Sri Lanka Kelani Valley continues recovery in Sept quarter

Oct 29, 2010 (LBO) – Sri Lanka’s Kelani Valley Plantations made a net profit of 36 million rupees in the September 2010 quarter owing to strong rubber and stable tea prices, a stock exchange filing said. The company is recovering from losses a year ago with the loss in the September quarter of 2009 being 217 million rupees.

Kelani Valley Plantations (KVPL) group sales in the September 2010 quarter rose 40 percent to 976 million rupees from the previous year.

Basic earnings per share for the quarter were 1.06 rupees compared with a loss per share of 6.37 rupees the previous year.

In the nine months ending September 30, 2010, the company, a subsidiary of Dipped Products group, the rubber gloves manufacturing unit of the Hayleys conglomerate, made profits of 155 million rupees from a loss of 221 million the year before.

Sales in the nine months were up 52 percent to 2.8 billion rupees.

Highly erratic weather patterns of this year have resulted in our rubber crop declining by six percent in comparison with the previous season, KVPL Managing Director Kavi Seneviratne said.

The rubber crop was the lowest ever for a nine-month period since privatization in the early 1