Orient Finance : Interim Financial Statements for the Quarter ended 31st December 2022

ORIENT FINANCE PLC

Unaudited Interim Financial Statements

For the Nine Months Ended 31 December 2022

ORIENT FINANCE PLC

INCOME STATEMENT

For the	03 Months Ended 31st	09 Months Ended 31st December
December
	2022	2021		2022		2021
	Rs.	Rs.	Rs.	Rs.
	Unaudited	Unaudited		Unaudited		Unaudited
Income	972,347,681	760,499,607		2,732,538,392		2,153,431,566
Interest income	933,064,198	696,838,763		2,614,443,054		1,950,168,290
Interest expenses	(752,674,497)	(290,244,559)		(1,833,740,862)		(825,930,632)
Net interest income	180,389,701	406,594,204		780,702,192		1,124,237,658
Fee and commission income	28,939,446	14,503,441		73,451,157		63,344,849
Other operating income	10,344,037	49,157,403		44,644,180		139,918,427
Total operating income	219,673,184	470,255,048		898,797,530		1,327,500,934
Impairment charges for loans and receivables to	4,212,744	(4,744,714)		(83,325,049)
customers			(84,548,209)
Net operating income	223,885,928	465,510,334		815,472,481		1,242,952,725
Operating expenses	(168,634,873)			(498,652,221)
Personnel expenses	(124,828,454)			(353,520,633)
Depreciation and amortization	(24,777,722)	(15,055,609)		(71,718,089)		(42,641,480)
Other operating expenses	(82,729,701)	(144,684,758)		(250,832,768)		(412,248,215)
Operating profit/(loss) before Tax on Financial	(52,256,367)	180,941,513		(5,730,597)		434,542,397
Services	(13,136,835)			(34,696,740)
Tax on financial services	(42,010,251)			(87,918,085)
Profit /(loss) before income tax	(65,393,202)	138,931,262		(40,427,337)		346,624,312
Income tax expense	-	(10,153,095)		(4,650,157)		(17,245,296)
Profit/(loss) for the period	(65,393,202)	128,778,167		(45,077,494)		329,379,016
Other comprehensive income/(expenses)
Other comprehenisve income to be re -
classified to profit or loss in subsequent periods
Fair value gain/(loss) on investments in quoted
shares	(2,282,000)	1,881,224		(4,169,714)		9,914,375
Total comprehensive income/(expenses) for the
(67,675,203)	130,659,391		(49,247,209)		339,293,391
period net of tax
Earnings Per Share (Rs.)	(0.31)	0.61		(0.21)		1.56
Figures in brackets indicate deductions.

Colombo

15th February 2023

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ORIENT FINANCE PLC

STATEMENT OF FINANCIAL POSITION

As At	31st December		31st March
	2022	2022
	Rs.		Rs.
	Unaudited		Audited
ASSETS
Cash and cash equivalents	318,538,712	296,439,735
Financial assets	961,561,980	725,704,749
Loans and receivables to customers	12,806,850,696	14,125,811,999
Investments with banks and other financial institutions	267,356,071	242,460,738
Other assets	234,361,478	255,411,953
Real estate stock	10,571,618	9,338,093
Deferred tax asset	371,656,108	371,600,809
Goodwill	564,545,746	564,545,746
Brand value	235,880,000	235,880,000
Intangible assets	37,899,935	37,899,935
Property, plant and equipment	67,100,152	84,505,805
Right of use assets	72,920,095	115,496,075
Investment properties	649,066,462	662,150,002
Total assets	16,598,309,051		17,727,245,639
LIABILITIES
Due to banks - bank overdrafts	391,900,346	680,571,641
Deposits from customers	9,950,006,214	9,204,263,013
Interest bearing borrowings	2,873,335,561	3,874,859,251
Lease liability - Right-of-use assets	25,435,219	76,660,167
Other liabilities	17,375,966	514,908,252
Retirement benefit obligations	57,623,620	44,103,980
Total liabilities	13,315,676,925		14,395,366,304
EQUITY
Stated capital	2,431,879,039	2,431,879,039
Statutory reserve fund	375,736,747	375,736,747
Revaluation reserve	141,120,773	141,120,773
Retained earnings/(accumulated losses)	333,895,568	383,142,776
Total equity	3,282,632,127		3,331,879,335
Total equity and liabilities	16,598,309,051		17,727,245,639
Net assets per share	15.55	15.78
Figures in brackets indicate deductions.

