Multi Finance : Interim Financial Statement as at 31st March 2022

INTERIM FINANCIAL STATEMENTS

FOR THE TWELVE MONTHS ENDED 31ST MARCH 2022

MULTI FINANCE PLC

( Company Registration No: PB 891 PQ )

No. 275/75, Prof. Stanley Wijesundara Mawatha, Colombo 07.

MULTI FINANCE PLC

INTERIM FINANCIAL STATEMENTS

INCOME STATEMENT AND OTHER COMPREHENSIVE INCOME

FOR THE THREE MONTHS ENDED

31.03.2022		31.03.2021	Variance
			Fav/
(Unaudited)		(Unaudited)	(Adverse)
Rs.		Rs.	%

FOR THE TWELVE MONTHS ENDED

31.03.2022		31.03.2021	Variance
			Fav/
(Unaudited)		(Audited)	(Adverse)
Rs.		Rs.	%

Income	31,485,878		33,241,367	(5)	120,357,181		134,104,126	(10)
Interest income	27,069,550	26,296,547	3	111,479,182	119,252,362	(7)
Interest expenses	(5,785,999)		(8,334,627)	31	(25,200,657)		(42,830,661)	41
Net interest income	21,283,551	17,961,920	18	86,278,525	76,421,701	13
Fee and commission income	150,052	2,175,593	(93)	720,468	8,073,195	(91)
Other Operating income	4,266,276		4,769,228	(11)	8,157,531		6,778,568	20
Total Operating Income	25,699,879	24,906,740	3	95,156,524	91,273,465	4
Impairment charge for loans and other losses	(149,458,412)		(7,235,970)	(1,965)	(155,667,984)		(3,872,222)	(3,920)
Net Operating Income	(123,758,533)	17,670,770	(800)	(60,511,460)	87,401,243	(169)
Operating expenses
Personnel cost	(20,760,073)	(20,358,488)	(2)	(75,797,743)	(81,745,361)	7
Depreciation of Property Plant & Equipments	(5,732,421)	(6,583,722)	13	(23,863,971)	(24,761,207)	4
Amortisation of Intangible Assets	(173,564)	(158,302)	(10)	(615,075)	(976,921)	37
Other operating expenses	(10,633,720)		(11,755,536)	10	(38,707,885)		(39,908,957)	3
Total operating expenses	(37,299,778)		(38,856,048)	4	(138,984,675)		(147,392,444)	6
Operating Profit/(Loss) before Tax on Financial Services	(161,058,311)	(21,185,278)	(660)	(199,496,135)	(59,991,201)	(233)
Tax on Financial Services	2,356,501		(1,478,819)	259	(7,214)		(2,902,110)	100
Profit/(Loss) before taxation	(158,701,810)	(22,664,097)	(600)	(199,503,349)	(62,893,311)	(217)
Income Tax (Expense)/Reversal	-	(19,706,223)	100	-	(19,706,223)	100
Profit/(Loss) for the period	(158,701,810)	(42,370,319)	(275)	(199,503,349)	(82,599,534)	(142)
Other comprehensive income
Other Comprehensive Income that will be Reclassified to Income
Statement
Reclassification of Fair Value Through Other comprehensive income to Profit	-	(207,437)	100	(50,308)	(207,437)	76
or Loss
Net change/(Loss) in fair value of financial assets measured at Fair Value	-	10,546	(100)	-	10,546	(100)
Through Other Comprehensive Income
Other Comprehensive Income that will be Reclassified to Income	-	(196,891)	100	(50,308)	(196,891)	74
Statement
Less: Deferred Tax Charge/(Reversal) on above Items	-		-	-	-		-	-
Net Other Comprehensive Income that will be Reclassified to Income	-	(196,891)	100	(50,308)	(196,891)	74
Statement
Other Comprehensive Income that will never be Reclassified to Income
Statement
Actuarial Gains/(Losses) on Defined Benefit Plans	4,512,590	(660,791)	783	4,512,590	(660,791)	783
Less: Deferred Tax Charge/(Reversal) on Actuarial Gains and Losses	-		158,590	(100)	-		158,590	(100)
Net Actuarial Gains/(Losses) on Defined Benefit Plans	4,512,590	(502,201)	999	4,512,590	(502,201)	999
Net Other Comprehensive Income that will never be Reclassified to	4,512,590	(502,201)	999	4,512,590	(502,201)	999
Income Statement
								738
Other Comprehensive Income for the Year, Net of Tax	4,512,590		(699,092)	745	4,462,282		(699,092)
Total Comprehensive Income for the Year, Net of Tax	(154,189,220)		(43,069,412)	(258)	(195,041,067)		(83,298,626)	(134)
Earnings/(Loss) per share (Rs.)	(2.49)	(0.67)		(3.14)	(1.30)

Figures in brackets indicate deductions.

