ODEL posts strong nine month growth

Consistent growth in sales across the chain and the expected seasonal spike in December 2010 have combined to generate robust nine-month fiscal results for ODEL.

In results released to the Colombo Stock Exchange the Group said it had posted pre-tax profit of Rs 287 million for the nine months ending December 31, 2010, reflecting a growth of 61 percent over the corresponding period of last year.

Profit after tax for the period topped Rs 176 million, up 43 percent YoY, while turnover was up 42 percent to Rs 2.49 billion, the filing said.

The nine months reviewed encompasses two quarters as a public listed company, consequent to ODEL’s milestone initial public offer of July 2010.

Pre and post tax profits for the three months ending December 31, 2010, traditionally one of the strongest quarters on account of the festive season, reflected increases of 56 percent and 35 percent respectively over the third quarter of 2009-10.

The Group’s basic earnings per share for the full nine months grew by 43 percent to Rs 1.29 from 90 cents for the first three quarters of the previous year.

ODEL founder and CEO Otara Gunewardene said the ODEL formula of being at the leading edge of fashion, combined with the unique shopping experience continues to underpin growth. “Expansion of the store network has also contributed significantly to our figures together with strong same store growth. We are confident of seeing this positive trend continue with the increase in tourism and planned development of the country,” she said.