Sarvodaya Development Finance PLC Records LKR 1,139 Mn Profit

Sarvodaya Development Finance PLC (SDF), Sri Lanka’s fastest-growing licensed financecompany, has announced a record-breaking financial performance for the fiscal year 2024/25, underscoring its commitment to sustainable growth, rural development, inclusive finance, and agri-business empowerment. Surpassing several industry benchmarks, SDF’s achievement reflects a values-based business model calibrated for social impact, strategic clarity, and operational discipline—all in the context of a gradually stabilizing national economy.In a year marked by macroeconomic recalibration and cautious optimism, SDF achieved its highest-ever profitability, with Profit Before Tax amplifying doubling to LKR 1,139 million and Profit After Tax climbing 89.8% to LKR 473.8 million. This exceptional performance was anchored by a diversified and resilient lending portfolio, strong risk oversight, and sharpened efficiency across operations.

Key financial indicators tell the story: Total Income stood at LKR 4.37 billion (↑31.5%), Net Interest Income at LKR 2.64 billion (↑48.3%), and Total Operating Income at LKR 2.95 billion (↑47.2%). The cost-to-income ratio improved to 46.5%, down from 53.9%, and total assets surged to LKR 22.5 billion (↑51.3%). SDF’s Net Asset Value per Share rose to LKR 26.36 from LKR 23.87, reinforcing a track record of uninterrupted dividend declarations and deep-rooted financial governance.SDF was ranked the top performer in Category 4 (institutions with assets below Rs. 20 billion) by K Seeds Investments Ltd.—a title it claimed just before ascending into a higher asset class.

This accolade validates the company’s prudent risk management and its leadership’s capacity to translate purpose into performance. Capital buffers remained robust, with Tier 1 and Total Capital Adequacy Ratios well above minimum thresholds.At the heart of this financial momentum is a philosophy that transcends numbers. SDF’s continued rural outreach, Agri-Entrepreneurship Forums, cross-border knowledge transfers with India and Thailand, and tools such as drip irrigation financing and greenhouse development loans, signify a bold commitment to grassroots economic transformation.

In parallel, the company earned full membership in the Global Alliance for Banking on Values (GABV) and will host the prestigious Asia-Pacific Conference and the GABV Annual Board Meeting in Colombo this October—placing Sri Lanka on the global map for value based financing. The firm also secured a Gold Award at the TAGS Awards 2024 organized by CA Sri Lanka, for its third consecutive win for transparency, accountability, governance and sustainability excellence. ‘’Looking ahead, SDF is in discussions with international impact investors to secure low-cost development finance and accelerate outreach through a new core banking system, digital micro-lending tools, and modular product innovation.

As the institution continues to scale, it does so with humility and resolve—honouring the legacy of the late Dr. A.T. Ariyaratne, whose vision remains a guiding light in its mission to build a truly people-powered, inclusive finance ecosystem’’, Chairman Mr. Channa de Silva stated.Commenting on the year’s achievements, Mr. Nilantha Jayanetti, CEO of SDF, stated:“Our performance this year is not merely a numerical success—it is a validation of our purpose, our people, and our philosophy. In navigating an evolving economic environment, we stayed true to our core mission of empowering underserved communities through inclusive, ethical finance.

Every milestone reflects the resilience of our team, the trust of our stakeholders, and the strength of our development-focused model. As we earn global recognition and scale our impact, Sarvodaya Development Finance is not just growing—we are shaping the future of values-based banking in Sri Lanka and beyond. This is only the beginning of what we intend to achieve.”