Aitken Spence posts profit of Rs 5.5 bn

Blue chip conglomerate Aitken Spence PLC reported a profit from operations of Rs 5.5bn billion, an increase of 14.4% over the previous year’s profit from operations of Rs 4.81 billion excluding the reported capital gains on the sale of the shares of Colombo International Container Terminals Ltd. (CICT).

The profit before tax is at Rs.5 bn for the year with a growth of 8.9% as compared with Rs. 4.59 bn in the previous year, excluding capital gains on the sale of the shares of CICT. The diversified group’s annual revenue rose by 20 per cent to Rs. 37.1 bn whilst earnings per share declined by 6.3% to Rs. 8.05 for the financial year.

The revenue of the tourism sector for the financial year grew 24.9% to Rs. 14 bn and profit before tax surged 31.4% to Rs. 3.4 bn. Annual revenue for the Cargo Logistics increased 1.4% to Rs. 5.7 bn whilst profits after tax for the sector declined by 33.7 % to Rs. 556 mn. Services sector reported growth in revenue of 11.4% and profit after tax of 1.5% to Rs. 537 mn and Rs 162 mn respectively for the financial year. Strategic Investments sector (inclusive of revenue of equity accounted investees) reported an increase in revenue of 22.8% to Rs. 17.9 bn, while profit after tax dropped by 46.4% to Rs. 837 mn for the financial year.

“The company has had a year of mixed fortunes with challenges and pressures that have tested our strength and our ability to adapt, combined with fresh opportunities and prospects that excite us about the road ahead”, said D H S Jayawardena, Chairman of Aitken Spence PLC.

“As the Company continues to grow and invest through internally generated funds and debt, we have been able to maintain healthy levels of debt and equity, whilst utilising debt capital at optimal levels. We are proud to say that we have not approached our shareholders for funds in fifteen years.”

Deputy Chairman and Managing Director J M S Brito said, “The Group was once again able to achieve a commendable performance for the year 2012/13 despite the macro-economic and global challenges we encountered. Our diversity and innate capabilities provided us with the ability to respond strategically and with agility to changing conditions whilst staying on course with the greater vision of Aitken Spence”.