Panasian Power continues successful 2018 with 1,380% growth in PAT

Thursday, 16 August 2018 00:48 - - {{hitsCtrl.values.hits}}

Panasian Power PLC, one of Sri Lanka’s leading green energy solutions providers, posted a consolidated net profit of Rs. 99 million for the quarter ending 30 June. This represented an incredible growth of 1,380% compared to the same period last year. Revenue also grew during this period by 134% to reach Rs. 177.7 million. Operating profit for the quarter increased to Rs. 138.7 million from Rs. 40.3 million during the same period last year.

These stellar results were attributed to contributions from the Padiyapelella, Manelwala and Rathganga mini hydropower plants, both of which have Standardised Power Purchase Agreements (SPPA) with the Ceylon Electricity Board (CEB) to supply all of the energy generated to the national grid. The period under review also saw Panasian Power record its first solar power income.

The company was also able to increase margins during the quarter by exercising prudent cost control practices which brought down direct expenses and finance costs. This resulted in direct expenses of Rs. 19.5 million compared to Rs. 22.9 million during the same period last year and a finance cost of Rs. 25.8 million compared to Rs. 33.6 million during the same period last year.

Commenting on these strong results, Panasian Power Chief Executive Officer Dr. Prathap Ramanujam said: “This monumental growth is validation of the steps we took last year to aggressively seek bottom line growth as well as the many processes put in place to reduce overall costs. We fully expect these figures to improve further over time as power generation increases at the plants and with greater contribution coming from our solar power investments. With several solar projects in the pipeline, as part of our continued energy diversification plans, and as we continue to explore new opportunities both here and abroad, we are that much closer to realising our ultimate goal of securing a clean energy future.”

Speaking about the company’s future, Panasian Power General Manager and Executive Director Pathmanatha Poddiwala said: “We have already begun construction on another 900 Kw rooftop solar plant in Kelaniya and a one MW ground solar plant is expected to begin construction during the second quarter of this financial year. Furthermore, we have entered into an agreement to build and operate a 2.9 MW rooftop solar plant in the Kurunegala District which is expected to be commissioned during the third quarter of this financial year.”

On the back of strong year end results Panasian Power issued a dividends of Rs. 0.13 per share in July 2018. As of 30th June the Net asset value per share stood at Rs. 2.79 up from Rs. 2.45 during the same period in 2017.

Panasian Power PLC was incorporated in 2002 owns and operates mini hydropower plants and supplies electricity directly to the Ceylon Electricity Board.

In 2017 the company diversified into solar energy to meet its revised target of having an energy portfolio of 30MW by 2020.