CHAIRMAN’S MESSAGE

Co-operative Leasing Company in its journey of 15 years have been able to demonstrate its ability of augmenting shareholder value continuously. For the financial year 2017/18 the company has recorded an earning of Rs.1.59 per its ordinary share which is the highest in its history compared to Rs.1.40 of previous year.

Today along the way in our remarkable journey we vouch to maintain our uphold stability and reward the shareholders with enhanced value in the upcoming years.

At this momentous occasion when your Company celebrates fifteen years of operation, it gives me great pleasure to present the audited financial statements and Annual Report of Co-operative Leasing Company Ltd (CLCL) for the financial year 2017/18. I am happy to report that our company recorded its highest ever Return on Average Assets (ROAA - before tax) of 6.17% along with a net profit of Rs.81.17 Mn in its journey towards sustainable growth in all spheres of business regardless of tough economic conditions.

The Sri Lankan economy recorded a moderate GDP growth rate of 3.1 % in 2017, compared to that of 4.5 % in 2016. The adverse weather condition which impacted negatively on real economic activity remains as one of the key reasons behind this slowdown. Both services and industry related activities, which together account for 92.4% of gross value added, recorded growth rates of below 4%. The agriculture related activities recorded a negative growth for the second consecutive year.

The government introduced a number of economic reforms to address the economic imbalances in terms of fiscal deficit, credit growth, inflation, foreign reserves, balance of payment and foreign exchange. The country’s prevailing tight economic policies along with the enhanced tax burden and the unstable political environment are being among the few key challenges within the indutry and therefore realignment of strategies in relation to the external environment is imperative.

G DAMMIKA GUNARATHNA
Chairman

TOP