Tough Course

May 29, 2012 (LBO) – Sri Lanka’s Expolanka Holding Plc, whose main business is in logistics said net profits rose 2.68 percent to 286 million rupees in March 2012 quarter from a year earlier, though full year profits were sharply down. The group reported earnings of 15-cents for the quarter. The stock closed at 5.90 rupees down 10 cents Monday.

Full-year earnings were 54 cents on profits of 1.05 billion rupees, which was down 31 percent. In the previous year profits were boosted by one off gains. Last year it sold stock at 14.00 rupees in an initial public offer.

The firm said revenues rose 20.9 percent to 10.9 billion rupees in the March quarter from a year earlier, cost of sales rose at a slower 18.7 percent allowing gross profits to grow at a faster 32 percent to 1.86 billion rupees.

But unspecified administration expenses rose 55 percent to 1.34 billion rupees.

The group said it had changed its revenue and cost recognition method, but it did not affect gross margins.

Expolanka interests in freight, travel, trading and leisure.

At group level, after tax profits from its logistics arm rose 5.6 percent to 1.1 billion rupees and other divisions made profits of 114 million rupees, Expolanka said.

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