DPL earnings in plantations up, hand protection down
View(s):Dipped Products Group’s (DPL) plantation sector Earnings Before Interest and Taxes (EBIT) was up sharply both Year on Year (YoY) and Quarter on Quarter (QoQ) in 3Q18, but hand protection sector EBIT was down YoY, despite being up QoQ, latest accounts showed.
The plantation segment reported Rs. 9.3 billion in revenue, 33 percent higher than the previous year. The Hand Protection segment contributed Rs. 12.1 billion to the revenue, 11 per cent higher than the previous year. DPL recorded steady growth in revenue posting Rs. 21.3 billion turnover for the 9 months of the financial year 2017/18, a 20 per cent increase from a year ago. The group profit before Tax (PBT) for the period improved to Rs. 600 million from Rs. 241 million in the previous year.
Dr. Mahesh Ranasoma, Managing Director at Dipped Products PLC in his statement has said that the sector was able to grow its sales consistently across the highly competitive global markets by offering high quality products catering to customer specific needs. “However due to (a) steep increase in latex prices the contribution to PBT from the segment dropped to Rs. 200 million.”
The plantation segment contribution to PBT improved to Rs. 400 million with improved commodity prices.
Established in 1976, Dipped Products is one of the leading non-medical rubber glove manufacturers in the world, and accounts for a five per cent share of the global market. The company’s products now reach 68 countries.