EquityLK

Lanka Credit & Business Finance Plc

LCBF.N0000Fairly valued

Banks & Finance · Finance/Rental/Leasing

LCB Finance PLC is a licensed finance company regulated by the Central Bank of Sri Lanka that provides retail and wholesale non-bank financial services across the island through a growing branch network and digital capabilities.

LCBF shares are down 10.8% over the past year and last closed at Rs 5.80 on Sep 30, 2026.

Rs 5.80
-1.69%
Price history
-10.77%

Monthly seasonality

Monthly total returns by year and calendar month
YearJanFebMarAprMayJunJulAugSepOctNovDec
2026+7.3-3.4-9.4+0.0-7.8-2.8-14.5+3.4-4.9+0.0+0.0+0.0
2025+10.7-6.5-6.9+7.4+10.3+28.1+12.2+19.6+18.2+56.9-21.6+2.5
2024-5.6+5.9+22.2+18.2-7.7-4.2-4.3-9.1+5.0+9.5-8.7+33.3
2023+4.3-4.2+8.7-12.0-9.1+5.0+28.6+0.0-11.1-4.2-21.7+0.0
2022+0.0-13.2-39.4-15.0+17.6-15.0+5.9+27.8+21.7-14.3+0.0-4.2
2021+0.0+0.0+0.0+0.0+0.0+0.0+0.0+0.0+0.0+0.0+0.0+0.0
Average+3.4-4.3-5.0-0.3+0.7+2.2+5.6+8.3+5.8+12.0-13.0+6.3
ASPI average+3.1-2.7-4.7+2.0+0.2+0.8+3.1+2.2+3.2-0.1+1.0+3.0
Median+4.3-4.2-6.9+0.0-7.7-2.8+5.9+3.4+5.0+2.7-15.1+0.0
% up60%20%40%40%40%40%60%60%60%50%0%40%
P/E
16.1
P/B
1.33
EPS
Rs 0.36
Div Yield
2.54%
Market Cap
Rs 4.6B
Beta
1.20
ROE
8.3%
Op Margin
40.4% (-3.3pp)

Fundamentals

LineFY2026FY2025FY2024FY2023FY2022
Total income
Rs 1.3B
+36.9%
Rs 979.6M
+30.9%
Rs 748.6M
+10.6%
Rs 676.7M
+52.1%
Rs 445.0M
Operating profit
Rs 599.1M
+54.2%
Rs 388.5M
+85.1%
Rs 209.9M
-19.4%
Rs 260.4M
-7.0%
Rs 279.9M
Net profit
Rs 281.8M
+37.8%
Rs 204.5M
+84.1%
Rs 111.1M
-31.8%
Rs 162.8M
+66.8%
Rs 97.6M
EPS
0.36
+38.5%
0.26
+85.7%
0.14
-33.3%
0.21
+70.0%
0.12

Compared with the same period a year earlier.

Parent company only. Subsidiaries are not included.

Per-share figures are as reported, not adjusted for splits.

Recent dividends

  • 2026Rs 0.15
  • 2022 · finalRs 0.06
Peer comparison5 peers in Banks & Finance
Sector overview Open in screener
1Asia Asset Finance PLC
AAF.N0000
Rs 46.00
P/E
5.0
P/B
1.53
ROE
24.73%
Yield
1.10%
2Sarvodaya Development Finance PLC
SDF.N0000
Rs 37.90
P/E
6.9
P/B
1.23
ROE
19.32%
Yield
5.28%
3Merchant Bank of Sri Lanka & Finance PLC
MBSL.N0000
Rs 9.90
P/E
-
P/B
1.25
ROE
3.48%
Yield
0.00%
4Lanka Credit & Business Finance Plc
LCBF.N0000 · this company
Rs 5.80
P/E
16.1
P/B
1.33
ROE
8.34%
Yield
2.54%
5PMF Finance PLC
PMB.N0000
Rs 9.00
P/E
9.9
P/B
1.05
ROE
10.81%
Yield
0.00%
6Softlogic Finance PLC
CRL.N0000
Rs 3.60
P/E
60.6
P/B
1.16
ROE
4.88%
Yield
0.00%
Peer median · 5 companies
P/E 8.4P/B 1.23Yield 0.00%

