Sri Lanka Keells Food profits zoom

May 29, 2012 (LBO) – Sri Lanka’s Keells Food Products Plc, a unit of listed John Keells Holdings said profits rose sharply in the March 2012 quarter to 44.9 million rupees as revenues also grew.

The firm reported earnings of 5.29 rupees for the quarter. The stock closed at 76.00 rupees down 15.30 on Tuesday amid a general sell-off of stocks.

Keells Food reported earnings of 15.25 rupees per share for the year to March 2012 on profits of 129.6 million rupees, which grew 327 percent.

The firm is in processed meats and processed foods.

The firm said revenues grew 10 percent to 572 million rupees in the March quarter and cost of sales grew at a slower 5.3 percent to 424 million rupees allowing gross profits to grow at a faster 28 percent to 148 million rupees.

Selling and distribution expenses fell 28 percent to 49.1 million rupees.

The firm had been hit in recent year by losses in export marketing arms, especially India, which were late closed.