LankaClear PBT grows 32%

LankaClear said that the company's profit before tax grew by 32 percent despite a decline of net revenue by 12 percent compared to the previous year. The decline in the revenue was mainly attributed to the loss in income from front-end services provided by the company to the banks on cheque scanning after all Banks migrated to the CD Submission mode from the physical cheque submission mode in July 2010.

However, the company had been able to reduce the cost of sales by 33 percent due to this migration and a significant reduction in maintenance costs. The company recorded a profit before tax of Rs. 162 m and a profit after tax of Rs. 91 m.

The company maintained a net profit margin of 26 percent, which was an improvement from the previous year's 21 percent. The company also maintained a debt : equity ratio of 7 : 93.

Earnings per share increased from Rs. 5.30 to Rs. 6.04 and Net Assets per Share increased from Rs. 38.72 to Rs. 43.59.