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MULTI FINANCE PLC

INTERIM FINANCIAL STATEMENTS
STATEMENT OF FINANCIAL POSITION	As at 31.03.2022		As at 31.03.2021
	Rs.		Rs.
	(Unaudited)		(Audited)
	Rs.		Rs.
ASSETS
Cash and cash equivalents	13,693,689	23,195,923
Financial Assets at Amortised Cost - Loans and Receivables	254,667,026	400,621,794
Financial Assets at Amortised Cost - Lease Rentals Receivable and Stock out on Hire	82,196,196	155,610,473
Financial Assets Measured at Fair Value Through Other Comprehensive Income	2,500	535,489
Other Financial Assets	135,469,843	119,229,696
Other Non Financial Assets	37,534,573	53,372,287
Repossessed Stock	-	4,090,270
Current Tax Receivables	5,227,629	5,227,631
Investment Property	71,150,000	68,333,000
Property, Plant and Equipment and Right-of-Use Assets	16,576,713	39,401,867
Intangible assets	1,007,510		524,860
TOTAL ASSETS	617,525,680	870,143,291
LIABILITIES
Due to banks	3,208,335	3,128,745
Financial Liabilities at Amortised Cost - Due to Depositors	253,824,754	294,272,187
Other Financial Liabilities	37,025,794	53,490,243
Other Non Financial Liabilities	17,796,298	16,897,717
Post Employment Benefit Liability	6,859,576		8,502,410
TOTAL LIABILITIES	318,714,757	376,291,302
EQUITY
Stated capital	898,375,289	898,375,289
Reserves	16,655,272	16,705,580
Retained Earnings / (Accumulated Losses)	(616,219,639)		(421,228,880)
TOTAL EQUITY	298,810,922	493,851,989
TOTAL LIABILITIES AND EQUITY	617,525,680		870,143,291
Commitments and Contingencies	-	-
Net Assets Value Per Share (Rs.)	4.70	7.76

Figures in brackets indicate deductions.

It is certified that these Financial Statements have been prepared in compliance with the requirements of the Companies Act No.7 of 2007.

Sgd.

Nuwan Ediriweera

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 of Multi Finance PLC

Sgd.	Sgd.
Mr. P. Jayasundera	Imal Fonseka
Director / Chief Executive Officer	Chairman
25th May 2022
Colombo

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MULTI FINANCE PLC

INTERIM FINANCIAL STATEMENTS

STATEMENT OF CHANGES IN EQUITY

FOR THE YEAR ENDED 31ST MARCH 2022

	Stated		Retained		General		Statutory		Fair Value		Total
	Capital		Earnings/		Reserve		Reserve Fund		Reserve
			(Accumulated
			Losses)
	Rs.		Rs.		Rs.		Rs.		Rs.		Rs.
Balance as at 01st April 2020	898,375,289	(338,127,145)	11,266,050	5,389,222	247,199	577,150,615
Loss for the Period	-	(82,599,534)	-	-	-	(82,599,534)
Other comprehensive income net of tax for the year;
Net actuarial Gains/(Losses) on defined benefit liability		(502,201)							(502,201)
Reclassification of Fair Value Through Other comprehensive income to								(207,437)	(207,437)
Profit or Loss
Net change in fair value of financial assets measured at Fair Value								10,546	10,546
Through Other Comprehensive Income
Total Comprehensive Income for the Year, Net of Tax	-		(83,101,735)		-		-		(196,891)		(83,298,626)
Balance as at 31st March 2021	898,375,289		(421,228,880)		11,266,050		5,389,222		50,308		493,851,989
Balance as at 01st April 2021	898,375,289	(421,228,880)	11,266,050	5,389,222	50,308	493,851,989
Loss for the Period	-	(199,503,349)	-	-	-	(199,503,349)
Other comprehensive income net of tax for the year;
Net Actuarial Gains/(Losses) on Defined Benefit Plans		4,512,590							4,512,590
Reclassification of Fair Value Through Other comprehensive income to								(50,308)	(50,308)
Profit or Loss
Total Comprehensive Income for the Year, Net of Tax	-		(194,990,759)		-		-		(50,308)		(195,041,067)
Balance as at 31st March 2022
898,375,289		(616,219,639)		11,266,050		5,389,222		-		298,810,922

Figures in brackets indicate deductions.

