Associated Motor Finance : Interim Financial Report as at 31-12-2021

ASSOCIATED MOTOR FINANCE COMPANY PLC

FINANCIAL STATEMENTS

For the Period ended 31st December 2021

No. 89, Hyde Park Corner

Colombo 02

Tel: [phone], Fax: [phone]

E-mail : [e-mail], Web : www.amf.lk

ASSOCIATED MOTOR FINANCE COMPANY PLC

STATEMENT OF COMPREHENSIVE INCOME

	Quarter ended 31st December		Nine months ended 31st December
	2021 **	2020 *	Changes		2021 **	2020 *	Changes
	Unaudited				Unaudited
	Rs.	Rs.	%		Rs.	Rs.	%
Interest Income	552,970,613	279,990,220	97	1,618,798,015	863,325,482	88
Less : Interest Expenses	(380,104,277)	(167,365,707)	127		(1,161,234,775)	(549,381,651)	111
Net Interest Income	172,866,337	112,624,513	53	457,563,240	313,943,831	46
Fee and commission income	24,661,731	5,166,805	377	53,479,518	17,390,604	208
Net trading income/(expense)	53,965,167	-	100	66,715,377	-	100
Other operating income (net)	52,194,357	3,454,386	1,411		134,576,675	14,321,511	840
Total operating income	303,687,592	121,245,704	150	712,334,809	345,655,946	106
Less : Impairment charges on financial assets & other losses	115,775,798	(88,176,396)	(231)		149,198,981	(121,707,825)	(223)
Net operating income	419,463,390	33,069,308	1,168	861,533,790	223,948,121	285
Less : Operating Expenses
Personnel Expenses	(122,968,166)	(57,768,669)	113	(374,904,831)	(171,694,454)	118
Depreciation of property, equipment & amortisation of Right of
Use Assets	(18,519,966)	(7,760,715)	139	(56,646,670)	(25,417,032)	123
Amortisation of intangible assets	(1,318,245)	(126,482)	942	(4,063,560)	(416,794)	875
Other operating expenses	(76,491,755)	(18,422,431)	315		(224,918,851)	(57,454,820)	291
Profit before taxes on financial services	200,165,258	(51,008,989)	(492)	200,999,877	(31,034,979)	(748)
Less : Tax on financial services	(27,717,719)	(2,368,465)	1,070		(58,011,155)	(21,539,609)	169
Profit before taxation	172,447,539	(53,377,454)	(423)	142,988,722	(52,574,588)	372
Less : Income tax (expense)/reversals	-	-	100	-	-
Profit/(Loss) for the period	172,447,539	(53,377,454)	(423)	142,988,722	(52,574,588)	372
Other comprehensive income / (expense), net of tax
Items that may be subsequently reclassified to profit or loss
Financial assets measured at Fair Value through Other
Comprehensive Income
Net change in fair value during the period	2,083,133	-	100	7,319,786	-	100
Items that will not be reclassified to profit or loss	-	-		-	-
Total other comprehensive income /(expense) for the period, net
of taxes	2,083,133	-	100	7,319,786	-	100
Total comprehensive income for the period
174,530,672	(53,377,454)	(427)	150,308,508	(52,574,588)	(386)
Earnings per share (Rs.)	1.65	(0.68)		1.37	(0.67)

The above figures are subject to audit and appropriations.

*Figures shown are the results of Associated Motor Finance Company PLC only.

**Associated Motor Finance Company PLC was amalgamated with its subsidiary -Arpico Finance Company PLC (AFC) on 1st April 2021 and with effect from that day AFC ceased to exit and Associated Motor Finance Company PLC continues as the remaining entity . Figures shown as at 31st December 2021 are the results of the amalgamated company.

02

ASSOCIATED MOTOR FINANCE COMPANY PLC

STATEMENT OF FINANCIAL POSITION

AS AT	31.12.2021	31.03.2021
	(Unaudited) **	(Audited) *
	Rs.	Rs.
ASSETS
Cash and cash equivalents	371,465,754	343,839,692
Financial assets - amortised cost	3,800,850,393	1,443,658,412
Financial assets - measured at fair value through profit or loss	878,294,056	-
Financial assets at amortized cost / loans and lease receivables	8,211,009,847	2,916,037,443
Financial assets - measured at fair value through other comprehensive income	30,109,637	1,165,929
Inventories	39,174,819	10,499,785
Investment properties	88,850,000	88,850,000
Other assets	171,593,129	62,722,623
Current tax assets	55,412,772	51,337,331
Property, Equipment and Right of Use Assets	1,076,665,851	75,568,362
Intangible assets	8,880,474	2,063,182
Deferred tax assets	200,622,928	336,074,043
Good will	385,244,360	-
Investment in subsidiary	-	1,160,387,961
Total Assets	15,318,174,019	6,492,204,764
LIABILITIES
Due to banks and financial institutions	1,215,019,629	1,055,618,793
Deposits from customers	11,138,686,228	4,058,791,023
Trade and other payables	371,550,731	104,406,724
Retirement Benefit Obligations	52,489,194	44,378,622
Total Liabilities	12,777,745,782	5,263,195,162
EQUITY
Stated capital	611,273,941	56,086,280
Revenue Reserves	1,831,195,349	1,082,284,161
Other Reserves	97,958,947	90,639,161
Total equity	2,540,428,236	1,229,009,602
Total Liabilities and Shareholders' Equity	15,318,174,019	6,492,204,764
Net Asset value per Share (Rs.)	22.42	219.14
The above figures are subject to the audit and appropriations.

The financial statements have been prepared in compliance with the requirements of the Companies Act No 7 of 2007.

