CIC Holdings ups 9-month profit by 14% to Rs. 3.2 b

Monday, 24 January 2022 02:59 - - {{hitsCtrl.values.hits}}

CIC Holdings Chairman Harsha Amarasekera

CIC Holdings PLC has announced a strong performance at the end of the third quarter of the financial year 2021/22 to record a profit after tax of Rs. 3.2 billion, up 14% over the corresponding period of FY21.

Despite facing numerous challenges, CIC Holdings ended the third quarter with a turnover of Rs. 29.9 billion in the first nine months which was an increase of 6% from a year earlier. In the 3Q, revenue grew by only 1.5% to Rs. 11.3 billion whilst profit after tax declined by 2.87% to Rs. 1.8 billion.

The agriculture rich diversified conglomerate CIC faced challenging times following the Government’s ban on chemical fertiliser and agrochemicals in early part of 2021. However, the Groups initiatives to move into organic ventures and focus on new generation fertilisers, along with enhancing its Public Health Product portfolio helped CIC to minimise the impact of the chemical ban on its key crop solutions sector.

CIC said it viewed the Government’s decision to ease the ban on chemical fertilisers and agrochemicals in November last year as a step in the right direction and this is expected to enhance agricultural production yields in the coming months.

CIC’s all other sectors within the group namely Livestock Solutions, Industrial Solutions, Health and Personal Care and Agri Produce showed significant top line and bottom-line growth. Livestock Solutions was the standout performer posting a turnover growth of 36% and PAT growth of 38% over the corresponding period of the previous year.

Despite numerous challenges stemming from the outbreak of the COVID-19 pandemic the Group said it ensured continuity of all its businesses while operating under strict guidelines of the relevant authorities.

“The Group will continue to grow its businesses through prudent management and cost rationalisation options, across all its operations with a view of ensuring continued value creation to all stakeholders,” CIC said in a statement.