Sri Lanka’s Laugfs Gas loss narrows further in June quarter
ECONOMYNEXT – Sri Lanka’s Laugfs Gas Plc has managed to narrow losses in the June 2018 quarter to Rs247 million from a year ago, according to interim accounts filed with the stock exchange.
Sales of the firm, which supplies liquid petroleum gas and has spun off its hotel, vehicle emission testing and power businesses, rose 27% to Rs5.7 billion in the period.
Loss per share was 64 cents compared with Rs1.18 a year ago. The share last traded at Rs16.
Laugfs group chairman W. K. H. Wegapitiya said the firm was confident talks with the government on market pricing LPG would yield a positive response soon.
Losses were a result of the company’s core business of LPG having to continue under the prevailing retail price restrictions whilst LPG prices in the global market are surging, he said.
“In order to effectively address this situation, which we believe is temporary, the company is in a continuous dialogue with the relevant regulatory authorities in order to ensure that LPG retail prices are in line with global LPG market prices, so that the Company’s main source of revenue is secured.
“We are confident that we will receive a positive response in this regard very soon.”
The company LPG import and export terminal facility in the Port of Hambantota is to commence commercial operations very soon, he also said.
(COLOMBO, 16 August, 2018)