People’s Leasing & Finance PLC: FY25 Marks Strong Asset Expansion amidst Steady Profitability
People’s Leasing & Finance PLC (PLC), a flagship subsidiary of People’s Bank and a cornerstone in Sri Lanka’s financial services sector, has delivered a commendable performance for the financial year ended 31 March 2025. The Company reported a notable year-on-year growth of 51.56% in its Loans and Receivables portfolio, marking a significant achievement driven by a focused transformation of employee mindset and performance culture.
This exceptional growth was underpinned by a comprehensive leadership-led strategy that placed employees at the center of the Company’s progress. Key initiatives included financial empowerment programs, improved communication platforms, enhanced career development pathways, and a more inclusive and performance-oriented culture, uplifting employee morale and reinforcing accountability across all levels of the organization.
Despite prevailing economic challenges, PLC maintained stable profitability, recording a Profit after Tax (PAT) of Rs. 3.60 billion and a Profit before Tax (PBT) of Rs. 5.79 billion, reflecting prudent operational management and resilience in the face of cost pressures. Net Interest Income (NII), the Company’s primary earnings driver, stood at Rs. 14.07 billion, while total operating income reached Rs. 16.41 billion, supported by Rs. 2.34 billion in other income. Operational efficiency remained a focus, with total operating expenses rising to Rs. 9.02 billion, up 17.21% from the previous year.
A key highlight for FY25 was the remarkable reduction in Non-Performing Loans (NPLs) from Rs. 17.82 billion in March 2024 to Rs. 9.56 billion by March 2025, a nearly 46% decrease, reflecting the effectiveness of the Company’s robust credit management and recovery strategies. This was further reinforced by an impairment reversal, amounting to Rs. 403.30 million, signaling a stronger and healthier portfolio.
Return on Equity (ROE) stood at 8.56%, reflecting the Company’s ability to generate earnings from its shareholders’ equity, while Return on Assets (ROA) was recorded at 3.27%, indicating efficient utilization of its asset base. Earnings per Share (EPS) amounted to Rs. 1.67, highlighting the Company’s solid per-share profitability.
Commenting on the Company’s performance, Mr. Sanjeewa Bandaranayake, CEO/GM, stated,
“This year marks a significant transformation for People’s Leasing, not only in our numbers but in our people. By aligning strategy with execution and empowering our teams, we have laid the groundwork for sustainable, long-term value creation.”
Chairman Prof. Ajantha Samarakoon added,
“We have navigated 2024/25 with discipline and focus, turning macroeconomic recovery and internal consolidation into renewed growth momentum that will continue to support Sri Lanka’s economic revival.”
With total assets reaching Rs. 194.53 billion and capital adequacy levels well above regulatory requirements, PLC continues to demonstrate financial strength and governance excellence. The Company’s diversified business model, supported by six subsidiaries: People’s Insurance, People’s Micro-Commerce, People’s Leasing Fleet Management Ltd, People’s Leasing Property Development Ltd, People’s Leasing Havelock Properties Ltd. and Alliance Finance PLC – Bangladesh, further bolsters its market leadership and long-term growth potential.
The strong portfolio growth, driven by empowered and motivated employees, is expected to yield sustainable returns in the coming years, reinforcing PLC’s role as a key player in Sri Lanka’s financial ecosystem and a catalyst for national economic development.