The financial statements are in compliance with the requirements of the Companies Act No.07 of 2007.

Sgd.	Sgd.
Mr. Manjula Tennakoon	Mr. K.M.M.Jabir
Chief Financial Officer	Chief Executive Officer/Director

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.
Mr. Rajendra Theagarajah	Mr. Prakash Schaffter
Chairman	Director
Colombo
15th February 2023

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ORIENT FINANCE PLC

STATEMENT OF CHANGES IN EQUITY

For the period ended 31st December 2022
	Stated Capital		Statutory reserve		Revaluation		Retained earnings		Total
		fund		reserve
	Rs.		Rs.		Rs.		Rs.		Rs.
Balance as at 01st April, 2021	2,431,879,039	330,437,030	141,120,773	(16,506,832)	2,886,930,010
Profit/(Loss) for the nine months	-	-	-	329,379,016	329,379,016
Other comprehensive income (expense) net of taxes	-	-	-	9,914,375	9,914,375
Balance as at 31st December 2021
2,431,879,039	330,437,030	141,120,773	322,786,559	3,226,223,401
Balance as at 01st April, 2022	2,431,879,039	375,736,747	141,120,773	383,142,776	3,331,879,335
Profit/(Loss) for the nine months	-	-	-	(45,077,494)	(45,077,494)
Other comprehensive income (expense) net of taxes						(4,169,714)	(4,169,714)
Balance as at 31st December 2022
2,431,879,039		375,736,747		141,120,773		333,895,568	3,282,632,127

Figures in brackets indicate deductions.

Colombo

15th February 2023

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ORIENT FINANCE PLC	`
STATEMENT OF CASH FLOWS
For the period ended 31st December	2022	2021
(Unaudited)		(Unaudited)
	Rs.		Rs.
Cash flows from operating activities
Profit/(loss) before income tax expense	(40,427,337)	346,624,312
Adjustment for:
Depreciation/amortization	71,718,089	42,641,480
Profit on disposal of property, plant and equipment	(114,367)	(481,188)
Impairment charges for loans and receivables to customers	83,325,049	86,977,902
Finance expenses	1,833,740,862	802,017,205
Investment income	(127,643,933)	(47,473,557)
Provision for gratuity	16,241,967		15,165,000
Operating profit/(Loss) before working capital changes	1,836,840,329	1,245,471,154
Change in loans and receivables to customers	1,235,636,255	(1,007,371,946)
Change in other assets	21,050,475	(72,551,028)
Change in deposits from customers	562,429,462	254,231,740
Change in other liabilities	(446,307,339)	371,066,526
	3,209,649,182		790,846,447
Rent Paid	(59,980,116)	(49,963,732)
Interest paid	(968,538,804)	(797,901,515)
Income tax Paid		(17,245,296)
Gratuity paid	(2,722,327)	(12,154,123)
Net cash from/(used in) operating activities	2,178,407,934		(86,418,219)
Cash flows from investing activities
Acquisition of property, plant and equipment and intangible assets	(31,557,821)	(40,211,274)
Proceeds from sale of property, plant and equipment	226,700
Expenses incurred for real estate stock	(1,233,525)
Net change in available for sale financial assets	(240,026,945)	(40,392,071)
Net change in investments with banks and other financial instituitions	(16,227,568)	(156,734,811)
Investment income received	7,610,617	8,091,000
Net cash generated from/(used in) investing activities	(281,208,542)		(229,247,156)
Cash flows from financing activities
Interest bearing borrowings obtained	42,899,669	3,103,000,000
Repayment of interest bearing borrowings	(878,610,748)	(2,127,169,424)
Interest Paid on Borrowings	(750,718,042)	(253,721,863)
Net cash generated from/(used in) financing activities	(1,586,429,120)		722,108,713
	-	-
Net change in cash and cash equivalents	310,770,273	406,443,338
Cash and cash equivalents at the beginning of the period	(384,131,906)		(194,895,886)
Cash and cash equivalents at the end of the period	(73,361,633)	211,547,452
Analysis of cash and cash equivalents at the end of the period
Cash in hand	240,323,758	193,700,925
Cash at bank	78,214,954	108,807,509
Bank overdrafts - secured	(391,900,346)	(90,960,981)
	(73,361,633)		211,547,452

Figures in brackets indicate deductions.

Colombo

15th February 2023

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