The recently ended year posed a series of challenges in the financial market and business sphere, as the Covid-19 pandemic gave rise to a plethora of risks, drawbacks and losses in terms of profit, capital and company sustainability. However, Abans Group emerged victorious in a highly volatile business atmosphere after employing carefully-structured strategies, controlled decisions, and containing trading and monetary conditions with the goal of functioning according to the new normal.
A sharp increase of 187% was depicted in the Group Profit After Tax to end at LKR 1.5 Billion for the nine-month-period ending December 2020 (compared to last year’s LKR 520 Million); while a 175% year-on-year growth was noted in the Profit-After-Tax of Abans PLC (the company) to end at LKR 1.45 Billion, compared to the previous year’s LKR 527.1 Million.
Abans Group scored a record top performance for the third quarter (Q3) for the Financial Year 2020/21 with a Profit After Tax of LKR 793 Million, seeing a significant 144% increase compared to the year before. The Company reported a PAT of LKR 750.6 Million for Q3, a 105% increase from last year, which proves the resilience of the company to adapt to any change in market conditions.
“Foresight, smart strategy and strong implementation has enabled Abans to rise to leadership positions in many of the sectors they operate in. However, it was necessary to recalibrate strategy to ensure they were geared for the new normal, for an era driven by artificial intelligence and big data, which would provide significant competitive advantage to those who were fast enough to embrace it. Following these strategies have proven to be quite effective, as seen by the remarkable results displayed by the Financials up to December 2020,” stated Ms. Aban Pestonjee, chairperson and Founder of Abans Group of Companies.
Despite the severe repercussions of the Covid-19 pandemic on several businesses, revenue for Q3 reached a growth of 40%, at both Group and Company level, while Cumulative Revenue for nine months depicted a year-on-year growth of 9%, which is a noteworthy achievement during the past period. The Group Gross Profit stood at LKR 7.4 Billion and LKR 3 Billion for nine months and three months (Q3) respectively.
“Abans has continued to focus on diversification that fuels growth and aids in the company’s resilience. Diversification has enabled the business to continue the growth trajectory amidst volatile market conditions. The company has strategically looked to build better synergies across their various segments in order to give superior solutions to their valued customers, and build on the overall competitive advantage. Thus, the Group, as a whole, is geared to perform even better in the coming year, with the implementation of new policies and evolving methodologies,” said Behman Pestonjee (Tito), Managing Director of Abans Group.
Driven by strategic cost reduction policies and working capital management strategies carried out in the past nine months, the Group’s (as well as the company’s) Admin and Selling Expenses noted a decrease to LKR 4.9 Billion, compared to LKR 5.6 Billion from the previous year. Furthermore, Net Finance Cost for the nine-month-period was reduced to LKR 619 Million from LKR 921 Million; whereas for the 3rd quarter, the same was reduced to LKR 119 Million compared to LKR 286 Million last year. This was reduced mainly due to the low interest rate environment and the company’s strategic working capital management.
Chandrika Perera, Executive Director – Finance, commented, “It is noteworthy that the Group has recorded a significant increase in EBITDA despite the impact of adverse macro-economic conditions. The Group’s financial and business strength and stability has placed Abans at a prominent position of being able to pursue greater heights and achievements in the years to come.” (Abans)
Galadari Colombo awarded ‘SLIM People’s Hotel Brand of the Year 2021’
The Galadari Colombo was given a thumbs up from the people as the People’s Hotel Brand of the Year for the second time running at the recently concluded SLIM (Sri Lanka Institute of Marketing) People’s Awards 2021.
The uniqueness of the SLIM People’s Awards is the fact that it is awarded by the public which shows the popular choice of the Sri Lankan people.
This is the 15th successful running of the much-anticipated event conducted by SLIM in association with Nielsen which is globally renowned for its measurement and consumer insights.
Having stood the test time of time in the hospitality industry for more than 3 decades the Galadari Colombo is hopeful to remain in the hearts of its people as a brand that is trustworthy and dedicated to service.
Expatriates’ organization painting competition for Sri Lankan children from care homes highlights close India-Sri Lanka ties
Celebrating 75 years of India’s independence in Sri Lanka, Sri Lankan children from care homes converged in Colombo from all across Sri Lanka over 10-11 April 2021 for the final round of the nationwide painting competition organized by Colombo Expatriates Cultural Association (CECA) – a voluntary organization of expatriates consisting of mainly Indians – with support of the High Commission of India, Ministry of Education of government of Sri Lanka and several other partners.
Prof. G.L Peiris, Minister of Education was the Chief Guest and Gopal Baglay, High Commissioner of India was the Guest of Honour at the final round. Several other dignitaries including State Minister Piyal Nishantha were also present. The dignitaries lauded the effort as a shining example of strong people-to-people ties between India and Sri Lanka and stressed the enormous significance of the enriching experience for the children.