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MULTI FINANCE PLC

INTERIM FINANCIAL STATEMENTS

STATEMENT OF CASH FLOWS
FOR THE TWELVE MONTHS ENDED 31ST MARCH	2022	2021
	Unaudited		Audited
	Rs.		Rs.
Profit and Other Comprehensive Income before Taxation	(195,041,067)	(63,750,994)
Adjustments for :
Depreciation on Property, Plant and Equipment	23,863,971	24,761,203
Amortisation of Intangible Assets	615,075	976,923
Impairment charge/(reversal) for loan and other advances	155,667,984	3,872,222
(Profit)/Loss on Disposal of Property, Plant & Equipment	(338,037)	27,878
Provision/(Reversal) for Defined Benefit Plans	(804,604)	2,531,655
Dividend Received	(60,000)	(80,000)
(Profit)/Loss on disposal of Repossessed Stock	-	2,659,728
Interest expense on Lease Liability	2,357,510	3,149,911
Interest Accrued on Fixed Deposit Investments	-	(2,980,282)
Interest Accrued on Reverse Repurchase Agreements	-	(3,223,795)
Gain/(Losses) from fair value changes of Investment Properties	(2,817,000)	(1,547,500)
Gain/(Loss) on modification of Right of Use Assets	-	(774,099)
Net change/(Loss) in fair value of financial assets measured at Fair Value Through Other
Comprehensive Income	-		(10,546)
Operating Profit before Working Capital Changes	(16,556,166)	(34,387,696)
(Increase)/Decrease in Operating Assets
(Increase)/Decrease in Financial Assets at Amortised Cost-Loans and Receivables	(22,900,539)	226,563,870
(Increase)/Decrease in Financial Assets at Amortised Cost-Lease Rentals Receivable and	86,139,869	72,407,641
Stock out on Hire
(Increase)/Decrease Financial Assets Measured at Fair Value Through Other	532,989
Comprehensive Income	-
(Increase) / Decrease Repossessed Stock	4,552,002	-
(Increase)/Decrease in Other Financial Assets	(16,240,147)	1,689,730
(Increase)/Decrease in Other Non Financial Assets	15,837,714		(8,380,707)
	67,921,888	292,280,534
Increase/(Decrease) in Operating Liabilities
Increase/(Decrease) in Financial Liabilities at Amortised Cost - Due to Depositors	(40,447,433)	(216,433,919)
Increase/(Decrease) in Other Financial Liabilities	(2,250,142)	6,261,748
Increase/(Decrease) in Other Non Financial Liabilities	898,580		-
	(41,798,994)	(210,172,171)
Cash Generated From Operations	9,566,727	47,720,667
Retirement Benefit Liabilities Paid	(838,230)	(765,300)
Income Tax Paid	-		-
Net Cash From/(Used in) Operating Activities	8,728,497	46,955,367
Cash flows from / (Used in) Investing Activities
Acquisition of Property, Plant and Equipment and Right-of-Use Assets	(55,400)	(59,238)
Acquisition of Intangible Assets	(1,097,725)	-
Proceeds from sale of Property, Plant & Equipment	514,500	-
Net Investment in Fixed Deposits	-	(5,000,000)
Dividend income Receipt	60,000	80,000
Interest Received on Fixed Deposit Investments	-	3,290,825
Interest Received on Reverse Repurchase Agreements	-		2,765,744
Net Cash Flows From/(Used in) Investing Activities	(578,625)	1,077,331
Cash Flows From/(Used in) Financing Activities
Loans obtained during the year	-	-
Payment of Lease liabilities	(17,731,697)		(16,954,897)
Net cash generated from / (used in) Financing Activities	(17,731,697)	(16,954,897)
Net Increase/(Decrease) in Cash and Cash Equivalents	(9,581,824)	31,077,802
Cash & Cash Equivalents at the Beginning of the period	20,067,178	(11,010,623)
Cash & Cash Equivalents at the end of the period	10,485,354		20,067,178
Analysis of Cash & Cash Equivalents
Favourable balance
Cash at Bank	5,100,087	15,873,623
Cash in Hand	8,593,602		7,322,300
	13,693,689	23,195,923
Unfavourable balance
Bank Overdrafts	(3,208,335)		(3,128,745)
	(3,208,335)	(3,128,745)
	10,485,354	20,067,178
Figures in brackets indicate deductions.

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