ECONOMYNEXT - Profits at Sri Lanka's Ceylon Cold Stores Plc, a consumer goods manufacturer and retailer fell 28 percent from a year earlier to 751 million in the September 2017 quarter, interim accounts showed.
The group reported earnings of 7.90 rupees per share for the quarter. In the six months to September CCS reported earnings of 15.01 rupees per share, on total profits of 1.43 billion rupees, down from 1.9 billion rupees.
Group revenues were up 15 percent to 12.48 billion rupees, but cost of sales rose at a faster 22 percent to 10.7 billion rupees, narrowing gross profits 15 percent to 1.71 billion rupees.
At the core company level, revenues were down 6 percent to 3.5 billion rupees and gross profits were down 20 percent to 1.23 billion rupees.
A segment breakdown showed manufacturing falling to 3.4 billion rupees from 3.7 billion rupees a year earlier, while retail sales rose to 9.0 billion rupees from 7.1 billion.
The group has been investing in expanding the retail network.
Key product of Ceylon Cold Stores include ice cream and carbonated drinks. It is not clear whether sales are down due to rains, an overall squeeze in spending or competition from other brands. (Colombo/Oct26/2017)