Mar 09, 2016 (LBO) – Ceylon Tobacco Company, a unit of British American Tobacco said the company contributed 91.
6 billion rupees to the government during 2015 which accounts for 7 percent of the Government’s total tax revenue.
“This constitutes approximately 88 percent of the value generated by the Company making the Government a key stakeholder in our business.” Chairman Susantha Ratnayake said in his annual review.
Ceylon Tobacco Company (CTC) is the only legal manufacturer of cigarettes in the country and the largest contributor to national Tax revenue.
CTC is also the second most valuable listed company in Sri Lanka, with a market capitalization of 186 billion rupees as at 31 December 2015.
It has delivered a profit after tax of 10.6 billion rupees in 2015 recording a growth of 23 percent over the previous year. Shareholder returns have been increased by 14 percent during 2015.
The company said in 2015, 21.6 million illicit cigarettes were confiscated, a reduction of 29 percent when compared to the previous year.
CTC said it is encouraging to see that the second wave of regulations on pictorial health warnings extended to all tobacco products including beedi, which now accounts for approximately 43 percent of the tobacco market in the country.
The company has 16 exclusive distributors enabling them to reach over 72,000 outlets throughout the country.
Very good. They could contribute to even greater portion of Gov. revenue when the corporate tax is increased to 40%.