News & market updates

Colombo bourse rose with the ASPI up 0.9% (115 pts) and turnover jumping to Rs.5.1bn, boosted by crossings and heavy banking-sector activity. Top contributors included Sampath Bank, Commercial Bank, John Keells, Hemas and NDB, with a net foreign outflow of Rs.246.3m.

Colombo Stock Exchange closed higher as ASPI rose 0.88% to 13,164 and the S&P SL20 gained 1.06% to 3,917, with turnover Rs5bn and Rs2.7bn in banking stocks. The banking sector drew local investor interest after the government set a deadline for the ISB exchange, with Sampath Bank among top turnover names.

The Local Consortium of Sri Lanka, holding about 12% of outstanding ISBs, has committed to participate in the government's $12.55bn ISB Exchange Offer and Consent Solicitation. Members (including Commercial Bank, DFCC, HNB, NDB, Nations Trust, Pan Asia and Seylan) will take part in the Local Option.

APB hosted a CPDC session where NCGIL CEO Jude Fernando outlined a proposed credit guarantee scheme to improve MSME access to finance and lower lending risks for banks.

Members of the Local Consortium of Sri Lanka, including several domestic banks, committed to participate in the government's exchange of US$12.55bn of defaulted international sovereign bonds; local holders own about 12% and a local‑option offers instruments denominated in LKR and USD.

A local consortium of eleven banks and financial institutions, including Commercial Bank, HNB, DFCC, NDB, Nations Trust, Pan Asia and Seylan, committed to participate in the Government's exchange offer to restructure US$12.55bn of ISBs; the consortium holds ~12% of outstanding ISBs.

Nations Trust Bank launched Sri Lanka’s first Mastercard Touch Card, a debit card with a rounded notch designed to help visually impaired cardholders. The card was developed with a global manufacturer and reviewed by VISIONS and the RNIB.

Colombo Stock Exchange closed down: ASPI fell 1.00% to 12,982 and S&P SL20 fell 1.49% to 3,860, with turnover Rs7bn led by banks and a net foreign outflow of Rs211mn. Top negative contributors included John Keells, Commercial Bank, Sampath and Browns, while DFCC and CDB were top turnover generators.

Colombo market slipped on profit-taking: ASPI fell 0.95% (126 pts) and S&P SL20 fell 1.6% on turnover of Rs.6bn. John Keells, Hatton National and Sampath were major decliners while SERV and MARA saw investor interest; foreigners were net sellers of Rs.772.5m.

A seminar on 27 Nov will outline Central Bank-issued corporate governance directives for licensed banks, which take effect 1 Jan 2025 and include requirements such as a minimum of 12 board meetings per year and vacancy for directors missing more than three meetings.

Nations Trust Bank (NTB) has launched Sri Lanka’s first Mastercard Touch Card, a debit card with a rounded notch to help visually impaired and partially sighted cardholders. The card was developed with a global manufacturer and reviewed by VISIONS and the RNIB.

Colombo stock market ended the shortened General Election week higher, with ASPI up 3.1% and the S&P SL20 up 3.8% and average weekly turnover of Rs.4.37 billion. Banking counters (Sampath, Commercial Bank, DFCC, Nations Trust, Pan Asia) led gains and turnover, while Browns Investments and several hotels and finance stocks saw notable investor interest.

Colombo Stock Exchange closed higher on Nov 14: ASPI +0.56% to 13,198 and S&P SL20 +1.23% to 3,986, with turnover Rs3.7bn. Most activity was in banking stocks (Rs1.6bn); top contributors were Sampath Bank, Commercial Bank, DFCC Bank, Nations Trust Bank and Browns Investments.

Nations Trust Bank PLC reported Profit After Tax of Rs.12.0 billion for the nine months to 30 Sep 2024, up 29% YoY. Tier I capital was 15.84% (total CAR 17.12%), LCR 305%, ROE 24.25% and EPS rose to Rs.37.30 (from Rs.28.93).

Colombo market extended its pre-election rally as the ASPI gained 136 pts to 13,125 and the S&P SL20 neared 4,000 on turnover of Rs.7bn. Banking stocks led the advance (Sampath, DFCC, NDB, NTB, JKH, LOLC, MELS, CTHR among contributors) and several firms (ASIY, GRAN, TAFL, GLAS) announced interim dividends.

