Sri Lanka’s Piramal Glass profits down over upgrade
ECONOMYNEXT – Piramal Glass Plc, a Sri Lanka based publicly traded unit of India’s Piramal group said profits in the June 2019 quarter fell 55 percent to 20.9 million rupees as two production lines were shut down to install a new one.
Piramal Glass reported earnings of 02 cents per share for the quarter.
Revenues fell 3.5 percent to 1.58 billion rupees and cost of sales fell 1.2 percent to 1.34 billion rupees shrinking gross profits 18 percent to 239 million rupees.
Piramal Glass said a sixth production line was installed during the quarter for which two lines were shut down for a time.
"However we are confident that this Financial year end would see the highest ever production.." the firm told shareholders in a statement.
"This line has been installed mainly targeting the developed part of the world and has the flexibility of producing bottles in varied shapes & designs.
"Preference was given to the increased demand of the domestic market by deferring some part of the exports to the upcoming quarters."
Domestic sales had grown 17 percent to 1.193 billion rupees in the June quarter from a year earlier. Exports sales had fallen to 392 million rupees from 633 million rupees.
"The management is confident that with the enhanced infrastructure that Piramal Ceylon would be able to enter niche markets segments with improved realisations & better margins. Presently company is exporting to USA, Canada, New Zealand, Australia, India, Pakistan, Myanmar & several other markets," the firm said. (Colombo/Aug05/2019)