Haycarb reports 3Q PBT Rs 805 mn

Haycarb, the Hayleys Group's global activated carbon manufacturer, has maintained the momentum of revenue and profit growth in the third quarter, despite challenges in traditional markets.

The company reported revenue of Rs 8 billion for the nine months ending December 31 2012, and profit before tax of Rs 805 million for the same period, in a performance attributed to maximum capacity utilisation, value addition and the development of new markets.

In a filing with the Colombo Stock Exchange, Haycarb PLC said net profit for the nine months was Rs 683 million, and profit attributable to equity holders of the company was Rs 619 million.

Haycarb PLC Managing Director Rajitha Kariyawasan said the company ran all manufacturing plants at optimum capacity during the review period and focussed extra attention on developing new markets outside traditional geographies. In addition, continued emphasis on value added carbons, further complemented by the devaluation of the Rupee, enabled the company to maintain overall margins, he said.

Improved efficiencies through lean manufacturing resulted in increased throughput from existing configurations and minimised waste, enabling the company to mitigate significant increases in furnace oil and wages costs. Haycarb has continued its strategy of investing in charcoal inventory with significant working capital funding to ensure supply security.