Expolanka Holdings posts Rs. 335 m PAT for Q1
Expolanka Holdings PLC sustained its consolidated NPAT for the first
quarter of FY 2012/13 at Rs. 335 million, with a consolidated NPBT at Rs.
461 million.
Group CEO of Expolanka Holdings PLC Hanif Yusoof |
Group CEO of Expolanka Holdings PLC, Hanif Yusoof said “more focus
was given towards consolidating our existing businesses with investments
in freight & logistics and travel & leisure. Our sustained growth
strategies have yielded in a 24 % growth in our revenue which has seen
our revenue levels growing from Rs. 8.4 billion to Rs. 10.4 billion.”
During the quarter the group acquired a few strategic and synergistic
investments. In particular, Akquasun Holidays India and Expo Freight USA
had notable positive impact on the consolidated revenue as well as on
the overall profit levels of the company during the quarter under
review. The freight and logistics sector of the Group contributed to
NPBT Rs. 326 million and the other three key sectors - international
trading & manufacturing, travel & leisure and strategic investments and
services- contributed a PBT of Rs. 135 million to the Group.
The core sector, freight and logistics contributed for 18 % growth in
its revenue levels in relation to previous year. During the first
quarter the company had initiated in making investments in North
America, China and Hong Kong. A drop of 9 % in operating profit was
noted in this sector in comparison to the first quarter of the previous
year.
This was partially as a result of costs incurred for both
infrastructural development and process improvements with a view to take
our core sector to the next level.
The travel and leisure sector recorded growth both in its revenue and
profit levels. The increase in revenue was mainly due to the inclusion
of newly acquired company, Akquasun Holidays India, a leading
destination management company with notable global presence. The
operating profit of this sector increased significantly from Rs. 15
million to Rs. 61 million.
This increase was driven by the performance of our ticketing & travel
company, Classic Travels and also partly due to the performance of the
new acquisition. Inbound operations of this sector performed well and
significant contributions were made particularly from Akquasun Holidays
India.
International trading and manufacturing sector revenue grew by 16 %
over the previous year. Whilst the middle-east economic and geopolitical
crises is showing signs of improvement, the sector experienced
significant increase in the revenue levels particularly in the tea
segment and these businesses were also more profitable primarily by
adopting suitable strategies.
The sector operating profit generated was Rs. 114 million as compared
to a loss of Rs. 7.8 million operating loss which was recorded during
the same period last year. The sector generated Rs. 67 million as profit
before tax in comparison to Rs. 25 million losses before tax during last
year.
Investments and Services sector recorded 5 % growth in revenue
whereas the operating profit declined from Rs. 27 million to Rs. 22
million in the current year. The GSA segment managed to sustain its
profit levels and also generated higher cash-flows while the outstanding
performances of the tertiary education institute continue to show
positive growth momentum in the current quarter as well.
“Our focus for the Freight Logistics Sector would be to continue
towards increases in our volumes and maintaining our yield levels. We
are actively attempting to consolidate our existing markets whilst
penetrate into new markets with a view to attracting higher volumes.
We foresee sustenance of the travel & leisure sector performance
which is strongly backed by the positive government policies in
encouraging and promoting the tourism sector.
We look forward to implementing our strategy of leveraging on
synergies between inbound and outbound sectors mainly in Sri Lanka,
India and Maldives. Our focus with this sector would be to continue to
grow and consolidate our position as leading operators in both the
outbound and inbound markets in the region.
We also could see fairly positive signs in exports in the
international trading & manufacturing sector where the macro-economic
and political environment has been gradually shifting thereby enabling
us to facilitate better results,” Yusoof added. |