Nations Trust Bank PLC reported PAT of LKR 12 Bn for the nine months to 30 Sep 2024, up 29% YoY, with ROE of 24.25% and EPS of LKR 37.30. The bank cited strong capital and liquidity: Tier I 15.84%, Total CAR 17.12% and LCR 305%.

Banks, regulators and SMEs met at the Presidential Secretariat to discuss SME loan repayment difficulties and parate execution; the parate execution law has been suspended until Dec 15. The Central Bank and commercial banks will evaluate temporary suspension of debt recovery and compile a report to design relief.

Colombo Stock Exchange ASPI rose 0.57% to 12,800 on Friday with turnover Rs2 billion and net foreign inflows of Rs199 million. Top turnover generators included Royal Ceramics, Dipped Products, Lanka Milk Foods, John Keells and Sampath Bank; banking stocks showed mixed moves.

Nations Trust Bank partnered with COYLE to support the COYLE 2024 Leadership Forum and the launch of the Future Founders initiative, signing MoUs with three schools and backing a planned seed fund and Entrepreneurial Development Centre.

John Keells Holdings (JKH) reported Q2 FY2024/25 group EBITDA of Rs.8.09bn, down 4% YoY; excluding pre-opening costs for the Cinnamon Life hotel, EBITDA rose 8% to Rs.9.28bn. The 687-key Cinnamon Life opened on 15 Oct 2024, a rights issue raised Rs.24.04bn, and WCT-1 port works are progressing.

John Keells Holdings PLC (JKH) reported 2Q group revenue up 20% to Rs.76.96 billion and group PBT of Rs.2.27 billion, and declared a first interim dividend of 5 cents per share. Group EBITDA fell 4% due to substantial pre-opening costs for the Cinnamon Life hotel; excluding City of Dreams, 2Q EBITDA rose 8%.

Kavinda de Zoysa has been appointed Chairman of Bank of Ceylon; he is a career banker with over 30 years’ experience and was most recently Director and Country Business Head of Citibank Sri Lanka, with a track record in digitization and corporate banking.

COYLE held its 2024 Leadership Forum at Shangri‑La Colombo, partnered with Nations Trust Bank and launched the Future Founders initiative, signing MoUs with three schools to promote entrepreneurship at the school level.

President Dissanayake met with the Sri Lanka Banks' Association and pledged to fast-track digital transformation, including a National Digital ID to be implemented within 1.5 years, while committing to protect and support banks and entrepreneurs amid economic challenges.

Colombo Stock Exchange closed up: ASPI +1.07% to 12,745 and S&P SL20 +1.71% to 3,855 on turnover of 3.9 billion. Top turnover generators included HNB, Sampath, Commercial Bank, Lanka IOC and CIC, with a net foreign outflow of 12.21 million rupees.

Colombo Stock Exchange ended the week in green: ASPI rose 0.35% to 12,517 and turnover was Rs4.7bn, with Sampath Bank and Hatton National Bank contributing over Rs1bn and Rs1.3bn respectively. Net foreign outflow was Rs186m and Lion Brewery announced a Rs17.3/share dividend.

Colombo Stock Exchange closed higher: All Share Index +0.27% to 12,290 and S&P SL20 +0.17% to 3,613 on turnover of Rs 1.7 billion. Top movers included Dialog, Digital Mobility, Dipped Products, Maskeliya and Hemas, with net foreign outflow of Rs 317 million and mixed foreign buying/selling across counters.

Acuity forecasts 20–40% upside for listed commercial banks (COMB.N0000, HNB.N0000, SAMP.N0000, NTB.N0000) from ISB restructuring, expecting provision writebacks of c.12–15%. The report anticipates the bond exchange in ~2–3 months and estimates NAV gains of ~Rs.50 for HNB and ~Rs.20 for COMB.

Hayleys PLC and John Keells Holdings are platinum sponsors of CA Sri Lanka's 45th National Conference, held 14–16 October. Other shortlist companies sponsoring the event include Nations Trust Bank (exclusive banking partner), Nawaloka Hospitals PLC (exclusive healthcare partner), LB Finance, Capital Alliance, DIMO, Sunshine, C. W. Mackie and Lanka IOC.