About Lanka Credit & Business Finance Plc

LCB Finance PLC is a licensed finance company regulated by the Central Bank of Sri Lanka that provides retail and wholesale non-bank financial services across the island through a growing branch network and digital capabilities. The company focuses on serving rural communities and small and medium-sized enterprises (SMEs), with an emphasis on financial inclusion and support for income-generating activities in underserved regions. Its product offering covers a broad set of deposit and lending products, including savings accounts, fixed deposits and investment accounts, leasing and personalized leasing solutions, personal and business loans, SME financing, microfinance and micro loans, gold loans, education and housing loans, revolving credit and trade finance. The business places strategic emphasis on trade finance, lease finance and gold loans as foundations for future growth. LCB Finance also discloses sustainability and governance information aligned with Global Reporting Initiative (GRI) Standards and has initiatives to strengthen ESG practices, including measures to reduce environmental impact at selected branches.

Interest RatesGold & Pawning

AI analysis

bearish

Evidence points bearish: June net profit fell 6.3% while the shares are more expensive than 74% of their own recorded days. Operating profit still rose, the clearest offset.

Read the full report (Sep 25, 2026) →

News sentiment

Describes news flow, not a forecast
Last 30 days
Not enough news to read

1 article in 30 days: 0 positive, 1 negative, 0 neutral.

24 months positive negative 3-month net
Mar 25: 1 articles, net +1.00Jun 25: 5 articles, net +0.05Apr 26: 1 articles, net +1.00Jun 26: 3 articles, net -0.33Sep 26: 1 articles, net -1.00Oct 24Feb 25Jun 25Oct 25Feb 26Jun 26
Recent news
View all news →
Daily FT·Sep 2, 2026·Market commentaryPositive
Bond market yields continue to decrease on key tenors; activity robust

Secondary government bond yields fell across key tenors while buying interest remained strong; a Treasury Bill auction today will offer Rs.80 billion (Rs.35bn 91-day, Rs.25bn 182-day, Rs.20bn 364-day). Money-market liquidity stayed in a Rs.138.76bn surplus and the Central Bank conducted repos to absorb liquidity.

Interest Rates
Daily FT·Aug 19, 2026·Regulatory or legal
Seminar on 'Changes to Sri Lanka's Anti-Money Laundering Regime' on 20 Aug.

A seminar on changes to Sri Lanka's AML/CFT regime will be held on 20 Aug to examine three amendments passed on 9 July 2026 strengthening anti-money laundering and counter-terrorist financing laws. The event targets compliance officers of banks and financial institutions and will cover practical and regulatory implications.

Daily FT·Jun 18, 2026·Regulatory or legalNegative
Former Industrial Finance depositors seek redress over share conversion losses

Former depositors of Industrial Finance Ltd (now Lanka Credit & Business Finance PLC) seek regulatory redress, alleging deposits converted into shares at Rs.10 were diluted by a 2021 private placement and share consolidation and lost substantial value. LCBF rejects claims, citing a 2018 acquisition, capital infusions and improved net asset value by listing.

Daily FT·Mar 13, 2026·Market commentary
CSE ends down 1.6% to below 22,000 points on Mideast concerns

ASPI fell 1.63% to 21,998.12 as Middle East tensions and higher oil prices weighed on the Colombo market. S&P SL20 dropped 1.71% to 6,172.28 with broad declines led by JKH, HNB, MELS, HAYL and SAMP; turnover topped Rs.4.1bn and foreigners were net buyers of Rs.32.2m.

Fuel & Energy Prices
Daily FT·Mar 12, 2026·Market commentary
Profit taking drags CSE down 0.12%

ASPI fell 0.12% to 22,351.55 as profit-taking dragged the Colombo market, with declines in MELS, DOCK, CARS, SPEN and LLUB; market turnover was over Rs.4.3bn and foreign investors were net sellers of Rs.21.36m.

Banks & Finance sector: what is happening

Last 14 days to Sep 30, 2026

With policy held at 8.75% amid 8.0% inflation, and Treasury and secondary bond yields rising during the window, banks face continued pressure to reprice deposits and loans while government-securities portfolios remain sensitive to yield moves. The rupee weakened and foreign investors sold rupee bonds for a second week. From 1 November, TIN verification will be required for bank accounts and credit cards, adding onboarding compliance.

The stories behind it

Auto-generated from 45 sector news articles over 14 days. Not investment advice.