Nov 13, 2018 (LBO) – Dipped Products Group, a subsidiary of the Hayleys Group reported a profit before tax of 553 million rupees for the 1H of 2018/19, a growth of 141 percent over the previous year.
The Company attributed the profits to strong gains from performance improvement initiatives in local operations and significant contribution from overseas marketing operations.
Profit after tax grew to 413 million rupees, while profit attributable to equity holders of the company improved to 368 million rupees from 12 million rupees in the previous year
Outstanding contributions to revenue and profit came from the Group’s Italian marketing company ICOGUANTI S.p.A. The company increased its sales by 9 percent to 2,475 million rupees and grew profits by 65 percent to 271 million rupees.
DPTL improved its performance and converted a loss of 5 million rupees in 2017 to a profit of 22 million rupees in the period reviewed despite drop in turnover by 3 percent to 1,745 million rupees.
The Group’s plantation sector comprise of Kelani Valley Plantations PLC (KVPL) and Talawakelle Tea Estates PLC recorded 6,547 million rupees revenue, almost static compared to the previous period mainly due to depressed commodity prices.
Commenting on the overall results, Hayleys Group Chairman Mohan Pandithage said DPL’s performance in a difficult period was particularly pleasing because much of it was achieved by management initiatives.
“In this backdrop, the Dipped Products Group is focusing on TPM & Lean production systems and is allocating more time and resources to move forward in this area.”
Established in 1976, Dipped Products is one of the leading non-medical rubber glove manufacturers in the world, and accounts for a 5 percent share of the global market. The company’s products now reach 70 countries.