Nestlé Lanka ups profits, contributes Rs 1.2 bln to rural economy
Nestlé Lanka, which this week reported a 29 percent jump in post tax profits for 2006, last year sourced fresh milk from some 11,000 dairy farmers and purchased 52 million coconuts contributing over Rs 1.2 billion to the rural economy.
Its Managing Director Stuart Young said while much has been achieved in the year under review, “much depends on peace and stability in the country. It can be said with certainty that opportunities will abound in Sri Lanka when a permanent peace is finally achieved.”
“Nestlé Lanka has delivered strong growth in both turnover and profitability in the year 2006 despite a challenging business environment,” said company Managing Director Stuart Young in a statement. “This sound performance has been achieved by flawlessly executing differentiated strategy throughout the business, particularly in respect of brand and product marketing activities, cost control, cash management and supply chain management.”
The company produces a range of food and beverage brands including NESPRAY, NESTOMALT, MILO and MAGGI as well as marketing internationally recognised products such as NESCAFÉ, POLO and KIT KAT. Its performance for the year ended 31 December 2006 showed net revenue of Rs 14.129 billion and profit after taxation of Rs 1.355 billion.
Nestlé was recently ranked as Sri Lanka’s seventh ‘Most Valued Brand’ in the Brand Finance Brand Index 2006. In addition, Nestlé received an A+ Brand Strength Rating, which reveals Nestlé’s customer and shareholder value in Sri Lanka.