*Figures shown are the results of Associated Motor Finance Company PLC only.

**Associated Motor Finance Company PLC was amalgamated with its subsidiary -Arpico Finance Company PLC (AFC) on 1st April 2021 and with effect from that day AFC ceased to exit and Associated Motor Finance Company PLC continues as the remaining entity . Figures shown as at 31st December 2021 are the results of the amalgamated company.

Sgd.

T. M. A. Sallay

Chief Executive Officer

The Board of Directors is responsible for the preparation and presentation of these financial statements. Approved and signed for and on behalf of the board.

Sgd.	Sgd.
J. P. I. S. Dayawansa	A. S. Dayawansa
Executive Director	Executive Director
26th January 2022	03

ASSOCIATED MOTOR FINANCE COMPANY PLC

STATEMENT OF CHANGES IN EQUITY

	Stated Capital	Capital	General	Statutory	Fair Value
	reserves	reserves	Retained Earnings	Total
				Reserve Fund	Reserve
	Rs.	Rs.	Rs.	Rs.	Rs.	Rs.	Rs.
Balance as at 01st April 2020	56,086,280	17,930	1,029,052	88,613,706	978,472	1,085,595,353	1,232,320,793
Net Profit/ (Loss) for the period	-	-	-	-	-	(52,574,588)	(52,574,588)
Balance as at 31st December 2020 *	56,086,280	17,930	1,029,052	88,613,706	978,472	1,033,020,765	1,179,746,205
Balance as at 01st April 2021	56,086,280	17,930	1,029,052	88,613,707	978,472	1,082,284,161	1,229,009,602
Issue of new shares due to the amalgamation
with Arpico Finance Co PLC	55,008,696	-	-	-	-	-	55,008,696
Adjustment due to amalgamation	-	-	-	-	-	605,922,465	605,922,465
Net Profit /(Loss) for the period	-	-	-	-	-	142,988,722	142,988,722
Rights Issue of ordinary shares	500,178,965	-	-	-	-	-	500,178,965
Other comprehensive income net of tax	-	-	-	-	7,319,786	-	7,319,786
Balance as at 31st December 2021 **	611,273,941	17,930	1,029,052	88,613,707	8,298,258	1,831,195,348	2,540,428,236

*Figures shown are the results of Associated Motor Finance Company PLC only.

**Associated Motor Finance Company PLC was amalgamated with its subsidiary -Arpico Finance Company PLC (AFC) on 1st April 2021 and with effect from that day AFC ceased to exit and Associated Motor Finance Company PLC continues as the remaining entity . Figures shown as at 31st December 2021 are the results of the amalgamated company.

04

ASSOCIATED MOTOR FINANCE COMPANY PLC

STATEMENT OF CASH FLOW

For the Period

For the Period

ended 31st

ended 31st

December 2021

**

December 2020 *

(Unaudited) (Unaudited)

Rs.Rs.

Cash flow from operating activities

Net profit/(loss)before taxation

Adjustments for;

Depreciation of property and equipment and amortisation of right of use assets and intangible assets

(Profit)/loss on disposals of Property and Equipment Provision for bad and doubtful debts

Provision for gratuity

Interest on borrowing

Dividend receipt

Operating profit before working capital changes

(Increase)/ decrease in financial investments (Increase)/decrease in loans and advances (Increase)/ decrease in other assets & tax assets (Increase) / decrease in inventories Increase/(decrease) in public deposits Increase/ (decrease) in trade and other payables

Cash generated from operations

Income Tax paid

Retirement benefits liabilities paid

Interest paid

Net cash flow from operating activities

Cash flow from investment activities

142,988,722 (52,574,588)

60,710,230 25,833,826

1,404,364 (745,463)

(149,198,981) 80,988,738

4,500,000-

131,179,835 120,420,026

(1,318,493) (137,600)

190,265,679 173,784,939

(610,086,852) (32,947,472)

2,047,649,552 1,081,412,815

(11,309,269) 1,849,383

(28,431,771) 16,939,461

(772,850,608) (448,936,398)

47,440,112 (310,898,422)

672,411,164 307,419,367

862,676,842 481,204,306

• 55,479
  (5,615,328) (101,250)

(144,885,967) (120,420,026)

712,175,548 360,738,509

Dividends received	1,318,493	137,600
Purchase of property, intangible assets, plant and equipment	(25,964,938)	(1,741,143)
Proceeds from disposal of Property and Equipment	-	2,325,013
Net cash flow from investing activities	(24,646,446)	721,470
Cash flow from Financing activities
Proceeds on borrowings	50,000,000	482,000,000
Repayment of borrowings	(1,665,233,855)	(612,118,556)
Proceed from cash Right Issue	500,178,965	-
Net Cash Inflow/(Outflow) from Financing Activities	(1,115,054,890)	(130,118,556)
Net increase/(decrease) in cash and cash equivalents	(427,525,789)	231,341,425
Cash & cash equivalents at the beginning of the period	770,078,055	260,351,158
Cash & Cash Equivalents at the end of the period	342,552,266	491,692,584
Cash and Cash Equivalents Comprises
Cash and bank balances	371,465,754	491,692,584
Bank overdraft	(28,913,488)	-
Cash & Cash Equivalent at the end of the period	342,552,266	491,692,584

*Figures shown are the results of Associated Motor Finance Company PLC only.

**Associated Motor Finance Company PLC was amalgamated with its subsidiary -Arpico Finance Company PLC (AFC) on 1st April 2021 and with effect from that day AFC ceased to exit and Associated Motor Finance Company PLC continues as the remaining entity . Figures shown as at 31st December 2021 are the results of the amalgamated company.

05