Sri Lanka’s Expolanka Holdings profits soar amid pandemic disruptions
ECONOMYNEXT – Profits at Sri Lanka’s Expolanka Holdings Plc soared to 4.5 billion rupees in the December 2020 quarter, up from 15 fold from 302 million rupees a year earlier, amid elevated freight rates in a Coronavirus pandemic.
The group reported earnings 2.33 rupees per share. In the nine months to December the group reported earnings of 5.54 rupees per share on total earnings of 10.8 billion rupees.
The firm posted similar results in the September quarter on revenues of 49 billion rupees.
Gross profits almost doubled to 9.7 billion rupees from 4.9 billion rupees in the quarter, with revenues up 108 percent to 27 billion rupees and cost of sales up 110 percent to 22.9 billion rupees.
“The above performance was driven by a multitude of factors, led by the gradual return of regular business, supply of personal protective equipment (PPE), improved yields and unified collaboratie efforts across the entire organization,” Chairman Hanif Yusoof said.
“An unrelenting sales focus enabled the sector to maintain a steady volume, which was further buoyed by the return of regular business.
“The Airfreight market remained disrupted with elevated freight rates delivering strong revenue and contributing towards higher yields.
“The Far East markets performed exceptionally, whilst the Indian sub-continent operations were robust.”
There was both growth in and yield gains in air freight, he said.
North America trade lane was the largest contributor while Europe and Intra Asia also contributed.
“Global supply chains remained interrupted, leading to the continuation of dynamic market conditions in the short term,” he said.
“Your company is mindful that with steady return of capacity, markets would stabilize which may result in measured yields going forward.”
The company was re-structuring is leisure business and operating on a lean model while preparing for the airport to open and travel restrictions to be removed. (Colombo/Jan29/2021)