Expolanka Holdings posts Rs. 1,007 mn NPBT
Expolanka Holdings PLC increased its consolidated NPBT for 1H 2012/13
to Rs. 1,007 million which is an increase of 1 7% over the corresponding
period of the previous year of Rs. 861 million. The NPBT recorded for Q2
was Rs. 546 million which is an increase of 23 % over the corresponding
year of Rs. 445 million.
The revenue at Rs. 12.64 billion in the quarter and Rs 23.04 billion
in the first 6 months of the financial year 2012/13 were 46 % and 35 %
above the Rs. 8.64 billion and Rs. 17.06 billion recorded in the
corresponding periods in the previous year.
The Freight and Logistics sector recorded a NPBT of Rs. 443 million
for Q2 and Rs. 768 million for the 1H. The Travel and Leisure sector
recorded a NPBT of Rs. 87 million for 1H which is an impressive growth
of 280%. The International Trading and Manufacturing sector recorded a
NPBT of 111 million which is a 112 % growth while the Investments and
Services sector recorded a NPBT of Rs. 41 million.
Group CEO of Expolanka Holdings PLC, Hanif Yusoof said, "The
performance of the Group in the first six months was challenging, given
the cost escalations emanating from setup costs related to new overseas
ventures and from depreciation of currencies impacting costs. However, a
variety of measures have been taken to mitigate these impacts. Despite
the encouraging operational performance, some of the overseas companies
in the group were impacted with an increase in income tax rates,
resulting in an effect on the Group's Net Profit attributed to its
The new overseas freight ventures started during the year are yet to
reach budgeted profit levels. However, adequate focus and resources have
been deployed to these ventures to achieve targets while further
overheads were incurred in order to revamp the sector. The Travel and
Leisure sector recorded growth both in local companies as well as in
newly acquired Akquasun Holidays India.
Expolanka's immediate strategy of leveraging on synergies between
inbound and outbound sectors mainly in Sri Lanka, India and Maldives,
are now starting to bear results.
The Airlines GSA segment managed to increase the year-to-date profit
levels by 33 % with a 5 % increase in top-line while the tertiary
education institute continues to grow in revenue and profits. Meanwhile
considerable investments made with a view to strengthening and adding
value to the group by way of Corporate Services during the past one year
impacted the sector performance to an extent.
Key Middle East markets in the International Trading and
Manufacturing segment have become more conducive to business in
comparison to last year.