BPPL strongly poised for next phase of expansion
View(s):BPPL Holdings PLC, one of Southeast Asia’s largest brush manufacturers and Sri Lanka’s pioneer in recycled plastic products, said this week that it has recorded “impressive” improvements in all key financial indicators in the 2020-21 financial year, while strongly positioning the business for its next phase of expansion.
A leader in sustainable business, BPPL which generates export earnings for the economy while addressing one of Sri Lanka’s critical issues in the form of plastic waste disposal, saw strong performances by its wholly-owned subsidiaries. These subsidiaries are Eco Spindles (Pvt.) Ltd. (a leading manufacturer of polyester yarn and mono-filaments using recycled plastics) and Beira Brush (Pvt.) Ltd. (one of Southeast Asia’s leading manufacturers and exporters of professional and household cleaning tools), the company said in a media release.
In the 2020-21 financial year ended 31st March 2021, overcoming pandemic-induced challenges, BPPL’s Consolidated Revenue grew by a 31 percent year-on-year (YoY) to Rs. 3.4 billion. Group Gross Profit improved by a 38 percent YoY to Rs. 1.2 billion. Group Profit Before Tax (PBT) was up 20 percent YoY to Rs. 609 million. Group Profit After Tax (PAT) and Profit Attributable to Shareholders increased by 23 percent YoY to Rs. 497 million.
BPPL also undertook a series of key strategic initiatives during the financial year, with the intention of propelling the group to its next phase of expansion, while further enhancing its sound business fundamentals.
In December 2020, the company commenced the second phase of its expansion of yarn production, to set-up a second plant with 20 percent greater production capacity than the current facility. The additional capacity will be used to fulfil demand from existing clients, consisting of global sports and leisurewear brands. The product and market diversification efforts of BPPL too yielded positive results, with the group reducing its exposure to the US, its key export market, while expanding its overall exports, the release said.
“While achieving sound growth in all key financial indicators by effectively navigating the significant challenges posed by the pandemic, we have also laid the foundation for the group’s next phase of expansion,” BPPL Holdings PLC Managing Director and Chief Executive Officer, Dr. Anush Amarasinghe said.