Laugfs records Rs 1.2 b PBT

Laugfs Gas PLC and subsidiaries announced yesterday that the group surpassed Rs 1.20 billion profits before tax PBT for the financial year ended March 31, 2011 and it is a phenomenal increase in profits before tax by 107 percent over the previous year.

W K H Wegapitiya

The group, according to the unaudited financial statements for the year ended March 31, 2011, released to the Colombo Stock Exchange, had posted a profit after tax (PAT) of Rs 1.0 billion which is 90 percent over the corresponding period last year.

During the year under review, company’s revenue also increased by 30 percent from Rs 5.6 billion to Rs 7.3 indicating robust performance. The Laugfs Gas PLC and its subsidiaries also increased the value of its assets base by 48 percent from Rs 6.2 billion last year to Rs 9.2 billion as at the end of March 31, 2011. The net assets value for the year increased from Rs 2.8 billion to Rs 6.3 billion. The group’s current assets are 1.6 times over its current liabilities and it reflects very healthy and strong liquidity and working capital position.

Laugfs Gas Chairman W K H Wegapitiya commenting on the performance of the company and the group, said, although the results are very impressive the full potential of the company is yet to be exploited.

He added that they are looking forward to achieve very much better results in the immediate future since the fundamentals have put in place internally which should be complemented with conducive business environment created. However he noted that surpassing over rupees one billion profits earned was an important landmark for a comparatively young business enterprise but having had to face numerous obstacles on its way and stiff competition from its formidable contenders in business.

Laugfs Gas PLC is on a vigorous growth path and believes that it has captured the major share of the expanding market of LP Gas in this country and its distribution network now covers the entire island including that of North and East which appears to be a very promising market segment with the dawn of peace and economic activity gathers momentum in the two provinces.

As far as the performance of the group during the final quarter of the period under review indicated strong performance where its revenue increased by 27 percent to Rs 1.98 billion from Rs 1.56 billion.

The profits after tax for the final quarter for the group stood at Rs 251.48 million which is an increase by 74 percent from Rs 144.78 million for the corresponding quarter in the previous year.