Sri Lanka JKH hotel unit in the red

Aug 02, 2013 (LBO) – Top Sri Lankan hotel operator, John Keells Hotels Plc, slipped into the red in the June 2013 quarter amid a tourism boom losing 102 million rupees, interim accounts showed. The firm reported losses of 7 cents per share for the quarter, compared to earnings of 03 cents on total profits of 39 million rupees a year earlier.

The group which also has hotels in Maldives said revenues rose 16 percent to 2.0 billion rupees in the quarter, cost of sales rose 23 percent to 763 million rupees and gross profits rose 12 percent to 1,26 billion rupees.

Revenues in the Maldives rose to 1.2 billion rupees in the quarter from 1.15 billion rupees a year earlier giving 154 million rupees in operating profits before interest, up from 124 million rupees.

In Sri Lanka, revenues rose strongly to 808 million rupees up 36 percent in the quarter from 590 million rupees a year earlier but it made an operating loss of 148 million rupees, up from 41 million a year earlier.

Finance costs also rose 128 million rupees from 51 million rupees in Sri Lanka. Liabilities rose to 6.4 billion rupees from 4.4 billion rupees a year earlier in Sri Lanka as the firm spent 2.1 billion rupees in ca