Ceylinco Securities records impressive profits in first nine months

CORPORATE RESULTS : The Ceylinco Securities and Financial Services Ltd. (CSFSL) Group has recorded a profit after tax of Rs. 102.9 million in the first nine months of the financial year 2006/07 which is a growth of 27% compared to the Rs. 81 million recorded during the same period in the last financial year.

The pre tax profit grew to Rs. 126.1 million, which is an increase of 37%, compared to the previous year and the prudent long-term investments that were strategically aimed at increasing returns for Shareholders resulted in the Total asset Base expanding to Rs. 9.6b.

The main factors attributable for this performance are the income generated from the fund-based activities and diversification to different avenues of lucrative businesses.

Lacklustre capital market operations and stock market conditions have re-directed the course of corporate strategy of the CSFSL.

Having identified this, the management has correctly diversified into leasing and real estate and moved into various other areas with success. This has enabled the CSFSL to move forward despite the downturn in the investment-banking climate.

The CSFSL has grown from strength to strength and has diversified its activities into financial sector, property development and real estate, stock broking, money broking and foliage exports. During the year under review, performances of all the subsidiaries of the

CSFSL are in line with expectations. Furthermore, it has successfully penetrated to the rural sector by establishing branches in the outskirts of the business capitals, namely Kurunegala, Kandy, Dambulla, Anuradhapura, Panadura, Negombo, Matara, Trincomalee, Ratnapura, Kegalle and Galle. The branch network will be expanded to capitalise prospective markets in the outstations.

Diversification to fund-based activities and to the rural sector along with expansion into different avenues of business is expected to pay off well in the future.

The company will continue to look for new business opportunities into sectors that have been identified as promising and intends to expand its services throughout the island and overseas, thus widening the network and client base.

The CSFSL reached another milestone by ground breaking into its own head office building in Colombo.

This was a long felt need for the CSFSL Group that was expanding rapidly with significant bottomline growth. This is situated in the heart of Colombo. This is a state-of- the-art 10-storeyed building with all the modern facilities including basement car park, commercial area, restaurants etc.

The company is planning to finish it within 2 years.

After the completion of the building, all the CSFSL subsidiaries will be housed in the premises, providing all capital market services leasing, real estate, property development, lending, stock brokering, money brokering, secretary and legal services under one roof.