Nov 06, 2009 (LBO) – Cargills (Ceylon) group which runs Sri Lanka’s largest retail chain said profits rose 35 percent to 139 million rupees in the September 2009 quarter from a year earlier, and was planning a billion rupees in new investments in the current year. Last year, the firm had a 73 million rupee-one off gain from an investment sale.
Group revenue grew 4.6 percent to 7.1 billion rupees, cost of sales grew only 2.7 percent to 6.55 billion rupees allowing gross profit to increase 30.8 percent to 610.9 million rupees, according to interim accounts filed with the Colombo Stock Exchange.
At stand alone company level, which includes retailing, revenues grew to 3.98 billion rupees from 3.67 billion rupees in the quarter and gross profits were almost flat at 127.8 rupees, from 125.1 rupees, a year earlier.
But net profits grew to 116.6 million rupees from 78 million, with other income growing to 217.5 million rupees from 203.2 million.
For the last full financial year the firm reported 314 million rupee as ‘merchandising income’. A supermarket chain can use its reach to provide bill payment and other services.
The firm also makes ice cream, Kist branded foods, and runs the KFC franchise in Sri Lanka.
The firm said its Cargills Ma