Sri Lanka’s Access Engineering net down 13-pct in June quarter

July 28, 2016 (LBO) – Profits at Sri Lanka’s Access Engineering group fell 13 percent to 524 million rupees in the June 2016 quarter from a year earlier amid higher expenses, interim accounts showed.

The group posted earnings of 52 cents per share for the quarter, and the stock ended at 23.20 rupees on Wednesday.

Revenues rose 10 percent to 4.6 billion rupees in the June 2016 quarter from a year earlier and expenses rose at a slower 8 percent to 3.5 billion rupees, allowing the group to grow gross profits 18 percent to 1.1 billion rupees.

Administrative expenses grew 21 percent to 355 million rupees while other income fell 70 percent to 22 million rupees.

Income tax expense grew 135 percent to 229 million rupees in the June 2016 quarter from a year earlier.

Revenues at the construction segment of the group fell 8 percent to 2.5 billion rupees while production of construction related material grew 14 percent to 625 million rupees.

Revenues at Sathosa Motors grew 56 percent to 1.2 billion rupees while revenues of Access Projects grew 19 percent to 719 million rupees.

The company acquired 50 percent of the share capital of Blue Star Construction (Private) Limited, for 800 million rupees on 30th May 2016.

The Company also invested 300 million rupees on the share capital of Access Realities (Private) Limited, a fully owned subsidiary on 15th May 2016.

The percentage of shares held by the public as at 30th June 2016 was 37.92 percent comprising of 5,833 shareholders.