Hayleys profits down due to Rs.459 mln loss from tea/rubber
View(s):Sri Lanka’s leading diversified conglomerate, Hayleys PLC has recorded a 18 per cent Year-on-Year (YOY) increase in revenue with growth in Construction, Agriculture, and Hand Protection sectors supporting the group to post revenue in excess of Rs. 52 billion by the end of the first half of 2016 (1H16).
Profit Before Tax (PBT) during the period stood at Rs. 2.5 billion with the Transportation and Logistics sector achieving a turnover of Rs.11billion against Rs. 7.3 billion in1H15. The group’s Construction Materials segment recorded revenue of Rs.1.9 billion, improving on a previous Rs. 1.7 billion in 1H15, according to a company media statement.
Revenue in the Agriculture sector recorded impressive growth, rising to Rs. 6.5 billion by the end of the half, against Rs. 4.8 billion in the corresponding period of 2015. Similarly, the group’s Hand Protection segment recorded revenue of Rs. 7 billion over a previous Rs. 6 billion.
“However, as was the case across the Sri Lankan Plantation sector, crop losses due to adverse weather conditions and a Government ban on weedicides resulted in the group’s plantation segment revenue shrinking from Rs. 4.7 billion down to Rs. 4.4 billion during the period in review, ultimately leading to a loss of Rs. 459 million during 1H16,” the statement said.
Commenting on the performance and outlook of the group, Hayleys Chairman, Mohan Pandithage stated: “While the systemic issues in the Sri Lankan Plantation sector did have a negative effect on the bottom line, these effects were largely mitigated by strong performances across the Hayleys Group – particularly with regard to the Hand protection, and construction material segments. “Technology, innovation and sustainability continue serve as a catalyst for new growth opportunities within the Hayleys Group.”