Forex losses hit Taj Hotels
Taj Lanka Hotels Plc, a unit of India’s Taj Hotels and Resorts reported losses of 28 million rupees in the March 2016 quarter down from a profit a year earlier, despite strong revenue gains as interest costs and forex losses took its toll.
The firm reported losses of 20 cents per share for the March quarter and 84 cents per share for the full year on total losses 116 million rupees, down from 190 million a year earlier.
Revenues rose 24 percent to 695 million rupees in the March quarter and costs rose 10 percent to 504 million rupees, allowing the firm to grow gross profits 82 percent to 191 million rupees.
Finance costs rose from 51 million rupees to 86 million rupees.
Downturn at Dockyard
Sri Lanka’s Colombo Dockyard suffered a loss of 77 million rupees in the March 2016 quarter against a profit of 135 million a year ago, a stock exchange filing said.
Sales of the yard, majority owned by Japan’s Onomichi Dockyard, fell 26% to 2.7 billion rupees.
The yard has been hit by the downturn in oil prices which has affected the offshore oil field support sector Colombo Dockyard declared a loss of a billion rupees in the December 2015 quarter as it was forced to cancel an order and lower prices for new ships ordered by clients serving the oil industry.
DPL profits flat
Sri Lanka’s Dipped Products Products Plc, which has operations in non-medical gloves and rubber farms, said profits rose 4 percent to Rs270 million in the March 2016 quarter from a year earlier.
The group, which has operations in Thailand and Indonesia, reported earnings of Rs4.52 per share for the quarter.
For the year to March, the group reported earnings of Rs5.78 per share, with profits plunging 69 percent to Rs345 million.
Managing director M Ranasoma said the firm was hit by Asian competitors last year.
Haycarb net down
Sri Lanka-based Haycarb Plc, an activated carbon maker that also has operations in East Asia said profits fell 9.4 percent to Rs253 million in the March 2016 quarter from a year earlier amid competition and raw material disruptions.
The group reported earnings of Rs8.52 per share for the quarter. In the year to March 2016, the group reported earnings of Rs22.93 per share on total profits of Rs681 million, which were down 2 percent.
In the March quarter, revenue fell 15 percent to Rs3.3 billion, cost of sales dropped 7.7 percent to Rs2.5 billion and gross profit decreased 32 percent to Rs818 million.
Administration expenses also fell to Rs403 million from Rs559 million, and finance expenses were down from Rs127 million to Rs9 million.
Haycarb Managing Director Rajitha Kariyawasan said the firm battled a slowdown in gold mining; low-cost competition from India, Indonesia and the Philippines; and a shortfall in charcoal in Thailand during the year.