Anilana (ALHP) reports another loss as east coast tourism struggles

June 21, 2018 (LBO) - Colombo Stock Exchange listed Anilana released financial results for the quarter and the year ended March 31, 2018.
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The loss for the quarter was Rs104mn, and the year was Rs330mn.

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These results are similar to the prior year where the company lost Rs276mn. Anilana was one of a few companies that made significant pioneering investments in the east coast of Sri Lanka after the end of the civil war.
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The government has yet to create a highway network which would make these resorts easily accessible to tourists who disembark at the only functional international airport on the west coast of the island.
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Isolated, and difficult to get to, these resorts have not lived up to potential with at least one being sold by the original investor at a substantial loss. Tourism in Sri Lanka is booming, up close to 15% this year and surpassing one million arrivals through the end of May.
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Star class hotel operators have said that despite this boom, results have been weak as tourists seek alternative accommodation in the new sharing economy. Anilana is in the process of executing a capital infusion of Rs667mn (US.
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2mn) from Singapore company SOMAP International, proceedes of which will be used as working capital and to pay down debt.

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