Prime Finance : Interim Financial Statements quarter ended 31st December 2021

PRIME FINANCE PLC

STATEMENT OF COMPREHENSIVE INCOME

INTERIM FINANCIAL STATEMENTS FOR THE NINE MONTHS ENDED 31 DECEMBER 2021

	FOR THE THREE MONTHS ENDED		FOR THE NINE MONTHS ENDED
	31.12.2021		31.12.2020		Variance		31.12.2021		31.12.2020		Variance
	(Unaudited)		(Unaudited)				(Unaudited)		(Unaudited)
	Rs.		Rs.		%		Rs.		Rs.		%
Interest income	248,579,652		247,385,703		0.5%		723,884,001		739,856,165		-2%
Interest expenses	(78,918,579)		(126,129,095)		37%		(270,836,928)		(382,580,524)		29%
Net interest income	169,661,073		121,256,608		40%		453,047,072		357,275,641		27%
Fee and commission income	6,020,064		2,629,501		129%		10,606,049		5,562,650		91%
Net fee and commission income	6,020,064		2,629,501		129%		10,606,049		5,562,650		91%
Other operating income (net)	58,735,120		48,689,551		21%		211,047,371		130,828,276		61%
Total operating income	234,416,257		172,575,660		36%		674,700,492		493,666,567		37%
Impairment (charges)/reversals for loans and other credit
losses	(61,405,294)		(60,618,734)		-1%		(179,429,572)		(229,163,878)		22%
Net operating income	173,010,963		111,956,926		55%		495,270,920		264,502,689		87%
Operating expenses
Personnel costs	(50,194,120)		(37,998,875)		-32%		(144,858,587)		(108,008,746)		-34%
Depreciation of property plant and equipment	(2,282,515)		(2,609,366)		13%		(6,885,919)		(8,232,598)		16%
Amortisation of lease assets	(3,773,901)		(3,963,842)		5%		(11,243,635)		(11,047,253)		-2%
Amortisation of intangible assets	(209,689)		(209,683)		-		(626,796)		(626,774)		-
Other operating expenses	(47,676,839)		(37,391,559)		-28%		(144,046,930)		(104,841,272)		-37%
Profit/ (Loss) before VAT on financial services	68,873,899		29,783,601		131%		187,609,053		31,746,045		491%
Value added tax on financial services	(7,509,964)		(5,554,262)		-35%		(20,015,155)		(12,269,519)		-63%
Profit/(Loss) from operations before taxation	61,363,935		24,229,339		153%		167,593,898		19,476,527		760%
(Provision)/Reversal for income taxation	(26,827,238)		(4,244,066)		-532%		(66,224,134)		(9,291,226)		-613%
Profit/(Loss) for the period	34,536,697		19,985,273		73%		101,369,764		10,185,301		895%
Other comprehensive income/(expenses)
Other comprehensive income not to be reclassified to
profit or loss
Actuarial gain/(loss) on retirement benefit obligations	-		-		-		-		-		-
Other comprehensive income/(expense) for the period,
net of taxes	-		-		-		-		-		-
Total comprehensive income/(expense) for the period
34,536,697		19,985,273		73%		101,369,764		10,185,301		895%
Earnings per share (Rs.)	0.29		0.25				0.84		0.13
Notes:

The above figures are provisional and subject to audit. Figures in brackets indicate deductions

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Prime Finance PLC

STATEMENT OF CHANGES IN EQUITY

INTERIM FINANCIAL STATEMENTS FOR THE NINE MONTHS ENDED 31 DECEMBER 2021

	Stated Capital		Retained Earnings		Statutory		Total
			Reserve
	Rs.		Rs.		Rs.		Rs.
Balances as at 01 April 2020	1,372,500,000	298,393,062	21,194,618	1,692,087,680
Net profit for the year	-	45,989,690	-	45,989,690
Other comprehensive income	-	(571,836)	-	(571,836)
Transfer to statutory reserve	-	(2,299,485)	2,299,485	-
Rights issue	526,680,000	-	-	526,680,000
Balances as at 31st March 2021	1,899,180,000	341,511,431	23,494,103	2,264,185,534
Balances as at 01st April 2021
1,899,180,000	341,511,431	23,494,103	2,264,185,534
Net profit for the period	-	101,369,764	-	101,369,764
Other comprehensive income	-	-	-	-
Balances as at 31st December 2021	1,899,180,000		442,881,196		23,494,103		2,365,555,299

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Prime Finance PLC

STATEMENT OF CASH FLOWS

INTERIM FINANCIAL STATEMENTS FOR THE NINE MONTHS ENDED 31 DECEMBER 2021

		31.12.2021		31.12.2020
		Rs.		Rs.
		Unaudited		Unaudited
Cash flows from/(used in) operating activities
Profit/(Loss) before income tax expense	167,593,898		19,476,527
Adjustments for
Depreciation		6,885,919		8,232,598
Amortisation of intangible assets	626,796		626,774
Impairment provision	179,429,572		229,163,878
Amortization of leased assets	11,243,635		4,946,055
Interest expense on lease liability	3,459,371		4,169,050
Loss/(Profit) on disposal of property and equipment	(57,000)		(18,591)
Provision/(Reversal) for defined benefit plans	2,478,690		2,246,547
Dividend received		(240,000)		(320,000)
Operating profit before working capital changes	371,420,880		268,522,838
(Increase)/Decrease	in Real Estate stock	(55,774,625)		(282,126,924)
(Increase)/Decrease	in loans and advances	170,669,994		204,751,760
(Increase)/Decrease in right of use asset	(1,795,585)		-
(Increase)/Decrease	in lease rentals receivable and stock out on hire	(757,505,648)		15,188,944
(Increase)/Decrease	in other financial assets	1,060,376		(2,364,969)
(Increase)/Decrease	in other non-financial assets	(77,861,359)		(38,566,398)
Increase/(Decrease)	in amounts due to customers	257,984,124		266,474,863
Increase/(Decrease)	in other financial liabilities	10,977,126		4,054,660
Increase/(Decrease)	in other non-financial liabilities	2,175,148		84,617,550
Cash generated from/(used in) operations	(78,649,568)		520,552,323
Retirement benefit liabilities paid	(286,166)		(549,504)
Income tax paid		(35,047,240)		(25,480,312)
Net cash from/(used in) operating activities	(113,982,974)		494,522,507
Cash flows from/(used in) investing activities
Acquisition of property, plant and equipment	(3,207,084)		(2,725,036)
Proceeds from sales of property,plant and equipment	57,000		18,591
Net investment in government bonds and government securities	(58,172,857)		60,466,753
Dividend received		240,000		320,000
Net cash flows from/(used in) investing activities	(61,082,942)		58,080,308
Cash flows from/(used in) financing activities
Rights Issue		-		526,680,000
Repayment of principal portion of lease liabilities	(14,186,413)		(7,297,500)
Net movement in the bank borrowings	(809,795,925)		43,503,735
Net cash flows from/(used in) financing activities	(823,982,338)		562,886,235
Net increase in cash and cash equivalents	(999,048,254)		1,115,489,050
Net cash and cash equivalents at the beginning of the year	1,604,518,100		565,144,324
Cash and cash equivalents at the end of the period	605,469,846		1,680,633,373

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