An investment of about 7.5 million dollars will be made in the the poultry sector, to triple capacity within the next two years.
"We are committed to expand our reach into the agriculture sector, which we see potential for future growth," Ranatunga said last Friday.
While he declined to specify the source of funding, Ranatunga said other sectors like feeds, pharmaceuticals, stationary, Link Products (a herbal remedy), veterinary care are being expanded to keep up with demands of the business.
CIC plans to exploit its investments in Ceylinco Pharma, as the latter has rights to make antibiotics.
"We have always traded in pharmaceuticals, but never had the opportunity to make pharmaceutical products. The CeylincoPharma project gives us the opportunity to get into that market," Ranatunga said.CIC’s group net profit for the three-months to March 2012, fell 7.13 percent to 155.61 million rupees, from a year earlier dragged down by higher finance costs, despite an improvement in gross margins.
The group reported earnings of 1.64 rupees per share for the March quarter. Full year earnings were 9.67 rupees with total profits falling one percent to 916 million rupees. The stock closed up 3.00 rupees at 93.0 rupees Friday.
In the March quarter revenues rose 5.0 percent to 5,679 million rupees, expenses rose at a slower 1.1 percent to 4.1 billion rupees, allowing gross profits to rise at a faster 17.7 percent to 1.49 billion rupees.
But financing costs rose 87 percent to 248 million rupees. The group had short term borrowings of 7.7 billion rupees by end March up from 4.3 billion rupees at the beginning of the year.
In the full year to March financing costs rose 36 percent to 683 million rpees, with a 32 million rupees foreign exchange loss.
Operating profit from its agriculture and livestock business, which accounts for half of group profits, fell four-percent to 1.31 billion rupees during the financial year-ended March 2012.
The packaging segment gained 60 percent to 150.54 million rupees, the construction sector, which includes paints, gained 56 percent to 104.27 million rupees.
Profits from consumer and pharmaceutical division fell 18 percent to 244.04 million rupees in 2012, while industrial raw materials fell 22 percent to 50.89 million rupees.