Colombo, Sri Lanka – August 28, 2026 – Abans Finance PLC (AFPLC), a premier licensed finance company and a subsidiary of the diversified Abans Group, has announced exceptional performance in its Annual Report for the financial year ended March 31, 2026. The company reported a significant surge in profitability, substantial growth in its asset base, and continued strengthening of its governance and operational frameworks, as detailed in its recently published report.
The Annual Report 2025/26, AFPLC’s first-ever Integrated Annual Report, underscores a period of strategic consolidation, disciplined financial management, and a renewed commitment to sustainable value creation, earning the company a Fitch Credit Rating of A-(lka) with a Stable Outlook.
Stellar Financial Performance and Robust Growth
Abans Finance PLC showcased remarkable financial resilience and growth across key indicators for the fiscal year. Highlights include:
- Record Profitability: Profit After Tax (PAT) surged by an impressive 101% to LKR 857.1 million, up from LKR 425.7 million in the previous year. For the first time in its history, the company recorded over LKR 1 billion in Profit Before Tax (PBT), reaching LKR 1.28 billion.
- Asset Expansion: Total assets expanded significantly by 54% to LKR 20.8 billion, crossing the LKR 20 billion mark, compared to LKR 13.48 billion in FY 2024/25.
- Lending Portfolio Growth: Total Loans & Advances to customers grew by 53% to LKR 16.9 billion from LKR 11 billion in the preceding year. This expansion was notably driven by vehicle-backed financing (52.7% YoY growth) and a robust 64.1% increase in gold-backed lending, with the gold loan portfolio exceeding LKR 1 billion.
- Deposit Mobilisation: Public deposits grew by 31% to LKR 11.04 billion, demonstrating strong customer confidence in the institution.
- Improved Asset Quality: The Non-Performing Loan (NPL) ratio improved significantly, declining from 17.17% to 10.13%, reflecting enhanced credit evaluation and recovery efforts.
- Key Ratios: Return on Assets (ROA) increased to 9.82% (from 7.77%), and Return on Equity (ROE) soared to 22.39% (from 12.94%), showcasing efficient capital utilisation and enhanced profitability. Earnings Per Share (EPS) also saw a 101% increase to LKR 11.63.
Strategic Consolidation and Operational Excellence
The year 2025/26 was marked by strategic consolidation and a focus on strengthening market presence over unbridled expansion. Key operational achievements include:
- Product Diversification: Broadened product relevance through the introduction of pawning services and expanded offerings in brand-new motorcycle financing, digital device financing, and new savings products like the ‘ONE Saver Savings Account’ and the proposed ‘Savings Investment Planner Account’. The company also explored renewable energy financing.
- Digital Transformation: Significant investments in digital innovation, including the WorkHub system for workflow coordination, CRIB API for real-time credit verification, and NIC API for identity validation, enhancing efficiency and customer experience. This earned AFPLC a Digital Maestro Award for Digital-led Transformation.
- Expanded Reach: The branch network was further enhanced through the elevation of 8 customer service centres into fully operational branches, increasing regional accessibility. Proposed plans are underway to establish an additional 10 branches.
- Group Synergies: Leveraging the strength of the Abans Group, partnerships with Abans Auto (Private) Limited facilitated financing transactions valued at approximately LKR 1.4 billion.
- Industry Recognition: Abans Finance was awarded first runner-up for the ‘Best Management Practices Company Awards 2026 (CPM AWARDS 2026)’, affirming its commitment to high standards in corporate management.
Strengthened Governance and Sustainability Initiatives
In line with its commitment to transparency and accountability, Abans Finance PLC transitioned to its first-ever Integrated Annual Report, demonstrating a holistic view of value creation across financial and non-financial performance.
- Robust Governance: The Board reinforced its oversight mechanisms through active Board-level committees, enhancing regulatory engagement and ensuring compliance with CBSL directives and CSE listing rules. No adverse regulatory issues were reported.
- Environmental Stewardship: Implemented digital automation programmes leading to a measurable reduction in paper usage. Expanded electric bike leasing as a flagship initiative, promoting sustainable mobility and reducing carbon emissions.
- Social Responsibility: CSR efforts focused on community support, including disaster relief initiatives for communities affected by Cyclone ‘Ditwah’, providing stationery and essential supplies.
- SDG Alignment: The company continues to align its sustainability priorities with relevant Sustainable Development Goals (SDGs), focusing on areas like poverty reduction, decent work, quality education, and climate action.
Leadership Perspectives and Future Vision
Mr. John Cecil Perera, Chairman of Abans Finance PLC, remarked on the period: “The year gone by represented a period of strategic consolidation as the Company reinforced its financial foundations and delivered profitability in line with expectations through disciplined financial management. The main priority during the year was strengthening market presence rather than unbridled expansion. We believe this approach will be perhaps the most consequential in determining long-term shareholder value.”
Mr. Upul Gunasekara, Chief Executive Officer, added: “The exceptional momentum we have built over the years reflects our disciplined financial stewardship, customer-centric approach, and the unwavering commitment of our people. As we look ahead, I am confident that our strategic investments, digital transformation, and prudent risk management will position Abans Finance among Sri Lanka’s most respected and high-performing financial institutions, delivering sustainable value to all stakeholders.”
Looking forward, Abans Finance PLC has set ambitious yet realistic growth targets for the next five years (by 2029), aiming to become one of Sri Lanka’s leading financial institutions. These include achieving LKR 2 billion in Profit After Tax, expanding the asset base to LKR 50 billion, strengthening capital to LKR 9 billion, and accelerating branch expansion. The company remains committed to scaling pawning services, expanding into secured lending segments, and further digitizing financing operations, while also exploring opportunities in sustainable finance in line with the Central Bank’s Sustainable Finance Roadmap 2.0.
Regulatory Compliance Disclosure
In adherence to Colombo Stock Exchange Listing Rule No. 7.6.iv (a) regarding the Minimum Public Holding Requirement, Abans Finance PLC disclosed that as at March 31, 2026, its float-adjusted market capitalization was LKR 472,375,090, with a public holding percentage of 7.54% and 1,118 public shareholders. The company is actively exploring possibilities to comply with this Listing Rule.
Source: Abans Finance PLC Annual Report as at 31st March 2026
