting financial and
economic market uncertainty could have a significant adverse impact on the future operations of the Company and cause significant adverse changes to assets and liabilities
of the Company. However, management is continuously monitoring the impact of COVID-19 on its financial performance, finance position and cashflow of the Company.
As a prudential measure, the company had considered the arrears position, Probability of Default (PD) and Loss Given Default (LGD) as at 31 March 2020 which partially
include the impact of Covid 19 for the impairment calculations although it was allowed to use the position before the Covid 19 as per the Guidance note issued by the CA
Sri Lanka.

04. The Company’s shares were last traded on 20 March 2020 which was the last traded date of the CSE before the period ended 31 March 2020. CSE was closed from 20
March 2020 to 06 May 2020 due to the Covid 19 pandemic. it should be noted that the last traded price may not be a representative of the actual market price of the share,
considering the market conditions that may have prevailed at that time. Therefore, last traded price may not reflect the fair values of the Company’s share as at 31 March
2020.

05. There have been no material events occurring after the reporting date that require adjustments to or disclosure in the Financial Statements.

06. The Commitments and Contingencies as at 31st March 2020 was Rs. 1,929 Mn and as at 31 st March 2019 was Rs. 1,821 Mn.

INFORMATION ON SHARES AND LISTED DEBENTURES

INFORMATION ON SHARES For the Quarter ended
31.03.2020 31.03.2019
Share Price Highest Rs. 167.50 129.90
Lowest Rs. 119.00 118.00
Closing Rs. 120.50 120.10
As at As at
31.03.2020 31.03.2019

Number of Ordinary Shares Issued 138,514,284 138,514,284

INFORMATION ON LISTED DEBENTURES For the Quarter ended

31.03.2020 31.03.2019
Debenture Prices
Debentures Issued - December 2017
5 Year Fixed Rate (12.75 % p.a. Payable Semi-Annually ) Highest Rs. Not Traded Not Traded
Lowest Rs. Not Traded Not Traded
Closing Rs. Not Traded Not Traded
5 Year Fixed Rate (13.25 % p.a. Payable Semi-Annually ) Highest Rs. Not Traded Not Traded
Lowest Rs. Not Traded Not Traded
Closing Rs. Not Traded Not Traded
Interest Yield
5 Year Fixed Rate (12.75 % p.a. Payable Semi-Annually ) Not Traded Not Traded
5 Year Fixed Rate (13.25 % p.a. Payable Semi-Annually ) Not Traded Not Traded

Yield of Comparable Government Securities (%)

05 Year Treasury Bond 9.29% 10.93%

As at As at
31.03.2020 31.03.2019
Ratios
Debt Equity Ratio 140.31% 167.98%
Quick Asset Ratio 17.73% 17.77%
Interest Cover 1.55 1.60
SELECTED PERFORMANCE INDICATORS
As at As at
31.03.2020 31.03.2019
Capital Adequacy
Core Capital to Risk Weighted Asset Ratio (Minimum 7%) 19.04% 13.26%
Total Capital to Risk Weighted Asset Ratio (Minimum 11%) 20.75% 15.39%
Capital Funds to Total Deposit Liabilities Ratio (Minimum 10%) 23.98% 22.14%

Profitability
Return on Average Shareholders' Funds (After Tax) 24.75% 29.84%
Return on Average Assets (After Tax) 3.66% 3.92%

Asset Quality
Gross Non-Performing Accommodations Ratio 3.93% 2.69%
Net Non-Performing Accommodations Ratio -0.12% -0.21%

Liquidity (Rs. Mn)

Required Minimum Amount of Liquid Assets 9,317 8,762
Available Amount of Liquid Assets 14,307 13,354
Required Minimum Amount of Government Securities 6,120 5,284
Available Amount of Government Securities 6,790 6,740
L B Finance PLC
Interim Financial Statements for the period ended 31st March 2020

Additional Notes

Twenty largest shareholders as at 31st March 2020

Name No. of Shares (%)

1 Vallibel One PLC 71,682,400 51.751

2 Royal Ceramics Lanka PLC 31,427,232 36,123,232 26.079
Commercial Bank of Ceylon PLC/Royal Ceramics Lanka PLC 4,696,000
3 Esna Holdings (Pvt) Ltd 14,062,400 10.152
4 BNYM Re-Frontaura Global Frontier Fund LLC 2,290,135 1.653
5 Pershing LLC S/A Averbach Grauson & Co. 2,006,078 1.448
6 SBI Ven Holdings Pte Ltd 1,600,000 1.155
7 BBH-Matthews Emerging Asia Fund 1,054,684 0.761
8 Janashakthi Insurance PLC - Non Par 500,000 0.361
9 Mr. K D A Perera 438,996 0.317
10 Hatton National Bank PLC/Mr. K R E M D M B Jayasundara 401,249 0.290
11 Mr. N Udage 329,135 0.238
12 Mr. A A Page 314,800 0.227
13 Mr. N P De A Samaranayake 240,000 0.173
14 J B Cocoshell (Pvt) Ltd 237,626 0.172
15 People's Leasing & Finance PLC/Dr. H S D Soysa & Mrs. G Soysa 230,816 0.167
16 Mrs. P C Cooray 208,632 0.151
17 DFCC Bank PLC/ Mr. W G D C Ranaweera 191,275 0.138
18 Mr. T Jeremiah 155,164 0.112
19 Mr. K Karunanayake & Mis. P N Karunanayake 148,324 0.107
20 Mr P.Somadasa 138,051 0.100
132,352,997 95.551
Others 6,161,287 4.449
Total 138,514,284 100.000

Directors' and Chief Executive Officer's holding in shares as at 31st March 2020

Name No. of Shares (%)

Mrs. A K Gunawardhana - -
Mr. K D D Perera - -
Mr. J A S S Adhihetty 106,120 0.077
Mr. N Udage 329,135 0.238
Mr. B D A Perera - -
Mr. R S Yatawara 905 0.001
Mrs. Y Bhaskaran - -
Mr. M A J W Jayasekara - -
Mrs. Ashwini Natesan - -
Mr. D Rangalle - -

Public Holding percentage as at 31st March 2020 being 21.83% comprising of 1,877 shareholders.

The Float adjusted market capitalization as at 31st March 2020 - Rs. 3,643,822,154.00

The Float adjusted market capitalization of the Company falls under Option 4 of Rule 7.13.1 (a), of the Listing Rules of
the Colombo Stock Exchange and the Company has complied with the minimum public holding requirement applicable
under the said option.