Sri Lanka’s Elephant House net down 32-pct as margins shrink
ECONOMYNEXT – Profits at Sri Lanka’s Ceylon Cold Stores, a consumer goods maker with and retailing, fell 32 percent from a year earlier to 563 million rupees, amid shrinking margins, interim accounts showed.
The firm, reported earnings of 5.93 rupees per share. In the nine months to December it reported earnings of 20.94 rupees per share on total earnings of 1.98 billion rupees, which fell 27 percent.
Revenues grew 14 percent to 12.8 billion rupees, expenses grew at a faster 19 percent to 11.49 billion rupees, shrinking gross profits 19 percent to 1.38 billion rupees.
Ceylon Cold Stores manufactures drinks and ice-cream its Elephant House brand, and also runs a retail chain.
The firm said manufacturing revenues fell to 2.9 billion rupees from 3.1 billion rupees, with profits falling to 261 million rupees from 478 million rupees.
Retail (supermarket) revenues rose to 9.8 billion rupees from 8.1 billion rupees, but profits also fell 302 million rupees from 344 million rupees.
Selling and distribution expense were up 12 percent to 439 million rupees. The firm reported net finance income of 26 million rupees, down from 61 million a year earlier. (Colombo/Jan23/2018)