Sri Lanka’s leading financial group that has footprints in Myanmar and Cambodia the LOLC group is planning for more strategic investments in popular tourist destinations within South Asia. The company’s Deputy Chairman Ishara Nanayakkara highlighting on the group’s performance in the latest annual report says that the investment plans are already in pipeline for more strategic investments in popular tourist destinations in South Asia.
Further, he also adds that plans are also afoot to take the century-old Browns brand which is currently owned by the LOLC group to greater heights. “In order to fulfill our goals of becoming the top conglomerate in Sri Lanka, we are committed to consolidating our current position by focusing on the key values to which we owe our success,” Nanayakkara highlights in his review. He also adds that in terms of the non-financial sector, they are attracted by lucrative opportunities offered by the leisure sector.
According to Nanayakkara as major international hotel chains including luxury conglomerates continue to emerge in Sri Lanka, the country will look to strengthen its global tourism standing in the next financial year and beyond. According to him such positive trends filtered down to LOLC’s hotels, with The Eden Resort & Spa boasting the highest occupancy level within the company.
Meanwhile, he also notes that the group owned Dickwella Resort & Spa was closed for renovation during the year and re-opened in the third quarter of the year, adding more depth to their leisure portfolio. The group’s Paradise Resort and Spa had become a significant player in the leisure portfolio while another highlight is the launch of their newest addition, ‘The Calm’, a 70 luxury room resort in the best beach belt in Passikudah.Looking ahead, Nanayakkara adds that the LOLC group is currently in the final stages of negotiations for the management of The Turtle Beach Resort & Spa in Kosgoda with a leading International firm, and their biggest upcoming investment, the Riverina Resorts is poised to be a star class hotel in the Golden Mile of Sri Lanka with 367 rooms in completion.
For the last three years, the LOLC Group has been on an accelerated growth path, with year-on-year topline growth exceeding 16%, while Earnings Before Interest & Tax (EBIT) has continued to increase at an average of more than 47%. The Group has maintained Returns on Equity (ROE) and Returns on Assets (ROA) in excess of 7.05% and 1.91% respectively for the past five years.
According to the annual review through strategic acquisitions made during this time, the Group now has vested interests in Leisure, Plantations, Manufacturing, Trading, Renewable Energy, Construction, Healthcare and IT, in addition to the core business interests in the Financial Sector, making LOLC the largest conglomerate in Sri Lanka in terms of Balance Sheet Asset Value, while it is also among the only few local financial institutions to have established an overseas presence. (JA)