The company has undergone a change in management in 2009 and subsequently was accredited with the certificates from United Kingdom and USA for Quality Management Compliance under ISO 9001:2000 which had been audited by Bureau Veritas.
Despite being a relatively new entrant into the finance sector, the company's performance under the new management has proved the strength of its revolutionary strategy.
The Interest Income and Interest Expenditure Gap - the core income of the company grew a staggering 700% from Rs. 10 million to Rs. 70 million per month from 2009 to 2010, while the Cost to Income Ratio fell from 85% to 45%, well below the industry average of 83%. Monthly collections have recorded an increase from Rs. 60 million in 2009 to 300 million at the end of 2010, which is a 500% growth. The Gross NPL ratio fell from 12% to 2%.
The Company has recorded tremendous growth in 2010 and is expected to record a profit of Rs. 400 million for the current financial year. This comes in the wake of making losses in the year 2009. This growth is supposed to be the best in the industry company officials said.
The asset base stood at Rs. 1.5 billion at the time management change and ownership took place. The company's current asset base stands at Rs. 4.4 billion, and the company is confident this figure will reach Rs. 6 billion by the end of the financial year in March 2011, making the company one of the largest finance companies in the country.
Commercial Credit opened its newest branch in Ratnapura recently to serve its growing customer base in that region. Ayesh Pitigala Regional Manager Commercial Credit said "Our aim is to help the people of Ratnapura realize their financial aspirations through the variety of flexible services that we offer, facilitating the district's economic empowerment" he added.
Commercial Credit's performance over the previous year is an indication of the company's strength and potential growth in the future. According to Commercial Credit Chief Executive Roshan Egodag these performances will truly showcase the demand and interest for the company when it goes public in June 2011.
source - www.dailymirror.lk
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Commercial Credit Limited, a finance house in Sri Lanka is expected to go public in June, following the Central Bank's directive asking all finance companies to list in the Colombo Stock Exchange by 2011.
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