Haycarb Group records Rs 590 m PAT

Ramani KANGARAARACHCHI

The Haycarb Group has recorded a profit after tax of Rs.590 million reflecting a growth of 3 percent over the previous year.

Chairman Haycarb Group Mohan Pandithage reviewing the annual report for the year ended 31 March 2012 said the group has consolidated and sustained its performance under a very challenging external environment.

He said the group turnover increased to Rs 8,509 million a 33 percent growth over the previous year and recorded a profit before tax of Rs724 million. Therefore, the board has recommended a payment of a dividend of Rs 5.50 per share considering the financial results for the year under review and future prospects.

The consolidated profit of Rs724 million is achieved in the backdrop of unprecedented increase in price of the primary raw material coconut shell charcoal in all manufacturing locations. The Group also adopted very bold initiatives in its procurement strategy in ensuring continuity of the raw material supplies even at significant cost penalties during the first half of the year.

During the second half of the year, the Group benefited from the proactive strategy of investing in adequate raw material inventory enabling to establish a very strong position in the local supply chain activities in both Sri Lanka and Indonesia, Pandithage said.