Distilleries Company of Sri Lanka sees revenue pick up

May 31, 2014 (LBO) – Distilleries Company of Sri Lanka, the island’s largest alcohol maker which was hit by tax hikes and incomes decimated from currency depreciation, reported a small increase in gross revenues in the March 2014 quarter. DCSL said revenues with taxes rose 1.8 percent to 12.9 billion rupees in the March 2014 quarter from a year earlier. In the nine months to December, gross revenues dropped 7.8 percent to 35.7 billion rupees from a year earlier.

Gross revenues with taxes were also up from the December quarter’s 12.09 billion rupees, when revenues fell 7.7 percent from a year earlier.

Revenues after taxes for the March 2014 quarter were still down 6.74 percent from a year earlier to 4.1 billion rupees and are also still below the December quarter’s 4.2 billion rupees.

At group level, Distilleries which has interests in plantations, insurance and telecom said net revenues were down 4.8 percent to 7.2 billion rupees but costs and claims fell at a faster 14.9 percent 4.3 billion rupees.

This allowed gross profits to rise 15.7 percent to 2.9 billion rupees.

The group reported investment income of 570 million rupees, up 15.7 percent from a year earlier, but there was a 930 million charge classified as