The competition was held in three categories – Sub Junior, Junior and Senior. The first round of the competition had seen enthusiastic participation of 4,375 students from child care homes across Sri Lanka. Contestants from all provinces who had produced sixty best paintings were invited along with one care-giver for the final round held in Colombo on April 10 at Hotel Taj Samudra. While top three winners in all the three categories were awarded SLR 100,000, SLR 75,000 and SLR 50,000 respectively in addition to various other gifts, certificates and medals, all the 60 finalists received cash awards, desktop computers, and other gifts contributed by various sponsors.
The event also formed part of ‘India @ 75’ celebrations in Sri Lanka which comprise events and activities in the run up to completion of 75 years of India’s Independence in August 2022. Prime Minister of India Shri Narendra Modi had launched these celebrations in India on March 12 2021, 75 weeks before the 75th Anniversary of Independence. In Sri Lanka, formal launch of these celebrations had taken place on April 9 2021 with the inauguration of ‘India Corner’ at the Nagananda Institute for Buddhist Studies.
Chrissworld to raise Rs. 56.25 million through IPO
By Hiran H.Senewiratne
Chrissworld Ltd. (CWL), an SME company engaged in the provision of third-party logistics (3PL) services, is gearing to raise up to Rs. 56.25 million via an initial public offering (IPO) on the Colombo Stock Exchange, sources said.
The company plans to offer 7,500,000 Ordinary Voting Shares for subscription at Rs. 7.50 per share. The subscription will open on April 27, with Atara Capital Partners representing the company as managers to the issue.
Meanwhile, the CSE noted in a statement that it has approved an application submitted by Chrissworld Ltd. for the listing of its Ordinary Voting Shares by way of an offer for subscription on the Empower Board of the CSE.
The company, starting off with Rs. 6 million capital in 2019, expanded its capital to Rs. 22.5 million and projects to obtain Rs. 79 million after the IPO.
Chrissworld will be earmarking milestones with the IPO as the first to be listed on the Empower Board, CSE’s newest listing platform, dedicated to SMEs. Further, Central Depository Systems (Pvt.) Ltd., a subsidiary company of CSE, will step in for the first time as the registrar to the issue.
Amid those developments the CSE started on a bullish note yesterday and during the latter part of the day with heavy retail investor participation the CSE witnessed a bullish trend. It is said that manufacturing sector counters became the most popular stocks during the day. Notable price appreciation was reported in Hayleys Group, Royal Ceramic Group and Distilleries.
Both indices moved upwards. The All Share Price Index went up by 100.10 points and S and P SL20 rose by 49.18 points. Turnover stood at Rs. 3.51 billion with a crossing. The crossing was reported in JKH, which crossed 1.32 million shares to the tune of Rs. 199.3 million and its share price was Rs. 151.
In the retail market, companies that mainly contributed to the turnover were; Royal Ceramic Rs. 511.2 million (1.46 million shares traded), Expolanka Holdings Rs. 359.9 million (4.5 million shares traded), Hayleys Group Rs. 359.9 million (4.5 million shares traded), Dipped Products Rs. 321 million (5.5 million shares traded), JKH Rs. 290 million (1.9 million shares traded), and Haycarb Rs. 177 million (1.5 million shares traded). During the day 87.8 million share volumes changed hands in 23900 transactions.
Hayleys shares appreciated by Rs. 6 or eight percent. Its shares started trading at Rs. 75.90 and at the end of the day they moved to Rs. 82. Royal Ceramic shares appreciated by Rs. 13.5 or nine percent. Its shares started trading at Rs. 328.25 and at the end of the day they moved to Rs. 358.75. Expolanka shares appreciated by Rs. 2.70 or five percent. Its shares started trading at Rs. 49.70 and at the end of the day they shot up to Rs. 52.40 and Distilleries shares appreciated by 70 cent or 3 percent from Rs. 20.20 to Rs. 20.90
Sri Lanka’s rupee quoted steady at 202.00/203 to the one month US dollar Monday, while gilt yields remained unchanged, dealers said.
The rupee last closed in the one-week forward market at 202/203 to the US dollar on Friday. Sri Lanka markets were dull as seasonal bliss kicks in.
Six nabbed with over 100 kg of ‘Ice’
Happy New Year!
A Cabinet reshuffle needed
7-billion-rupee diamond heist; Madush splls the beans before being shot
Unfit, unprofessional, fat Sri Lankans
The Burghers of Ceylon/Sri Lanka- Reminiscences and Anecdotes
Opinion6 days ago
Monumental blunders paralysing Sri Lanka
Features4 days ago
How confidence has been eroded
Sports4 days ago
When failures boast of success
Sports7 days ago
COPE exposes large scale corruption at SLC
Features5 days ago
A senior cop remembers April 1971
Politics5 days ago
The British will not learn English, let’s not kid ourselves
Opinion3 days ago
A Cabinet reshuffle needed
news6 days ago
SLC funds amounting to Rs 29 mn in US bank: SLC caught lying before COPE