Richard Pieris 9-month revenue up 14%; profit up 33%

The Richard Pieris Group has posted a Group revenue of Rs. 32 b, with a 14% growth from the previous year. The Group PBT for the first nine months amounted to Rs. 2.7 b, which is a 33% growth compared to previous year. 

In a statement the company said all business sectors with the exception of the Plantation sector performed well with many activities. The Plantation sector continued to suffer with the declining prices and the volumes of the crops. The reported profits represent business profits, and do not include any gains of a capital nature. 

The Retail sector of the Group comprises Arpico Supercentres, Super stores and the network of Arpico outlets scattered island wide. The third quarter was the busiest period in the year for the sector with the seasonal peak in the month of December 2015.  The sector continued its focus on marketing activities through a sensational and successful seasonal campaign themed ‘Thrilling Christmas,’ which was activated across all retail brands, rewarding 50 families to experience eight international theme parks across the Middle East and South East Asia. 

The sector also began commercial operations in an Arpico Daily outlet in the town of Palanwatte during the quarter under review. 

The Plastics and Distribution sector continued its success of 2014/15 and reported a growth of 75.3% in its reported operating profit over and above last year. 

The Ayu mattress/hybrid mattress introduced to the market continues to develop the market share and the consumer promotion ‘Nidaganna Piyabanna’ created a lot of excitement amongst consumers, driving the mattress volumes. 

The Plantation sector of the Group experienced a very challenging first nine months facing many adverse factors. 

The Richard Pieris Group possesses three of the largest plantation companies in the country with diverse crops which includes high grown, mid grown and low grown tea, rubber, oil palm, coconut, cinnamon, cardamom, rambutan and other crops contributing to more than 15% of Group revenue. 

During the period under review the Tyre sector recorded a growth of 16% in its operating profits over the corresponding period of the previous year. The sector expanded its retreading distribution channel to north during the period under review. 

The Rubber Manufacturing sector continued its success reporting 29% growth in operating profits over the corresponding period of the previous year. 

Sales volumes continued to increase in the sector due to market expansion activities and enabled by strategic investments made in the recent past. 

The Financial Services sector of Richard Pieris Group consists of its own life insurance, stock broking, fund management and a finance company. The sector reported a 253% growth in its operating profit over the corresponding period of the previous year. 

Arpico Insurance PLC’s new branches were opened at Kegalle and Ambalantota during the period under review. 

Richard Pieris & Co. PLC is a diversified business conglomerate with a rich history of 83 years. Its flagship brand Arpico is one of the most powerful local household brands in Sri Lanka for over 50 years, serving the community with a diverse range of products across many sectors such as Manufacturing, Plantations, Financial Services, Exports, FMCG, Construction, Logistics, Educational Services and Retail. 

The Retail sector led by its flagship brand Arpico Supercentres operates one of the largest modern trade chains in the country. A diverse melting pot of talent, comprising a workforce of over 31,000, Richard Pieris & Company PLC is one of the largest employment providers in the private sector in Sri Lanka.