Sri Lanka’s Hayleys profits up 6 pct to Rs629mn

Nov 11, 2015 (LBO) – Profits at Sri Lanka’s diversified Hayleys group rose 6 percent to 629 million rupees in the September 2015 quarter from a year ago supported by its transportation, activated carbon and textiles business, interim accounts showed. “The transportation and logistics sector contributed a notable increase to the bottom line during the six month period from the previous year as the sector continues to grow its business interest through new business opportunities and increasing existing business lines,” Hayleys said in a statement. The agriculture sector profitability “rose significantly” from the previous year as it continued to expand its agro base and diversify into new high export potential crops like seaweed, the company said. “The purification products sector also posted robust results as local and global demand for purification products continued to rise in the six month period.” The company said its textiles sector continued its growth momentum after its successful restructuring and re-launch under a new corporate identity ‘Hayleys Fabric’. The firm reported earnings per share of 8.39 rupees for the September quarter 2015 compared to the last year earnings of 7.89 rupees on profits of 1,144 million rupees. The group revenue declined 4 percent to 21,996 million rupees in the September quarter 2015. Cost of sales also declined 6 percent to 16,502 million rupees in September quarter compared to 17,610 million rupees recorded in same period last year. This resulted in gross profit of the firm to increase 5 percent to 5,494 million rupees for the quarter ending September 2015. “Most of the sectors continue to perform strongly despite a challenging operating environment, indicative of the resilience of the Group,” said Mohan Pandithage, chairman and chief executive of Hayleys PLC. “We look forward to gaining momentum during the remainder of the year.”