Sri Lanka Laugfs Gas December quarter net down 32-pct

EconomyNext – Sri Lanka’s Laugfs Gas, whose second largest shareholder is a state pension fund, said December 2014 quarter net profit fell 32 percent to 256 million rupees from a year ago.

The company reported quarterly earnings per share of 66 cents with sales up three percent to 3,093 million rupees.

In the nine months ending 31 December 2014, EPS were down 15 percent to 2.79 rupees with net profit at 1,079 million rupees and sales stagnant at 8.8 billion rupees.

Interim results filed with the stock exchange showed costs during the December 2014 quarter fell by three percent while gross profit climbed 23 percent.
 
But selling and distribution expenses and administration expenses rose by half, which coupled with a foreign currency loss of 23 million rupees against a gain of almost 50 million rupees the year, before reduced operating profit by 19 percent.

Finance costs also went up sharply during the quarter while finance income fell by half and Laugfs Gas reported losses from its hotels business worsened to 39 million from four million rupees the year before.

The Employees’ Provident Fund is the second largest shareholder of Laugfs Gas with a 17 percent stake and the largest holder of non-voting shares with a 35 percent stake.