Sri Lanka’s Laugfs Gas March losses widen from finance costs, forex losses
ECONOMYNEXT- Sri Lanka’s Laugfs Gas Plc, which has interests in cooking gas, said net losses widened 379 percent to 473.4 million rupees in the March quarter from a year earlier, as finance costs and forex losses soared, interim accounts showed.
The loss per share for the quarter was 1.22 rupees in March 2019 quarter. For the year to March the group lost 1.3 billion rupees, up 25 percent from a year earlier. The profits were increased by a 144 million rupees ‘fair value’ gain.
Laugfs’ share remained flat at 16.70 rupees on Tuesday after the interim accounts were released.
The firm’s revenue grew 23 percent from a year earlier to 6.6 billion rupees in the quarter, while cost of sales grew 17 percent to 5.6 billion rupees allowing gross profits to rise 82 percent to 967.4 million rupees.
But the firm was hit by foreign currency losses of 259.8 million rupees, compared to a 2.5 million rupee gain a year earlier, despite the rupee appreciating 3.7 percent during the quarter.
Finance costs more than doubled to 536.9 million rupees from 227 million rupees a year earlier.
Selling and distribution costs grew 96 percent to 463.5 million rupees for the firm, which has downstream gas operations in Sri Lanka and Bangladesh.
Laugfs had constructed a LPG terminal in the Hambantota Port which commenced commercial operations during the year.
Long-term borrowings grew to 15.1 billion as at March 31, from 13.5 billion rupees a year earlier, while short-term borrowings were at 10.5 billion rupees, up from 7.4 billion rupees.