Singer (Sri Lanka) PLC Group’s second quarter financial results continued to display excellent growth fuelled by an increase in Revenue and Net Income.
In the 2nd Quarter of 2016, the Group’s revenue increased 23% to Rs. 11.6 Billion, while net profit improved 60% to Rs 613.4 million, when compared with the previous year. This included consolidation of new acquisitions.
Group Revenue for the first six months of the year also increased by 23% to Rs. 22.1 billion, showcasing strong underlying growth witnessed last year and an overall increase of 58% growth over a two-year period.
At the end of first six months of 2016, Group Net Profit was Rs. 1,423 million, an increase of 115% over the previous year. This included consolidation of new acquisitions and related one-time gains.
Contributing to the growth in Revenue and Net Income were the strategic initiatives undertaken by the Group and the continuing customer demand despite increases in interest rates, exchange rates and VAT.
Commenting on the Q2 2016 results, Asoka Pieris, Group CEO, noted, “We are pleased with this quarter’s growth and expect the trend to continue during the remaining six months of the year. Our growth momentum is a result of the Group’s strategic imperatives throughout the first six months and pioneering new business opportunities organically and from acquisitions.”
Dr. Saman Kelegama, Chairman added “These results are a testimony to the continued strength of the Singer Brand in Sri Lanka and the company’s focus on product quality and customer service”.
Some of the pursued new initiatives included opening additional shops, adding new dealers and channels of distribution, improving and renovating shops, securing new brands and distributorships and introducing new products and improving processes.
Singer (Sri Lanka) recently acquired majority stakes in Singer Industries (Ceylon) PLC and Regnis (Lanka) PLC from its parent company Singer (Sri Lanka) B.V. This resulted in a one-time gain on bargain purchase amounting to Rs. 508 Million.
Singer (Sri Lanka) is 79.7% owned by Retail Holdings B.V. (A Netherlands Company) and the shares of the company are publicly traded in the Colombo Stock Exchange.