Sri Lankan financial conglomerate posts LKR 2.28 billion consolidated profit, driven by robust performance across all business verticals

Sri Lanka’s emerging financial services conglomerate JXG (Janashakthi Group) has announced impressive first-quarter results for FY26, reporting a consolidated net profit after tax (NPAT) of LKR 2.28 billion for the quarter ended June 30, 2025.

The Group’s strong performance was underpinned by robust revenue growth of 41% year-on-year, with consolidated revenue reaching LKR 8.36 billion. The results reflect outstanding contributions across JXG’s key business verticals, with the insurance segment leading the charge.

Insurance Arm Delivers Stellar Performance

Janashakthi Insurance PLC, the Group’s flagship insurance subsidiary, recorded a standout performance with NPAT of LKR 1.32 billion for the quarter—a significant 70% increase compared to the same period last year.

The insurance arm’s success was driven by exceptional new business growth, with regular first-year premiums soaring 73%. This performance reflects the company’s strategic focus on customer acquisition and enhanced channel engagement initiatives.

Investment Banking Division Shows Strong Growth

First Capital Holdings PLC, JXG’s investment banking vertical, continued to be a major contributor to group performance, posting NPAT of LKR 2.15 billion—a substantial increase from LKR 582 million in the corresponding quarter last year.

The division’s Primary Dealing and Corporate Dealing Securities units capitalized effectively on the moderate decline in interest rates, securing a strong market position in both debt and equity securities markets.

Finance Vertical Reports Inaugural Results

Janashakthi Finance PLC, reporting its first quarterly results following its recent rebranding, contributed NPAT of LKR 59.90 million for the quarter. The finance and leasing vertical demonstrated solid operational momentum with net operating income surging 35% year-on-year to LKR 671.59 million.

This growth was driven by increased interest income and significant expansion of the loans and receivables portfolio, which grew to LKR 23.81 billion compared to LKR 16.61 billion in the same period last year—representing a 43% increase.

Leadership Optimistic About Future Prospects

“This quarter’s results mark a meaningful milestone in our Group’s journey as a financial services group,” commented Chandan de Silva, Group Chairman of JXG. “The strong performances across our subsidiaries reflect the strategic clarity and executional discipline that guide our efforts. As we continue to strengthen our fundamentals and scale, we remain focused on delivering consistent performance and long-term growth.”

Ramesh Schaffter, Managing Director/Group CEO of JXG, expressed satisfaction with the results: “We’re pleased to report a strong start to FY26, with first-quarter results ahead of expectations. This encouraging performance reflects the strength of our team, and our ability to execute with focus and agility.”

Schaffter acknowledged the dynamic nature of Sri Lanka’s economic environment while expressing confidence in the group’s ability to navigate challenges: “While the broader Sri Lankan economy remains dynamic, we are committed to navigating the evolving environment with strength and discipline. Building on this positive momentum, we look forward to unlocking new opportunities to expand our contribution to the financial sector and the broader economy.”

Strong Foundation for FY26

The solid Q1 FY26 results position JXG well for the remainder of the financial year, with the Group continuing to accelerate performance across its core subsidiaries while deepening its commitment to operational excellence.

The results reinforce JXG’s commitment to strategic execution and stakeholder value creation as the conglomerate continues to establish itself as a significant player in Sri Lanka’s financial services sector.

Key Financial Highlights – Q1 FY26:

• Consolidated NPAT: LKR 2.28 billion
• Consolidated Revenue: LKR 8.36 billion (41% YoY growth)
• Janashakthi Insurance NPAT: LKR 1.32 billion (70% YoY growth)
• First Capital Holdings NPAT: LKR 2.15 billion (vs. LKR 582 million previous year)
• Janashakthi Finance NPAT: LKR 59.90 million (inaugural quarterly results)