CDB records Rs 1519 m revenue in 2009/10

Stock Exchange listing on the cards:

Citizens Development Business Finance Ltd’s (CDB) pre-tax profit (annualised) for the Financial Year ending March 2010 crossed the Rs 71 m mark, while net profit after tax (annualised) crossed the Rs 64 m mark, as per the audited accounts for the financial year ending March 31, 2010.

CDB’s Director/CEO Mahesh Nanayakkara

Though these figures reflect marginal declines of 0.34 percent and 2.5 percent, the CDB considers that these figures reflect a satisfactory performance given the context it operated in.

Revenue (annualised) recorded a figure of Rs 1519 m, while net interest income increased by 19.7 percent or Rs 404 m to Rs 483 m (annualised) in 2009/2010.

CDB’s total Asset Base stands at Rs 6676 m as at March 31, 2010. CDB Net Assets recorded over Rs 513 m as at March 31, 2010.

All business units contributed significantly and substantially towards this performance.

At the end of the review period, CDB’s NPL ratio stood at 7.52 percent, well below the industry average.

CDB’s Director/CEO Mahesh Nanayakkara said, ‘the results are based on intrinsic fundamentals such as customer-centric business approach, performance-driven culture, an organic integration of our people with our business, and our commitment to enterprise governance’.

Taking advantage of the synergies created by the confidence and renewed vigour after emerging as a winning team that faced the most challenging year in its history last year, CDB availed itself of the unprecedented opportunities in post-war Sri Lanka and the providential turnaround in the global economy.

CDB has formulated a three-year strategic plan which encompasses key financial targets, positioning CDB as a total financial services provider introducing new products such as pawning, foreign currency encashment (authorised money dealership), money remittance service, Islamic Financing, and savings accounts.

CDB is currently in the process of repositioning its branch network with upgraded facilities to serve clients better. It has also expanded its outreach to the Northern region with fully-fledged service centres in Jaffna and Vavuniya.

Included in its plans for the near future is CDB’s aim to list its shares on the Colombo Stock Exchange (CSE). By being a listed institution on the Colombo Stock Exchange, CDB intends to achieve the multiple objectives of complying with regulatory requirements ahead of stipulated deadlines, broadening its shareholder structure, strengthening its capital raising ability to support future growth strategy and increasing its transparency as a public listed institution.