Hunter’s net profit down
Hunter’s consolidated profit and loss account for the 3-month ended June 30, 2008 shows that net profit is down by 64 % to Rs.1.7 million. Increases in cost of sales, selling and distribution costs, administrative expenses and a 1445.86 % increase in finance costs to Rs.6.2 million from Rs.403,843 during the corresponding period the previous year all have contributed to the decrease in net profit, according to a company statement.

The company has also been facing some internal disputes amongst its senior management as reported in The Sunday Times FT last month. Secretaries to the company, S.S.P Corporate Services Ltd resigned a few weeks back, less than a month after Hunter asked its auditors Ernest & Young to resign in a dispute over 'material disclosure' in the company annual report.

The Sunday Times FT also reported that a subsequent Extraordinary General Meeting (EGM) was held at the request of a shareholder with 15.58 percent stake in the company, T.T. Al Nakib. During the EGM, shareholders accused the directors of not being independent and the board decided to convene a second EGM which was held on September 2.

Kelani Cables profits down
Interim results for the 3-month ended June 2008 shows that the company's net profits are down 77 % year on year to just over Rs.18 million. However, turnover for the period increased to approximately Rs.800.5 million from the corresponding period the previous year when turnover was close to Rs.785 million. The cost of sales also increased to Rs.677 million from Rs.618 million during the same period last year resulting in a decreased gross profit of Rs.122 million, down from Rs.165 million. Increases in distribution expenses, administrative expenses and finance costs all contributed to the company's decreased net profit.

Ceylon Leather shows loss
The company's income statement for the quarter ended June 2008 shows a net loss of 14 % year on year to Rs.8.7 million. Gross profit was also down 54 % year on year to Rs.11.5 million amidst a 46 % year on year decline in revenue. The lower loss can be mainly attributed to finance costs falling by 49 % year on year to Rs.8 million and lower administrative costs.

Apollo Hospital profits up
Interim financial statements for the quarter ended June 2008 at Sri Lanka’s Apollo Hospitals shows a strong rise in gross profit and lower finance costs following the recent rights issue. Profit for the quarter is Rs.17.5 million as compared to a loss of Rs.35.3 million for the corresponding period the previous year. Finance costs decreased significantly to Rs.16.1 million from Rs.42.2 million the previous year despite higher cost of services, staff costs, depreciation of property plant and equipment and other operating expenses. The company's profit from operations increased to Rs.33.6 million from Rs.6.9 million for the corresponding period last year.

Seminar on recent tax changes
The Association of Past Inland Revenue Officers (APIRO) has organized a seminar on taxation issues on September 9 at the Sri Lanka Foundation Institute, Colombo.

The Chief Guest is Commissioner General of Inland Revenue S. Angammana and the issues will be discussed and explained by senior officers of the Inland Revenue Department and eminent lawyers. The topics for discussion include the current position and changes in relation to Income Tax, VAT, Economic Service Charge, Stamp Duty, Debit tax and other miscellaneous taxes and levies. The new Company Law in relation to taxation and the taxpayer rights and obligations, would also be discussed and explained at the seminar.

APIRO says tax changes both in terms of legislation and procedures have become very complex and complicated for the taxpayers, and tax pratitioners alike. The recent changes in tax laws and procedures made in 2008 have made it even more complex, and this seminar provides an opportunity for the public to learn the correct processes.

Dialog appoints new GCFO
Dialog Telekom this week appointed Vipula Gunatilleka as its new Group Chief Financial Officer (GCFO), succeeding Wan Zaidan Wan Mahyudin, who returns to Malaysia to take up a posting at TMI – the principal shareholder of Dialog Telekom.

Mr Zaidan held the post of GCFO of Dialog since 2000 and completed his 8-year stay in Sri Lanka on August 15, the telecom company said. Mr. Zaidan was closely associated with some of the company’s landmark achievements, among them Dialog’s historic 2005 debut on the Colombo Stock Exchange with the country’s largest initial public offering, valued at Rs 8.5 billion. He was a key member of the company’s senior management team, playing a leading role in steering Dialog through a period of growth and development.

Mr. Gunatilleka brings to Dialog Telekom over 15 years of professional experience in the spheres of finance, treasury, insurance, procurement, information technology, corporate planning, general management and operations. Prior to taking up the role of GCFO at Dialog, Mr. Gunatilleka was the CFO of Sri Lankan Airlines Ltd, a position he held for a period of three years since 2005.

HSBC CEO for Asia-Pacific says committed to Sri Lanka
The CEO of HSBC’s Asia-Pacific operation said this week that the Bank is committed to Sri Lanka and its development. Sandy Flockhart told reporters during a visit to Colombo this week that, “Our intention in Sri Lanka is to become the bank of choice in providing international banking services to both the personal and corporate segments, through our unrivalled global network and our growing domestic franchise.”

He said HSBC in Sri Lanka has grown significantly in the last 10 years and now has more than 1,800 employees working for the Bank in the country. “In addition, our Global Resourcing Centre in Rajagiriya employs nearly 2,000 people,” he said. Mr Flockhart added that Asia is the most exciting economic region in the world, where HSBC has strong roots, being the first bank in many of these countries and territories. During his two-day stay, Mr Flockhart met with Ajith Nivard Cabraal, Governor of the Central Bank of Sri Lanka, as well as clients and Bank employees.

JKH acquires additional stake in SAGT
John Keells Holdings PLC (JKH) acquired its pro rata entitlement of 4.22% of the share capital of South Asia Gateway Terminals Ltd (SAGT) from the Asian Development Bank (ADB), the company said on Friday. The statement said that this was acquired for a consideration of US$ 4.41 million. JKH has a 37.97 % stake with Friday’s deal. The balance of ADB’s 7.5% was acquired by APM Terminals BV.

Second money museum in Anuradhapura
The second Money Museum of Central Bank of Sri Lanka was opened in Anuradhapura on Friday and is located at the Central Bank Regional Office in the town, the Bank said.

The public including school children, as well as umismatists will be able to gain a wealth of information of money used in Sri Lanka since the 3rd Century BC to date, as the exhibits in this museum endeavours to cover the entire period. Ancient currencies, coins and notes used in the island under different colonial periods until the establishment of the Central Bank of Sri Lanka, and notes and coins issued in various series by the Central Bank of Sri Lanka since 1951 (notes) and since 1963(coins) are some of the exhibits on display, the statement said.

The first museum of the Central Bank of Sri Lanka was established at the Bank’s Head Office building in Fort, Colombo in 1982. At present this museum has been relocated at the Centre for Banking Studies of the Central Bank at No. 58 Sri Jayewardenapura Mawatha, Rajagiriya, and is popular among school children and numismatists.

Emerald enters T-shirt market with “focuss ex”
Emerald, the Sri Lankan garments manufacturer has launched a brand of premium quality T-shirts under the name “focuss ex”. This is the first time in Sri Lanka, any local brand has introduced a T-shirt range treated with special finishes. “Focuss ex” premium range comes to the market treated with “Hydrophilic” finish where the fabric absorbs five times more sweat than any other regular T-shirt does and the other special treatment used is “Purista Antibacterial” finish which guaranties longer freshness and comfort, the company said.

M.T.M.Lukman, Manager Marketing Operations of Emerald said, “The introduction of any product category has to be in keeping with the market readiness, customer aspirations and fashion trends. We took our time to study the market and finally introduced a product, targeting the discerning consumers in Sri Lanka who expect the very best in quality, style and comfort”.