Hayleys rebounds to post highest ever pre-tax profit of Rs. 5.1 b

Wednesday, 21 May 2014 01:42 - - {{hitsCtrl.values.hits}}

FY 2013/14 turnover tops Rs. 80.5 b

Hayleys Group, one of the nation’s leading conglomerates, said yesterday it has posted a Profit Before Tax of Rs. 5.1 b in FY 2013/14, marking it as the highest ever figure in its history. The strong bottom line (up by 3% over the previous year) was attributed to commendable performance during the financial year, across a majority of the Group’s many diverse sectors, Hayleys said in a statement.

In a filing to the Colombo Stock Exchange, the blue chip conglomerate reported a revenue growth of 8% from the previous financial year amounting in value terms to Rs. 80.5 b. The Group’s PBT grew to Rs. 5.1 b whilst PAT amounted to Rs. 3.7 b from Rs. 3.5 b in 2012-13. Earnings per share of the group rose to Rs. 24.11 from Rs. 23.48 in the previous financial period. Hayleys also announced a first and final dividend of Rs.5.00 per share. Speaking on the performance of the Group, Hayleys PLC Chairman and Chief Executive Mohan Pandithage noted: “This year’s operating environment, as always, provided a blend of opportunities and challenges and I believe we have effectively dealt with both, in the spirit of sustainable business, to deliver value to all our stakeholders.” Transportation and Logistics infused a strong contribution to Group performance with an annual revenue of Rs. 11.9 b and a PBT of Rs. 1.25 b. The sector continued to leverage several decades of experience in this industry and set pace to gear itself to take advantage of opportunities that are arising out of Sri Lanka’s move towards becoming a vibrant maritime and aviation hub status. Under the Global Markets and Manufacturing Sector, Purification Products garnered a turnover of Rs. 10.3Bn and for the second consecutive year posted PBT of Rs. 1.03 b. Despite unrelenting increases in input costs, purification products benefited from volume growth, enhanced efficiencies, new market development and commercialisation of new and existing value added products. In spite of the many operational challenges, Hand Protection remained resilient in the face of a difficult year, to record a PBT of Rs. 910 m. Construction Materials sector recorded PBT of Rs. 464 m, and during the reporting period Alumex Ltd. was listed on the Colombo Stock Exchange, in an Initial Public Offer, to become the 11th listed company within the Hayleys Group. Agriculture and Plantations as a sector demonstrated sound returns despite escalating industry costs. Plantations recorded PBT of Rs. 704 m in spite of absorbing a wage increase during the year. Agriculture posted a PBT of Rs. 639 m during the year. Leisure and Aviation witnessed positive outcomes with perceptible returns on investments. The sector reported PBT of Rs. 538 m, with strong contributions from the resorts segment under the Amaya brand and the Group’s flagship city hotel, The Kingsbury. The Power and Energy sector further entrenched itself as an increasingly significant contributor to renewable power generation in Sri Lanka. Performance-wise, Power and Energy recorded a PBT of Rs. 769 m up from Rs. 494 m in 2012-13. Speaking on the conglomerate’s future outlook, Pandithage noted: “The diversity of the Group has assisted Hayleys to cushion the challenges of the operating environment. Going forward, we will continue to place emphasis and focus on the core growth areas whilst driving growth to enhance the scope of our operations across all sectors.” The Board of Directors of Hayleys PLC comprises Mohan Pandithage (Chairman and Chief Executive), Dhammika Perera (Deputy Chairman), Rizvi Zaheed, Nimal Perera, Sarath Ganegoda, Rajitha Kariyawasan, Dr. Harsha Cabral PC, Dr. Mahesha Ranasoma, Mangala Goonatileke, Lalin Samarawickrama, Ruwan Waidyaratne, Shyamalie Weerasooriya (alternate to Dhammika Perera) and Mohamed Jamaldeen.