Sri Lanka’s Haycarb December net profit up 23-pct
Feb 11, 2017 12:30 PM GMT+0530 | 0 Comment(s)
ECONOMYNEXT – Sri Lankan coconut shell-based activated carbon manufacturer Haycarb said December 2016 quarter net profit rose 23.3% to Rs210 million from a year ago despite difficulties in securing raw material owing to bad weather.
Group sales rose 21% to Rs3.5 billion over the same period, according to interim accounts filed with the stock exchange.
Earnings per share for the December quarter were Rs7.08. The share was last traded at Rs150.
EPS for the nine months ending December 2016 were Rs17.08 with net profit up 19% to Rs507 million and sales up 12% to Rs9.4 billion.
Haycarb Managing Director Rajitha Kariyawasan said that the company continued to face challenges in some locations due to the shortage of charcoal that was driven by adverse weather conditions that prevailed in 2016.
“However, the company’s initiatives to strengthen raw material supply chain networks in other key locations contributed to sustaining charcoal supplies to support the group’s growing demand,” a statement said.
“The company continues to invest in acquisition of new customer accounts and product segments backed by continued focus on product development and commercialization of value added products that shows positive results,” Kariyawasan said.
“We also continued to expand sales volumes globally in our key markets. The challenges of cost increases were partially offset through lean and productivity improvement measures that resulted in increased efficiencies in processes and supply chain.”
Haycarb’s Environmental Engineering arm, Puritas (Pvt.) Ltd., continued to make steady progress increasing its regional presence and is expected to continue its growth momentum, Kariyawasan said.
(COLOMBO, Feb 11, 2017)