CIC Holdings in FY24 records Rs. 76.4 b top-line with 12% growth

Agriculture-related diversified conglomerate CIC Holdings PLC has reported robust revenue growth amidst moderately stable macroeconomic conditions, reporting notable top- line growth during the year ended 31st March 2024.

The group’s Crop Solutions, Agri Produce and Health and Personal Care sectors led growth, while the Crop Solutions segment remained the major contributor to total group revenue in FY24, it said in a media release.

CIC recorded a consolidated group revenue of Rs.76.4 billion for the year ended 31st March 2024, an increase of 11.9 per cent over last year. Profit after tax (PAT) for the period in review increased by 9.6 per cent to Rs. 11 billion.

The gross profit decreased by Rs.3.7 billion, down 15.4 per cent YoY, compared to the previous year. Gross profit margin for the period stood at 27 per cent, a contraction of 880 basis points against the corresponding period last year, largely attributed to margin pressure on increased competition and higher input costs.

During the fourth quarter of FY24, CIC Group’s consolidated revenue rose by 3.74 per cent to Rs. 16.2 billion and profit before tax (PBT) by 7.47 per cent to Rs. 1.3 billion.

The group’s Crop Solutions business emerged as the largest contributor to CIC’s revenue, accounting for 40.8 per cent of the total. The group’s operating profit (EBIT) closed at Rs. 10.7 billion, a decrease of 36.6 per cent YoY.

During the period in review, key group businesses under the five industry sectors, which are Crop Solutions, Agri Produce, Livestock Solutions, Industrial Solutions and Health/Personal Care, performed resiliently.

CIC Holdings Group CEO Aroshan Seresinhe commenting on the results, said: “The group had to face and overcome tough economic factors and adverse market conditions which were more persistent in the first half of the year. These headwinds impacted some core sector performances. However, through robust cost management initiatives, prudent working capital management and process reengineering efforts supported by integrating digital technologies, CIC has delivered a strong performance in FY23. Despite the difficulties, the group has displayed resilience and agility in taking an optimistic outlook on fortifying operations to further strengthen overall performance.”