Lanka IOC back in losses in June quarter

ECONOMYNEXT – Lanka IOC a unit of Indian Oil Corporation reported a loss of 239.18 million rupees for the June 2019 quarter, reversing from a profit of 246 million rupees a year earlier.

The firm reported a loss of 45 cents per share for the quarter In the March 2019 quarter LIOC reported a profit of 937 million rupees.

Revenues fell 3.5 percent to 18.46 billion rupees in the June quarter from a year earlier, and cost of sales fell at a slower 0.4 percent to 17.91 billion rupees, shrinking gross profits 53 percent to 527 million rupees.

Sri Lanka’s government announces price formula for state-run Ceylon Petroleum Corporation which LIOC is not compelled to follow. But in April the finance ministry said it was holding prices for the festival season, despite imports costs going up.

The firm also reported finance income of 57 million rupees down from 125 million rupees a year earlier. Finance expenses fell from 184 million rupees to 44 million rupees. (Colombo/July26/2019)