Ceylon Cold Stores net up 26-pct in December quarter

Jan 30, 2017 (LBO) – Profits at Sri Lanka’s Ceylon Cold Stores rose 26 percent to 823 million rupees in the December 2016 quarter from a year earlier.

Ceylon Cold Stores is a top producer of carbonated drinks, ice creams and has a retail chain.

The firm reported earnings of 8.67 rupees per share for the quarter in interim accounts filed with the Colombo Stock Exchange, up from 6.86 rupees from a year ago.

The company also reported 8.00 rupees dividend per share for the quarter, against 5.00 rupees from a year earlier. The stock closed at 730 rupees on Friday.

Revenues of the firm rose 29 percent to 11.2 billion rupees in the quarter, cost of sales rose a faster 31 percent to 9.6 billion rupees, and gross profits grew 16 percent to 1.6 billion rupees.

Other operating income was up 22 percent to 343 million rupees. Finance costs fell 35 percent to 1.5 million rupees while finance income rose 52 percent to 62.6 million rupees.

In the segmental analysis, manufacturing sector profits rose to 478 million rupees in the quarter from 382 million rupees against the previous year.

Retail sector profits rose to 344 million rupees in the quarter from 277 million rupees a year earlier.

The percentage of shares held by the public as at 31 December 2016 was 18.59 percent (30 September 2016 – 18.59 percent).

The number of public shareholders as at 31 December 2016 was 1,940 (30 September 2016 – 1,947).

The Colombo Ice Company (Private) Limited (CICL) was incorporated in May 2016 as a wholly owned subsidiary of Ceylon Cold Stores PLC (CCS).

CICL entered in to an agreement with the Board of Investment of Sri Lanka (BOI) in July 2016 to lease a land extent of 9 acres for a period of 50 years for the establishment of an Ice Cream factory.

A total of 270 million rupees has been infused by CCS as equity in CICL as at the reporting date.