Sri Lanka Mitsubishi agent makes loss

From left: Dr. Fernando Im, Senior Country Economist for Sri Lanka and the Maldives, The World Bank, Hon. Eran Wickramaratne, State Minister, Ministry of Finance and Mass Media, Dr. W A Wijewardana, Former Deputy Governor of the Central Bank of Sri Lanka, Prof. Indralal de Silva, Former (Chair) of Demography, University of Colombo, Prof. Amala de Silva, Department of Economics, University of Colombo at the panel discussion on "Demographic Change in Sri Lanka" moderated by Dr. Ramani Gunatilaka, International Centre for Ethnic Studies.

June 11, 2009 (LBO) – Sri Lanka’s United Motors Lanka Limited (UMLL) group, agents for Japan’s Mitsubishi lost 90 million rupees in the March 2009 quarter as revenues dropped 13.0 percent to 7.30 billion rupees.

For the year to March the firm lost 2.53 million rupees while revenues dropped 13.0 percent to 7.30 billion rupees.

United Motors sells the Montero sports utility vehicle which is popular among state workers and politicians.

A year ago a tax break to state workers saw a bonanza for most car dealers. Analysts say local assemblers, who enjoy duty cuts have taken some of the new can market, losing revenue for the state in the process.

In addition to selling vehicles, spare parts and servicing, the United Motors group also leases vehicles.

For the year revenues from vehicles sales dropped 21.7 percent to 5.10 billion rupees, but other activities held up better.

UMLL’s revenues from spare parts sales was up 8.7 percent to 973.8 million rupees, while the company’s repair shop earned 695.7 million rupees, up 21.7 percent from corresponding period last year.

UML’s leasing and hire purchase unit, Orient Leasing Company brought in 563.0 million rupees, up 5.8 from last year.